Sempra reaffirms Port Arthur LNG Phase 2 FID by end-2025

May 12, 2025
Construction under way this year on the plant’s 13-million tpy Phase 1 includes foundations, steel and pipe installation, dredging, and major equipment setting. Work was paused 2 weeks ago when a scaffolding collapse killed three people on the job site.

Sempra Infrastructure reported that a previously announced target of taking final investment decision on Port Arthur LNG’s 13-million tonne/year (tpy) Phase 2 by end-2025 remains in place. It allowed, however, that while commercial interest in the second phase remained strong, “the macroeconomic environment may affect [its] timing.”

Construction under way this year on the plant’s 13-million tpy Phase 1 (a joint venture with ConocoPhillips Co. in Jefferson County, Tex.) includes foundations, steel and pipe installation, dredging, and major equipment setting. Work was paused 2 weeks ago when a scaffolding collapse killed three people on the job site.

Sempra said that the project had started admitting incoming materials into designated foreign trade zones in February 2025 to avoid potential tariff-related cost increases. It has Phase-1 offtake agreements in place with ConocoPhillips, RWE Supply and Trading, PKN Orlen SS, INEOS, and Engie SA.

Sempra expects Phase 1 and Phase 2 to enter service in 2027 and 2028, respectively.

 

About the Author

Christopher E. Smith | Editor in Chief

Chris brings 32 years of experience in a variety of oil and gas industry analysis and reporting roles to his work as Editor-in-Chief, specializing for the last 20 of them in midstream and transportation sectors.