London-based energy player INEOS has signed a deal with U.S. LNG company Sempra Infrastructure for the potential supply of 1.4 million tonnes per annum (mtpa) of LNG for 20 years.
With this, building on its position exporting ethane from the U.S., INEOS marked its entry into the global LNG market. This heads-of-agreement with Sempra is to provide 1.4 mtpa of LNG export from the U.S. Gulf Coast for 20 years.
INEOS Energy Trading will market the LNG into global markets as well as supply its own industrial needs in Europe. The company said the agreement comes at a critical time for energy markets and will provide much-needed security of supply.
LNG will be delivered free-on-board, from either the proposed Port Arthur LNG Phase 1 project or the Cameron LNG Phase 2 projects.
The Port Arthur LNG development project is a 13.5 mtpa, fully permitted facility in Jefferson County, Texas. In addition, Sempra Infrastructure has signed an HOA with the Cameron LNG partners for the development of the proposed 6.75 mtpa Cameron LNG Phase 2 project in Hackberry, Louisiana.