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JBIC to support Sempra Infrastructure projects
Collaboration covers decarbonization efforts in US and Japan
Michael Marray 14 Feb 2024

Sempra Infrastructure has signed a collaboration accord with Japan Bank for International Cooperation (JBIC) covering the financing of future projects.

Sempra Infrastructure is a subsidiary of San Diego, California-based utility Sempra. Its projects included Cameron LNG in Louisiana, Port Arthur LNG in Texas, and Costa Azul LNG in Mexico.

The two parties aim to further project structuring, improve the global energy supply chain through the delivery of liquefied natural gas, and other decarbonization efforts in the United States and Japan, spanning various sectors such as hydrogen

Lower carbon intensity

“Sempra Infrastructure is thrilled to expand its collaboration with JBIC as we look forward to advancing projects that lower the carbon intensity of our energy delivery assets in North America,” says Sempra Infrastructure chief executive Justin Bird.

Sempra has partnered with Japanese companies in various ways for many years. These partnership efforts include the Cameron LNG facility and a recently announced strategic collaboration with a Japanese consortium, which calls for the evaluation of potential enhancements of the energy supply chain through e-natural gas, a synthetic gas combining green hydrogen and carbon-neutral carbon dioxide.

In addition, the company is developing the Hackberry Carbon Sequestration Project, in which two Japanese companies are likely to participate. Both the e-NG and carbon sequestration projects are in close geographical proximity to the Cameron LNG facility.

JBIC financially supports the creation of business opportunities for Japanese companies, while underpinning the country’s energy security.

KKR joins Texas LNG project

In 2023 Sempra Infrastructure completed the sale of a stake in the Port Arthur LNG project in Texas to KKR. The New York-based investment firm now holds a 42% indirect, non-controlling interest in the Port Arthur LNG Phase 1 project.

The transaction resulted in Sempra Infrastructure retaining a controlling 28% indirect interest in the project, with ConocoPhillips owning the remaining 30%. US engineering firm Bechtel Energy has been contracted to build the facility.

Progress also continues at Energia Costa Azul LNG Phase 1 on the Pacific Coast of Mexico, where construction remains on track and commercial operations are scheduled to start in the summer of 2025.

The company is also pursuing a Phase 2 development project at the Cameron plant in Louisiana, with partners including Mitsui & Co, Mitsubishi Corporation, TotalEnergies, and Tokyo-based shipping company NYK Line.

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