Sempra LNG announced that it has entered into a memorandum of understanding (MOU) with the Polish Oil & Gas Company (PGNiG) for the potential purchase of approximately 2 million tonnes per annum (Mtpa) of liquefied natural gas (LNG) from Sempra LNG’s portfolio of projects in North America. As part of the MOU, Sempra LNG and PGNiG are also working toward a framework for the reporting, mitigation and reduction of greenhouse gas (GHG) emissions throughout the LNG value chain.
“We look forward to continuing to work with PGNiG to help meet their energy objectives from our strategically positioned LNG facilities and development projects on the Gulf and Pacific Coasts of North America,” said Justin Bird, chief executive officer of Sempra LNG. “As we look to extend our LNG business to include net-zero solutions, working with
companies like PGNiG to advance best practices in GHG mitigation can build on the global environmental benefits of substituting higher-emission fuels with lower-carbon LNG while also continuing to drive down emissions in the U.S. natural gas value chain.”
“We highly value our relationship with Sempra LNG and we are keen to continue it. The MOU allows for shifting the volumes originally contracted at Port Arthur LNG to other facilities from Sempra’s projects portfolio,” said Paweł Majewski, chief executive officer of PGNiG SA. “We are also determined to curb the carbon footprint of fuels offered by PGNiG and are convinced that our cooperation with LNG producers like Sempra LNG will contribute to reach this goal most effectively.”
The MOU is non-binding and was completed in connection with the termination of the parties’ sale and purchase agreement (SPA) signed in 2018 that provided for 2 Mtpa of LNG supply to be delivered from the Port Arthur LNG project.
Sempra LNG owns a 50.2% interest in Cameron LNG, a 12-Mtpa export facility operating in Hackberry, Louisiana (Phase 1), and is working with Cameron LNG on a proposed expansion of the facility through one additional liquefaction train with an offtake capacity of over 6 Mtpa.
Sempra LNG, IEnova and TotalEnergies are building the 3-Mtpa ECA LNG project in Baja California, Mexico. Phase 1 of the project is under construction and first production of LNG is expected by the end of 2024. A potential expansion project is in the early stages of development.
Sempra LNG is also developing additional LNG facilities and carbon sequestration infrastructure along the LNG value chain on the Gulf and Pacific Coasts of North America.
About Sempra LNG
Sempra LNG’s mission is being North America’s premier LNG infrastructure company by providing sustainable, safe and reliable access to U.S. natural gas for global markets.
Sempra LNG owns interests in Cameron LNG, a 12 Mtpa export facility operating in Hackberry, Louisiana and Energía Costa Azul (ECA) LNG, a 3 Mtpa export facility under construction in Baja California, Mexico. Sempra LNG is developing additional LNG export facilities on the Gulf and Pacific Coasts of North America including Port Arthur LNG in Texas,
Vista Pacífico LNG in Mexico, expansions of Cameron LNG and ECA LNG, as well as supporting pipelines, storage and carbon sequestration projects. Through disciplined and innovative processes, Sempra LNG is facilitating the global energy transition by leading the responsible development of lower-carbon energy infrastructure investments along the LNG value chain. For more information about Sempra LNG, please visit www.SempraLNG.com.
About PGNiG
Polish Oil and Gas Company (PGNiG) is the leader of the Polish natural gas market.
Listed on the Warsaw Stock Exchange the company’s core business includes exploration and production of natural gas and crude oil. Its key branches and subsidiaries import, store, sell and distribute gaseous and liquid fuels. They also generate heat and electricity. PGNiG holds stake in about 30 companies including entities that provide professional geophysical, drilling and maintenance services. PGNiG holds exploration and production licenses on the Norwegian Continental Shelf, in Pakistan and United Arab Emirates. The exploration and production activity in Norway is carried out by PGNiG Upstream Norway. While Munich-based PGNiG Supply & Trading is engaged in gas trading in Western Europe, also operating the LNG trading office in London. In 2020, PGNiG launched a research program aimed at developing alternative fuels and ultimately including them in the sales offer. The PGNiG Group wants to become involved in the use of biomethane as well as the production, storage and distribution of hydrogen. PGNiG wants to expand its competences in the area of generating electricity from renewable energy sources based on photovoltaic and wind farms.