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Sempra Infrastructure and EQT sign 20-year deal for Texan LNG supply

Sempra Infrastructure and EQT Corporation have signed a 20-year liquefied natural gas purchase agreement, consolidating Phase 2 of the Port Arthur LNG project in Texas and strengthening the United States’ position in the global LNG market.

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Sempra Infrastructure, a subsidiary of Sempra, and EQT Corporation have finalised a Sales and Purchase Agreement (SPA) for the supply of 2 million tonnes per annum (Mtpa) of liquefied natural gas (LNG) from the Port Arthur LNG Phase 2 project in Jefferson County, Texas. The 20-year contract involves free-on-board (FOB) delivery with pricing indexed to the Henry Hub, the U.S. natural gas benchmark.

Expansion of the Port Arthur LNG project

The agreement marks a significant step for Phase 2 of the Port Arthur LNG project, which includes the construction of two additional liquefaction trains, increasing the total site capacity to approximately 26 Mtpa once both phases are completed. Phase 1, currently under construction, targets commercial operations in 2027 for train 1 and in 2028 for train 2.

The project received regulatory approval from the Federal Energy Regulatory Commission (FERC) in September 2023, followed by an export authorisation from the U.S. Department of Energy in May 2025. These permits allow LNG exports to countries that do not have a free trade agreement with the United States.

Surge in long-term agreements

Prior to the agreement with EQT, Sempra Infrastructure had signed two additional long-term SPAs under the same project: one for 1.5 Mtpa with Japan’s JERA Co., Inc. in July 2025, and another for 4 Mtpa with ConocoPhillips earlier in August. These commitments reflect strong commercial interest in the Port Arthur LNG Phase 2 project, which still depends on the completion of key steps, including financing and a final investment decision expected in 2025.

Industrial and logistical considerations

Bechtel was selected to deliver engineering, procurement and construction (EPC) services for Phase 2. The planned infrastructure is designed to meet increasing LNG demand in international markets, particularly in Asia and Europe, while aligning with the United States’ strategy to strengthen its energy export capabilities.

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