Woodside Energy and Sempra agree to develop Port Arthur LNG facility in Texas, US

Woodside Energy has signed an agreement with Sempra LNG & Midstream to advance the development of the proposed Port Arthur LNG natural gas liquefaction facility in Port Arthur, Texas, US.

The project is located about 140km east of Houston and will have two natural gas liquefaction trains with a total export capability of approximately ten million tonnes per annum, LNG storage tanks, and marine facilities for LNG ship berthing and loading.

In addition, a three-mile portion of Highway 87 between the Intracoastal Waterway and Keith Lake Pass would be relocated and upgraded to accommodate the construction of a marine terminal berth to dock and load the ships.

Sempra LNG and Midstream president Octavio Simoes said: "This agreement continues to build on our experience developing safe, reliable energy infrastructure in North America and on Woodside’s core strengths in construction and operation of LNG assets.

"We are confident that, together, we can develop a facility that will meet the highest standards of LNG supply for the global market."

Under the agreement, the companies will continue discussions and evaluations of a potential LNG gas liquefaction facility in Port Arthur.

The agreement expands on the memorandum of understanding (MoU) signed by Sempra and Woodside last June, and provides a framework within which the parties will share costs related to the project’s technical design, permitting and commercial development.

Woodside CEO Peter Coleman: "This opportunity fits well with our focus on building our business in core areas and offering our customers competitive and diverse supply options."

The project development is subject to the receipt of all necessary permits and approvals and securing financial commitments.