ConocoPhillips and Sempra Sign 20-Year LNG Deal: A Breakdown of Net Sales and Geographical Distribution.

ConocoPhillips and Sempra have signed a 20-year liquefied natural gas (LNG) deal, with ConocoPhillips specializing in hydrocarbon exploration and production. Net sales are primarily from crude oil, natural gas, and liquefied natural gas, with a geographical distribution of sales in the United States, Canada, Norway, the United Kingdom, Libya, China, Malaysia, and other countries.

In a significant development for the liquefied natural gas (LNG) sector, Sempra (NYSE: SRE) and ConocoPhillips (NYSE: COP) have signed a definitive 20-year sale and purchase agreement (SPA) for 4 million tonnes per annum (Mtpa) of LNG offtake from the Port Arthur LNG Phase 2 development project in Jefferson County, Texas. The agreement, announced on August 21, 2025, marks an extension of the companies' strategic alliance and aims to further expand the Port Arthur LNG facility [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. The project, currently under construction, is strategically positioned and has attracted strong interest, with notable progress in permitting and financing [1].

ConocoPhillips, a major player in hydrocarbon exploration and production, has secured 5 Mtpa in offtake capacity for 20 years through its equity stake in the Port Arthur LNG Phase 1 project. The new SPA with Sempra will enable ConocoPhillips to increase its LNG offtake, aligning with its global LNG portfolio strategy to build a flexible and reliable LNG supply network [1].

Sempra Infrastructure, a subsidiary of Sempra, is focused on delivering energy to nearly 40 million consumers. The company is recognized for its high-performance culture and sustainable business practices, as demonstrated by its inclusion in the Dow Jones Sustainability Index North America [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. Sempra continues to target making a financial investment decision on Phase 2 in 2025 [1].

This agreement is another example of Sempra'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. These efforts position Sempra to drive future growth and deliver long-term value to shareholders and enhanced benefits to consumers [1].

References:
[1] Sempra. (2025, August 21). Sempra and ConocoPhillips extend partnership offtake agreement for Port Arthur LNG Phase 2. PRNewswire. Retrieved from https://www.sempra.com/newsroom/press-releases/sempra-and-conocophillips-extend-partnership-offtake-agreement-port-arthur