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Sempra Infrastructure receives export licenses for two LNG projects

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LNG Industry,


Sempra Infrastructure, a subsidiary of Sempra, has announced that Energía Costa Azul, S. de R.L. de C.V. (ECA LNG) and Vista Pacifico, S.A.P.I. de C.V. received authorisation from the U.S. Department of Energy (DOE) to re-export US-sourced LNG from Mexico to non-free trade agreement (FTA) nations. The DOE’s significant action is an important milestone for these two development projects, which are now each one step closer to supporting the world’s energy security and environmental goals.

“Advancing new infrastructure investments is critical to supporting the energy needs of America’s allies, and we are grateful for the leadership of the Biden Administration, US Energy Secretary, Jennifer Granholm, and various Congressional stakeholders –including Senators Joe Manchin, Ted Cruz, and John Cornyn. These export projects are expected to support efforts across the Indo-Pacific region to diversifying energy supplies while transitioning away from coal in power production,” said Justin Bird, CEO of Sempra Infrastructure. “They are also expected to help strengthen US trading relationships, as well as create new jobs and boost the US and Mexico economies.”

Under the permits granted by DOE, Vista Pacifico LNG is authorised to re-export up to 200 billion ft3/y of LNG from US-sourced natural gas from the project under development in Topolobampo, Sinaloa, Mexico, to any country with which the US does not have an FTA requiring national treatment for trade in natural gas. Vista Pacifico LNG is projected to be a mid scale facility with approximately 3.5 million tpy of export capacity. Sempra Infrastructure is advancing development of Vista Pacifico LNG in collaboration with Mexico’s Federal Electricity Commission (CFE), as previously announced.

The DOE also increased the authorised export volumes of ECA LNG Phase 2, permitting it to re-export up to 636 billion ft3/y of LNG from US-sourced natural gas from the proposed project in Ensenada, Baja California, Mexico, to non-FTA nations. Both permits are applicable for the period beginning on the date of first commercial re-export though through December 2050.

The proposed ECA LNG Phase 2 is expected to be comprised of two trains and one LNG storage tank and produce approximately 12 million tpy of export capacity. ECA LNG Phase 1 received non-FTA export authorisation in 2019 and is currently under construction, with commercial operations expected in 2025.

Development of ECA LNG Phase 2 and Vista Pacifico LNG are contingent upon completing the required commercial agreements, securing all necessary permits, obtaining financing, and reaching a final investment decision, among other factors.

Read the article online at: https://www.lngindustry.com/liquid-natural-gas/04012023/sempra-infrastructure-receives-export-licenses-for-two-lng-projects/

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