Cameron LNG Begins Commercial Service

Laxman Pai
Tuesday, August 20, 2019

North American energy infrastructure company Sempra Energy said that the first train of the Cameron liquefied natural gas (LNG) liquefaction export project in Louisiana has started commercial operations under Cameron's tolling agreements.

Train 1 is part of Phase 1 of the Cameron LNG liquefaction export project which includes a projected export capacity of 12M metric tons/year of liquefied natural gas, or 1.7B cf/day of natural gas.

"This is an exciting moment for Cameron LNG and for Sempra Energy," said Carlos Ruiz Sacristan, chairman and CEO of Sempra North American Infrastructure. "Cameron LNG is exporting liquefied natural gas (LNG) to customers in the largest world markets, helping to support economic growth in the U.S. and abroad."

Sempra Energy's share of full-year run-rate earnings from the first three trains at Cameron LNG are projected to be between $400 million and $450 million annually when all three trains achieve commercial operations under Cameron LNG's tolling agreements.

"We are proud that Cameron LNG has realized this key milestone with an excellent safety record and zero lost-time incidents," said Lisa Glatch, chief operating officer of Sempra LNG and board chair for Cameron LNG. "We remain focused on safely achieving commercial operations of Train 2 and Train 3."

Train 1 is part of Phase 1 of the Cameron LNG liquefaction-export project which includes a projected export capacity of 12 million tonnes per annum (Mtpa) of LNG, or approximately 1.7 billion cubic feet per day of natural gas.

Cameron LNG is jointly owned by affiliates of Sempra LNG, Total, Mitsui & Co., Ltd., and Japan LNG Investment, LLC, a company jointly owned by Mitsubishi Corporation and Nippon Yusen Kabushiki Kaisha (NYK). Sempra Energy indirectly owns 50.2% of Cameron LNG.

Cameron LNG Phase 1 is one of five LNG export projects Sempra Energy is developing in North America: Cameron LNG Phase 2, previously authorized by FERC, encompasses up to two additional liquefaction trains and up to two additional LNG storage tanks, Port Arthur LNG in Texas and Energía Costa Azul LNG Phase 1 and Phase 2 in Mexico.

Development of Sempra Energy's LNG export projects is contingent upon obtaining binding customer commitments, completing the required commercial agreements, securing all necessary permits, obtaining financing, other factors, and reaching final investment decisions. In addition, the ability to successfully complete construction projects, such as the Cameron LNG facility, is subject to a number of risks and uncertainties.

Sempra LNG develops, builds and invests in natural gas liquefaction facilities and is pursuing the development of five strategically located LNG projects in North America with a goal of delivering 45 Mtpa of clean natural gas to the largest world markets, which would make Sempra Energy one of North America's largest developers of LNG-export facilities.

Categories: Energy LNG Production

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