ConocoPhillips Expands LNG Business with 4 MTPA offtake Agreement from Port Arthur LNG Phase 2 Project

ConocoPhillips has signed a long-term agreement to purchase 4 million tonnes per annum of liquefied natural gas (LNG) from the Port Arthur LNG Phase 2 project in Texas. The agreement will support the company's ability to reliably deliver natural gas to customers in key global markets, advancing its global LNG portfolio strategy. This is ConocoPhillips' second partnership with Sempra Infrastructure, following a similar agreement signed in July 2022 for 5 million tonnes per annum of LNG offtake and a 30% equity stake in Phase 1 of the project.

ConocoPhillips has signed a definitive 20-year sale and purchase agreement (SPA) with Sempra Infrastructure for 4 million tonnes per annum (Mtpa) of LNG offtake from the Port Arthur LNG Phase 2 development project in Jefferson County, Texas [1]. This agreement builds on ConocoPhillips' existing partnership with Sempra Infrastructure, which includes a 30% equity stake in Phase 1 of the project and a 5 Mtpa offtake capacity [1].

The Port Arthur LNG Phase 2 project is expected to include two liquefaction trains capable of producing approximately 13 Mtpa of LNG, increasing the total liquefaction capacity of the Port Arthur LNG facility from approximately 13 Mtpa for Phase 1 to up to approximately 26 Mtpa [1]. The project is strategically positioned and continues to attract strong interest, with notable progress in permitting and a positive outlook for future phases.

ConocoPhillips' latest agreement supports its global LNG portfolio strategy by providing a reliable supply of LNG for key global markets. The company has secured a significant offtake capacity from the Port Arthur LNG Phase 2 project, which is expected to achieve commercial operations in the coming years [1].

The agreement is another example of Sempra Infrastructure's execution and steady progress on its five value creation initiatives for 2025, reflecting another important step in continuing to unlock value in the LNG franchise [1]. The development of the Port Arthur LNG Phase 2 project remains subject to various risks and uncertainties, including completing the required commercial agreements, securing and/or maintaining all necessary permits, obtaining financing, and reaching a final investment decision [1].

References:
[1] Sempra. (2025, August 21). Sempra and ConocoPhillips extend partnership offtake agreement Port Arthur. Retrieved from https://www.sempra.com/newsroom/press-releases/sempra-and-conocophillips-extend-partnership-offtake-agreement-port-arthur