ConocoPhillips Signs 20-Year LNG Purchase Agreement with Sempra Infrastructure for 4 Million TPA

ConocoPhillips has signed a 20-year LNG purchase agreement with Sempra Infrastructure for 4 million tonnes per annum from the Port Arthur LNG Phase 2 project in the US. The agreement will bolster ConocoPhillips' ability to deliver natural gas to global markets. ConocoPhillips had previously committed to a 20-year agreement to purchase 5 million tonnes per annum of LNG and a 30% equity stake in phase one of Port Arthur LNG.

ConocoPhillips has signed a 20-year LNG purchase agreement with Sempra Infrastructure for 4 million tonnes per annum (Mtpa) of LNG from the Port Arthur LNG Phase 2 project in the US. The agreement is expected to strengthen ConocoPhillips' ability to supply natural gas to global markets. This follows ConocoPhillips' previous commitment to a 20-year agreement to purchase 5 Mtpa of LNG and a 30% equity stake in Phase 1 of the Port Arthur LNG project [1].

The Port Arthur LNG Phase 2 development project, which is strategically located in Jefferson County, Texas, is expected to include two liquefaction trains capable of producing approximately 13 Mtpa of LNG. This expansion will increase 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 has received notable progress in permitting, with all major permits secured, including an export authorization from the U.S. Department of Energy in May 2025 [1].

The partnership between Sempra Infrastructure and ConocoPhillips marks a significant step in the development of the Port Arthur LNG facility. The Phase 2 project is subject to various risks and uncertainties, including completing commercial agreements, securing necessary permits, obtaining financing, and making a final investment decision [1]. Sempra continues to target making a financial investment decision on Phase 2 in 2025.

This agreement is another example of Sempra's execution and steady progress on its five value creation initiatives for 2025, reflecting the company's commitment to driving future growth and delivering long-term value to shareholders and consumers [1].

References:
[1] https://www.sempra.com/newsroom/press-releases/sempra-and-conocophillips-extend-partnership-offtake-agreement-port-arthur