Sempra Energy submits Port Arthur Liquefaction-Export Facilities for FERC’s review

Sempra Energy, through its subsidiary Port Arthur LNG, has requested that the Federal Energy Regulatory Commission (FERC) initiate the pre-filing review for the company's proposed Port Arthur LNG natural gas liquefaction and export facility in Texas.

The proposed liquefaction project is designed to include: two natural gas liquefaction trains with a total export capability of approximately 10 million tons per annum, or 1.4 billion cubic feet per day; two 160,000-cubic-meter storage tanks; marine facilities for vessel berthing and loading; natural gas liquids and refrigerant storage; feed gas pre-treatment; truck loading and unloading areas; and combustion turbine generators for self-generation of electrical power.

On March 20, Port Arthur LNG also filed a permit application with the U.S. Department of Energy (DOE) for authorization to export the LNG produced from the proposed project to all current and future Free Trade Agreement (FTA) countries and expects to submit to the DOE an application for authorization to export the LNG produced from Port Arthur LNG to non-FTA countries in the coming months.

The proposed project would utilize a portion of Sempra Energy's approximately 2,900 acres of property with 3 miles of waterfront on the Sabine-Neches Ship Channel and 1.25 miles of waterfront on the Intracoastal Waterway.

The company's Port Arthur LNG site previously was evaluated and certified by the FERC in 2006 for a proposed import regasification facility and pipeline and also was permitted by the Texas Department of Transportation for the potential relocation of a portion of State Highway 87.

Development of the Port Arthur LNG liquefaction project is contingent on completing the required commercial agreements, securing all necessary permits and approvals, obtaining financing and incentives, reaching a final investment decision and other factors associated with the investment.

Sempra U.S. Gas & Power, another subsidiary of Sempra Energy, is proposing to develop a natural gas pipeline project consisting of two separate 42-inch diameter pipeline segments that would interconnect with intra- and interstate pipelines to the north and south of the proposed Port Arthur LNG liquefaction project.

Sempra LNG successfully permitted Cameron LNG project, which is now in construction. Port Arthur LNG is one of three liquefaction projects being developed by Sempra Energy. The other projects include the proposed expansion of Cameron LNG with trains No. 4 and No. 5 and liquefaction facilities at Energia Costa Azul inBaja California, Mexico.