The MoU covers joint collaboration around project development and offtake across multiple business areas, including LNG, carbon capture and sequestration, and hydrogen infrastructure.
"We are excited to work with KOGAS to advance the development of a series of critical, energy-transition projects," said Justin Bird, CEO of Sempra Infrastructure. "Given our shared values and strategies, there are multiple opportunities for Sempra Infrastructure and KOGAS to collaborate across the lower-carbon value chain to deliver cleaner and more secure energy to our partners around the world."
"Signing this MOU, KOGAS and Sempra Infrastructure share a strong commitment to decarbonization and green energy, including a joint commitment to take a leadership role in the lower-carbon energy market. KOGAS will focus on securing a new growth engine for the future by developing new business projects with Sempra Infrastructure," said Chae Hee-bong, KOGAS CEO and President.
Sempra Infrastructure is currently developing multiple energy transition projects in North America, including LNG export projects to serve customers in the Atlantic and Pacific Basin, as well as new opportunities in renewable energy, carbon capture and sequestration, hydrogen and ammonia.
The referenced MOU is non-binding, and the development of these joint projects is subject to a number of risks and uncertainties, including reaching definitive agreements, securing all necessary permits, and reaching a final investment decision with respect to each project.
LNG phase 2 export project deal signed with affiliates of TotalEnergies, Mitsui & Co. and Japan LNG Investment
Separately Sempra Infrastructure has entered into a Heads of Agreement (HOA) with affiliates of TotalEnergies, Mitsui & Co. and Japan LNG Investment, a company jointly owned by Mitsubishi Corporation and Nippon Yusen Kabushiki Kaisha (NYK), for the development of the Cameron LNG Phase 2 export project in Hackberry, Louisiana.
“We are excited to continue advancing Cameron LNG Phase 2 with our partners,” said Bird. “Today’s announcement represents the shared focus of the Cameron LNG partners to increase the supply of cleaner US natural gas to global markets, while also facilitating the energy security of our allies.”
The HOA provides the commercial framework for the expansion of the Cameron LNG facility by adding a fourth LNG train and increasing the production capacity of the three operating trains through 'debottlenecking' activities.
The HOA also contemplates the allocation to Sempra Infrastructure of 50.2% of the projected fourth train production capacity and 25% of projected debottlenecking capacity under tolling agreements, with the remaining capacity allocated equally to the existing Cameron LNG Phase 1 customers. Sempra Infrastructure plans to sell the LNG corresponding to its capacity under long-term sale and purchase agreements prior to taking a final investment decision.
Sempra and TotalEnergies have signed two other MoUs, covering Sempra Infrastructure's proposed Vista Pacífico LNG project in Mexico; and a second MOU for a proposed offshore wind project in California under development by TotalEnergies, as well as other renewable energy and energy storage projects under development by Sempra Infrastructure in Northern Mexico.
TotalEnergies claims it has become the leading exporter of US LNG, and has a pipeline of 4GW of solar projects and 3GW of offshore wind projects currently under development in the country.