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    Cameron LNG Slips to 2019: Sempra

Summary

US group Sempra Energy has said that start-up of its Cameron LNG project will slip from next year into 2019, but expects the 3-train complex to open by 2020.

by: Mark Smedley

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Cameron LNG Slips to 2019: Sempra

US group Sempra Energy has said that start-up of its Cameron LNG project is likely to slip from next year into 2019.

It announced the delay August 4 in its 2Q2017 results statement, which showed group earnings for the quarter at $259mn, up from $16mn in 2Q2016.

Sempra said that "based on several factors" that "it believes it is reasonable to expect that the Cameron LNG liquefaction-export project's first liquefaction train could be delayed into 2019, with the other two trains following throughout 2019 and with no earnings expected in 2018."

"Despite the revisions in the schedule, the company does not expect any material impact on the long-term economics of the project and anticipates earnings from the project of $300mn to $350mn in 2020," it added

Cameron LNG is jointly owned by Sempra LNG & Midstream, French utility Engie, Japan's Mitsui, and the Japan LNG Investment joint venture of Japanese partners Mitsubishi Corp and shipowner NYK Lines. The $10bn project -- located at what was originally an LNG import terminal near Hackberry, Louisiana -- will comprise three liquefaction trains each of 4.5mn mt/yr capacity (totaling 13.5mn mt/yr). It has also begun a filing process to add two additional trains (4 & 5) each of which would have 4.985mn mt/yr capacity, with their own feed gas pre-treatment facilities

Sempra said its Sempra LNG & Midstream division made earnings of $27mn in 2Q2017, compared with a net loss of $149mn in 2Q2016

North America's only current LNG exporter, US Cheniere said August 8 it is close to exporting from its 4th liquefaction train at Sabine Pass, Louisiana.

 

Mark Smedley