Sempra inks Vista Pacifico LNG deal with Mexico’s CFE

A unit of US energy firm Sempra is joining forces with Mexico’s Federal Electricity Commission to develop the planned Vista Pacífico LNG export project in Topolobampo.

In that regard, Sempra Infrastructure said in a statement on Monday it has signed a non-binding memorandum of understanding with CFE for the development of proposed projects, including Vista Pacífico LNG, a natural gas liquefaction project in Topolobampo.

The memorandum includes a natural gas regasification project in La Paz, Baja California Sur, and the resumption of operations of the Guaymas-El Oro pipeline in Sonora, it said.

Boosting supply to power plants

According to Sempra, the development of these projects would allow CFE to optimize excess natural gas and pipeline capacity from Texas to Topolobampo in order to increase its natural gas supply to its power plants in Baja California Sur.

It would also “advance President Andrés Manuel López Obrador’s commitment to supply the state with low-cost electricity and lower-emission fuels, and to promote economic growth and development of the region, with a view toward strengthening CFE’s position in global LNG markets,” the firm said.

In addition, the memorandum also addresses the return to service of the Guaymas–El Oro pipeline in Sonora through a proposed re-routing based on “mutual understanding between the Yaqui community and CFE through continued respectful dialogue.”

Through this new route, CFE would be able to supply natural gas to industrial, commercial and residential markets in the Pacific Coast of Mexico, Baja California Sur, as well as the Vista Pacífico LNG facility, Sempra said.

Mid-scale facility

Last year, Sempra said it planned to focus on its new liquefaction development in Mexico named Vista Pacifico LNG.

The mid-scale facility would have a capacity of 4 mtpa and would connect to two existing pipelines, Sempra said.

Sempra is already building the 3.25 mtpa Costa Azul LNG export project in Mexico after it took a final investment decision on the development in November 2020.

The firm also plans to build the fourth 6.75 mtpa train at its Cameron LNG export plant in Louisiana. It also aims to develop the Port Arthur liquefaction project in Texas.

Most Popular

Venture Global’s Plaquemines LNG seals new gas supply deal

Venture Global LNG’s Plaquemines LNG has signed a new natural gas sale and purchase deal with gas marketer Tenaska Marketing Ventures, according to a DOE filing.

TotalEnergies working on Mozambique LNG restart, CEO says

France's TotalEnergies and its partners in the giant Mozambique LNG project are still working with the Mozambique government on restarting construction on the 12.8 mtpa project, according to Patrick Pouyanne, CEO of TotalEnergies.

Shell takes FID on Egypt gas project

A unit of UK-based LNG giant Shell has taken the final investment decision for the development of the Mina West gas discovery in Egypt’s Mediterranean Sea.

More News Like This

Cameron LNG hits new milestone

Sempra Infrastructure, a unit of Sempra, and its partners have shipped the 1,000th cargo of liquefied natural gas from the Cameron LNG export plant in Louisiana since 2019.

Japan’s Jera seals US LNG supply deals

Japan's power firm and LNG trader Jera has signed 20-year agreements to buy up to 5.5 million tonnes per year of LNG from the United States. The deals include an SPA with Commonwealth LNG and the previously announced SPA with NextDecade, as well as heads of agreements with Sempra Infrastructure and Cheniere.

Sempra advances Port Arthur LNG construction

US LNG exporter Sempra and compatriot Bechtel continue to make progress with construction work on the first phase of the Port Arthur LNG export terminal in Texas.

Sempra gets non-FTA approval for Port Arthur LNG expansion

Sempra Infrastructure, a unit of Sempra, has received non-FTA approval from the US Department of Energy for the second phase of its Port Arthur LNG export project in Texas.