Sempra (NYSE: SRE) (BMV: SRE) has announced that its subsidiary, Sempra Infrastructure Partners, LP (Sempra Infrastructure), reached a positive final investment decision (FID) for the development, construction, and operation of the Port Arthur LNG Phase 1 project in Jefferson County, Texas. The project will provide liquefied natural gas (LNG) for delivery to Europe and other parts of the world and reflects a significant expansion of US LNG sources to supply global markets.
Sempra Infrastructure closed its joint venture with an affiliate of ConocoPhillips (NYSE: COP) and announced the closing of the Port Arthur LNG project's US$6.8 billion non-recourse debt financing and the issuance of the final notice to proceed under the project's engineering, procurement and construction agreement with Bechtel. COP also previously entered into a 20-year Sale and Purchase Agreement (SPA) for five million tonnes per annum of LNG from the Port Arthur project.
Latham & Watkins LLP represents ConocoPhillips in the development of the Port Arthur LNG project, debt financing, LNG SPA, and joint venture with Sempra. The Latham team is led by Houston corporate and finance partners Ravi Purohit, Chris Peponis, and Justin Stolte, San Diego real estate partner Bob Frances, and New York finance partners Hamad Al-Hoshan and Jonathan Rod.