Sempra to Sell Gas Assets in Mexico, Trim Infrastructure Stake
(Reuters) — Utility firm Sempra will sell some energy infrastructure assets in Mexico and a minority stake in Sempra Infrastructure to fund its five-year capex plan of $56 billion, it said on Monday.
In February, the company had forecasted a five-year capital plan of about $56 billion, a 16% increase from its prior plan, with over 90% of projected capital expenditures focused on regulated utility investments in Texas and California.
"These actions are designed to advance our company's broader effort to simplify the business and minimize reliance on future issuances of common equity to fund the company's five-year capital plan," said CEO Jeffrey Martin.
The utility firm plans to sell Ecogas Mexico, which holds three utility franchises and distributes natural gas to more than 600,000 residential, commercial and industrial consumers in Mexico's Mexicali, Chihuahua and La Laguna-Durango regions.
The San Diego, California-based company also plans to sell a minority stake in Sempra Infrastructure, which has liquefied natural gas (LNG) assets and related pipeline and storage infrastructure.
Sempra previously sold a 20% stake in the unit to Kohlberg Kravis Roberts & Co. for about $16.9 billion in 2021 and a 10% stake to the Abu Dhabi Investment Authority for about $17.9 billion in 2022.
The transactions announced on Monday are expected to be completed over the next 12 to 18 months.
Related News
Related News
- Enbridge Plans 86-Mile Pipeline Expansion, Bringing 850 Workers to Northern B.C.
- Intensity, Rainbow Energy to Build 344-Mile Gas Pipeline Across North Dakota
- U.S. Moves to Block Enterprise Products’ Exports to China Over Security Risk
- Strike Pioneers First-of-Its-Kind Pipe-in-Pipe Installation on Gulf Coast with Enbridge
- 208-Mile Mississippi-to-Alabama Gas Pipeline Moves Into FERC Review
- U.S. Pipeline Expansion to Add 99 Bcf/d, Mostly for LNG Export, Report Finds
- A Systematic Approach To Ensuring Pipeline Integrity
- 275-Mile Texas-to-Oklahoma Gas Pipeline Enters Open Season
- LNG Canada Start-Up Fails to Lift Gas Prices Amid Supply Glut
- Strike Pioneers First-of-Its-Kind Pipe-in-Pipe Installation on Gulf Coast with Enbridge
Comments