Sempra’s unit, Avangrid to work on US hydrogen and ammonia projects

US LNG firm Sempra Infrastructure, a unit of Sempra, is joining forces with Avangrid, a part of Spain’s Iberdola, to develop US green hydrogen and ammonia projects powered by renewable sources.

In that regard, the two firms entered into a heads of agreement, according to a statement issued on Wednesday by Sempra Infrastructure.

The deal provides a framework for the companies to identify, appraise, and potentially develop large-scale green hydrogen projects to “help meet the energy and decarbonization needs of both US and international customers,” it said.

Avangrid’s deep background in renewable development as the third largest renewables operators in the US, complements Sempra Infrastructure’s complex project development and commercial expertise across clean power, energy networks, and LNG and net-zero solutions, the statement said.

Sempra Infrastructure is currently developing multiple “energy transition” projects in North America, including LNG export projects to serve customers in both the Atlantic and Pacific Basins.

The firm operates Cameron LNG in Louisiana and is currently developing additional LNG export facilities on the Gulf Coast and Pacific Coast of North America through Cameron LNG Phase 2, Port Arthur LNG in Texas, and Energia Costa Azul LNG in Mexico.

Sempra Infrastructure added that the HOA is non-binding, and the development of these joint projects is subject to a number of risks and uncertainties, including reaching definitive agreements, and reaching a final investment decision with respect to each project.

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