Sempra, Bechtel Energy reach agreement on Port Arthur LNG phase 2 project

Port Arthur LNG Phase 2, owned by Sempra Infrastructure, and Bechtel Energy have agreed to a fixed-price engineering, procurement and construction (EPC) contract for the Port Arthur LNG Phase 2 project in Port Arthur, Texas.

As part of the contract, Bechtel will perform the detailed engineering, procurement, construction, commissioning, startup, performance testing and operator training activities for the project. The agreement also includes the ability to conduct pre-final investment decision work to better assure project cost and schedule certainty.

“We are thrilled to achieve this milestone with Bechtel for the Port Arthur LNG Phase 2 development project and are confident that our continued collaboration with this world-class construction firm on the Port Arthur site will further strengthen our ability to execute this project,” Justin Bird, CEO of Sempra Infrastructure, said. “Building on the success of Port Arthur LNG Phase 1, which is currently under construction, the Phase 2 project is expected to further enhance the supply of secure, abundant and reliable U.S. natural gas to customers around the globe.”

The proposed Port Arthur LNG Phase 2 project received authorization from the Federal Energy Regulatory Commission in September 2023 and is expected to include two liquefaction trains capable of producing approximately 13 Mtpa of LNG. This would increase the total liquefaction capacity of the facility from approximately 13 Mtpa to up to 26 Mtpa.

“We are excited for the opportunity to advance our partnership with Sempra Infrastructure on the Port Arthur LNG Phase 2 project, a vital project that will play a crucial role in meeting the world’s increasing need for cleaner and more reliable energy,” Paul Marsden, president of Bechtel Energy, said. “This partnership positions Bechtel and Sempra Infrastructure to not only deliver a transformative energy infrastructure project but also brings additional significant economic growth and development opportunities to the local community.”

The Port Arthur LNG Phase 1 project is currently under construction and consists of trains 1 and 2, as well as two LNG storage tanks and associated facilities. Train 1 and train 2 are expected to enter commercial service in 2027 and 2028, respectively.

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