Sempra LNG to supply Polish energy company with potential 2 million tons per year

Polish PGNiG ends LNG deal over U.S. Texas Port Arthur delays

本来Poland的PGNiG与Sempra LNG 签了2023每年进口2 mtpa的LNG. 结果这个液化厂项目推迟且Biden上台后，与Poland的关系并没有以前那样好。于是2023年开始的合同作废，现在有个2024年开始的，每年5mtpa....

https://www.power-eng.com/gas/sempra-lng-to-supply-polish-energy-company-with-potential-2-million-tons-per-year/#gref

https://www.nasdaq.com/articles/polish-pgnig-ends-lng-deal-over-u.s.-texas-port-arthur-delays-2021-07-27

2021 0727

The liquefied natural gas (LNG) wing of utility owner Sempra signed a deal to supply two million metric tons per year to a power generator in Poland.

Sempra LNG entered into a memorandum of understanding with the Polish Oil and Gas Co. for the potential purchase of the LNG moved from Sempra’s portfolio of projects in North America. The deal includes working toward a framework for reporting and reducing greenhouse gas emissions throughout the LNG value chain.

The two companies has worked together prior to Tuesday’s announcement. They signed a 2018 sale and purchase agreement which will be terminated as part of the new non-binding memorandum, according to the report.

“We look forward to continuing to work with PGNiG to help meet their energy objectives from our strategically positioned LNG facilities and development projects on the Gulf and Pacific Coasts of North America,” said Justin Bird, CEO of Sempra LNG. “As we look to extend our LNG business to include net-zero solutions, working with companies like PGNiG to advance best practices in GHG mitigation can build on the global environmental benefits of substituting higher-emission fuels with lower-carbon LNG while also continuing to drive down emissions in the U.S. natural gas value chain.”  

The LNG movement in the U.S. is off-taking domestically produced natural gas, transporting it by pipeline to coasts where is frozen to liquefy for shipping and moved via export terminals. Numerous foreign utilities and companies are signing deal to receive the U.S. LNG for power generation and heating purposes.

PGNiG’s core business includes exploration and production of natural gas and crude oil. Its key branches and subsidiaries import, store, sell and distribute gaseous and liquid fuels. They also generate heat and electricity. 

Sempra LNG owns a 50.2% interest in Cameron LNG, a 12-million metric ton per annum (Mtpa) export facility operating in Hackberry, Louisiana (pictured), and is working with Cameron LNG on a proposed expansion of the facility through one additional liquefaction train with an offtake capacity of over 6 Mtpa.

Sempra LNG, IEnova and TotalEnergies are building the 3-million metric ton per annum LNG project in Baja California, Mexico. Phase 1 of the project is under construction and first production of LNG is expected by the end of 2024. A potential expansion project is in the early stages of development.

Sempra LNG is also developing additional LNG facilities and carbon sequestration infrastructure along the LNG value chain on the Gulf and Pacific Coasts of North America. 

WARSAW, July 27 (Reuters) - PGNiG PGN.WA has terminated a deal with U.S. firm Sempra Energy SRE.N for liquefied natural gas (LNG) supplies from the Texas Port Arthur project due to delays, Poland's biggest gas company said on Tuesday.

State-run PGNiG signed a 20-year agreement with Sempra in 2018, as part of its bigger plan to cut reliance on gas imports from Russia. PGNiG was to receive around 2 million tonnes of LNG per year under the deal, starting from 2023.

Sempra said in May it would probably move its planned final investment decision (FID) on the Port Arthur LNG export plant in Texas from 2021 to 2022.

"The decision was made due to delays in the project's development," PGNiG said in a statement.

PGNiG also signed a memorandum with Sempra under which it could potentially receive the volumes originally contracted at Port Arthur from other Sempra facilities.

The Polish company said it signed agreements to increase LNG purchases from U.S. company Venture Global LNG by 2 million tonnes a year to 5.5 million tonnes.

Under Poland's ruling Law and Justice (PiS) party, Warsaw has deepened its energy cooperation with the United States. It agreed to buy more U.S. LNG and also hopes the United States will help it build and finance its first nuclear power plant.

But PiS relations with Washington have weakened since Joe Biden won the U.S. presidential election.

Poland opposed the waiver of U.S. sanctions on the company behind Russia's Nord Stream 2 and condemned a U.S. deal with Germany over the project. Under that deal between Washington and Berlin, Russia would face penalty costs if Moscow used the new pipeline to harm Ukraine or other eastern European countries.

(Reporting by Agnieszka Barteczko; Editing by Edmund Blair)

((agnieszka.barteczko@thomsonreuters.com; +48226539700; Reuters Messaging: agnieszka.barteczko.reuters.com@thomsonreuters.net))

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