Accessibility Links

Saudi Aramco buys stake in Texas LNG export terminal

23/05/2019
Like postLikeLabel * DEFAULT * en-GB

Follow

Saudi Aramco has agreed to buy a stake in Sempra Energy’s new LNG export terminal in Port Arthur, Texas in a move which sees the world’s biggest oil exporter becoming involved in production activity outside of Saudi Arabia for the first time.
Visualisation of the proposed Port Arthur LNG export terminal
(Visualisation of the proposed Port Arthur LNG export terminal. Image via Sempra Energy).

The ‘Heads of Agreement’ (HOA) deal between Sempra Energy and Saudi Aramco anticipates the negotiation and finalisation of a definitive 20-year liquefied natural gas (LNG) sale-and-purchase agreement (SPA) for five million tonnes per annum of LNG offtake from Phase 1 of the Port Arthur LNG export terminal currently under development. It also includes the negotiation and finalisation of a 25% equity investment in Phase 1 of Port Arthur LNG.

The deal will enable Saudi Aramco to gain a foothold in America’s lucrative, and growing, natural gas production and export activity. Increasing numbers of companies are seeking to become LNG exporters, shipping US natural gas to markets in Europe and Asia.

Aramco sees global demand for LNG growing by around 4% per year, and this week’s deal with Sempra is clear evidence that it is seeking to capitalise upon this.

“The agreement with Sempra LNG is a major step forward in Saudi Aramco’s long term strategy to become a leading global LNG player. With global demand for LNG expected to grow by around 4% per year, and likely to exceed 500 million metric tons a year by 2035, we see significant opportunities in this market and we will continue to pursue strategic partnerships which enables us to meet rising global demand for LNG,” says Amin Nasser, Saudi Aramco’s CEO and President.

The proposed Port Arthur LNG terminal is expected to include two liquefaction trains, up to three LNG storage tanks and associated facilities that should enable the export of approximately 11 Mtpa of LNG on a long-term basis. If construction proceeds on this basis, Port Arthur LNG will be one of the largest LNG export projects in North America, with potential expansion capabilities of up to eight liquefaction trains or approximately 45 Mtpa of capacity.

Port Arthur is one of Sempra LNG’s five strategically-located LNG development opportunities in North America and is a component of Sempra LNG’s goal of delivering 45 Mtpa of clean natural gas to the global LNG market.
Fircroft has opened a new office in Port Arthur Texas to support the American downstream oil and gas industry
Secure your next LNG job with Fircroft

From our dedicated office in Port Arthur, Texas Fircroft recruits technical and engineering professionals to work on many of the region’s biggest LNG projects. Register your resume for free now and explore our current job vacancies.
Tags: Oil & Gas
Add new comment
*
*
*
By commenting on this blog you're agreeing to our terms of use

Comments left should relate to the subject of the above blog. Unfortunately job applications cannot be accepted here.

For job enquiries and applications please use our job search and for technical or account queries please contact us.
Saudi Aramco buys stake in Texas LNG export terminal - Time to read 3 min
Share this article
Like postLikeLabel * DEFAULT * en-GB

Follow

Back to Top

By clicking "Save" you consent to
receiving matching jobs based on the
job/page you are viewing by email from
Fircroft, as detailed in our privacy policy
Fircroft would like to keep you up to date with our current vacancies and latest company updates via email. Occasionally Fircrofts marketing may contain 3rd party or affiliate information, however we will not share your personal data with any 3rd parties without your consent. From time to time, we might contact you to get your views on the service you have received. To help you get the best out of Fircroft, we may personalise them based on your location and how you use fircroft.com
Fircroft would like to keep you up to date with the latest company updates and vacancies via SMS / Text messages
Your consent options above means that Fircroft cannot contact you about any new or alternative career vacancies. If you want Fircroft to only contact you about the role(s) you have applied for please continue, however if you would like to be considered for other positions please allow us to contact you by changing one or more of the above consent.