Sempra Infrastructure, a subsidiary of Sempra (NYSE: SRE) (BMV: SRE), announced it has entered into a Heads of Agreement (HOA) with affiliates of TotalEnergies, Mitsui & Co. and Japan LNG Investment, LLC, a company jointly owned by Mitsubishi Corporation and Nippon Yusen Kabushiki Kaisha (NYK), for the development of the Cameron LNG Phase 2 export project in Hackberry, Louisiana.

“We are excited to continue advancing Cameron LNG Phase 2 with our partners,” said Justin Bird, CEO of Sempra Infrastructure. “Today’s announcement represents the shared focus of the Cameron LNG partners to increase the supply of cleaner U.S. natural gas to global markets, while also facilitating the energy security of our allies.”

The HOA provides the commercial framework for the expansion of the Cameron LNG facility by adding a fourth liquefied natural gas (LNG) train and increasing the production capacity of the three operating trains through debottlenecking activities. The HOA also contemplates the allocation to Sempra Infrastructure of 50.2% of the projected fourth train production capacity and 25% of projected debottlenecking capacity under tolling agreements, with the remaining capacity allocated equally to the existing Cameron LNG Phase 1 customers. Sempra Infrastructure plans to sell the LNG corresponding to its capacity under long-term sale and purchase agreements prior to taking a final investment decision.

Additionally, Sempra Infrastructure announced that Cameron LNG awarded two Front-End Engineering Design (FEED) contracts to Bechtel Energy Inc. and a joint venture between JGC America Inc. and Zachry Industrial Inc. At the conclusion of this competitive FEED process, one contractor is expected to be selected to be the engineering, procurement and construction (EPC) contractor for the project.

The proposed Cameron LNG Phase 2 project is expected to include a single LNG train with a maximum production capacity of 6.75 million tonnes per annum (Mtpa) of LNG, as well as debottlenecking of the existing three LNG trains. The project is expected to include certain design enhancements resulting in a more cost-effective and efficient facility, while also reducing overall greenhouse gas emissions.

The HOA is a preliminary non-binding arrangement, and the development of the Cameron LNG Phase 2 project remains subject to a number of risks and uncertainties, including reaching definitive agreements, securing all necessary permits, and reaching a final investment decision by each of the Cameron LNG partners.

About Sempra Infrastructure

Sempra Infrastructure delivers energy for a better world. Through the combined strength of its assets in North America, the company is dedicated to enabling the energy transition and beyond. With a continued focus on sustainability, innovation, world-class safety, championing people, resilient operations and social responsibility, its more than 2,000 employees develop, build and operate clean power, energy networks and LNG and net-zero solutions, that are expected to play a crucial role in the energy systems of the future.

About TotalEnergies

TotalEnergies is a broad energy company that produces and markets energies on a global scale: oil and biofuels, natural gas and green gases, renewables and electricity. Our 105,000 employees are committed to energy that is ever more affordable, clean, reliable and accessible to as many people as possible. Active in more than 130 countries, TotalEnergies puts sustainable development in all its dimensions at the heart of its projects and operations to contribute to the well-being of people.

About Mitsui

Mitsui & Co.'s five principal functions are marketing, financing, logistics, risk management, and IT and process development capabilities. We combine these functions to create and optimize value chains in a wide range of business fields. Maximizing our value-added content, we strive to meet the diverse needs of our customers around the world.