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Sempra Energy Unit and Woodside sign MoU with KOGAS

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LNG Industry,

The MOU provides a framework for cooperation and joint discussion by the parties regarding key aspects of the Port Arthur LNG project, including engineering and construction works, operations and maintenance activities, feed gas sourcing, offtake of LNG and KOGAS as a potential purchaser of LNG from, and equity participant in, the Port Arthur LNG project. 

"We're pleased to be collaborating with one of the world's largest LNG buyers and importers," said Octávio M.C. Simões, president of Sempra LNG & Midstream. "KOGAS' expertise and knowledge of the LNG market will complement Sempra's and Woodside's extensive natural gas infrastructure development and combined marketing and operational experience to continue advancing the Port Arthur LNG project."

"Woodside is delighted to further our long-term relationship with KOGAS, one of the LNG industry's leading buyers and investors," said Reinhardt Matisons, executive vice president of marketing, trading and shipping for Woodside. "We look forward to working with KOGAS and other potential buyers to advance the Port Arthur LNG project."

In February 2016, Sempra LNG & Midstream, LLC and Woodside Energy (USA), Inc. signed a project development agreement that provides a framework for the sharing of costs of the Port Arthur LNG project related to the development, technical design, permitting and marketing of the proposed liquefaction project. The proposed Port Arthur LNG project is designed to include two natural gas liquefaction trains, LNG storage tanks, marine berths and ancillary facilities.

Ongoing development of the project is subject to risks and uncertainties and remains contingent upon: completing required commercial agreements; acquiring all necessary permits and approvals; securing financing commitments; securing potential incentives; and satisfying other conditions before making a final investment decision to proceed. The MOU does not commit any party to buy or sell LNG or otherwise participate in the Port Arthur LNG project.

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