Saudi Aramco has agreed to buy 5 million tonnes of liquefied natural gas (LNG) per year from US-based Sempra for 20 years. Aramco will receive LNG from the Port Arthur LNG Phase 2 expansion project in Texas. This deal aligns with Aramco’s 25% participation in the project’s equity and its strategy to use LNG as a transition energy to reduce coal and fuel oil usage, lower greenhouse gas emissions, and enhance global energy security.
“We are excited to take this next step into the LNG sector,” said Aramco Upstream President Nasir Al-Naimi. Sempra Chairman and CEO Jeffrey Martin added that the expansion would improve energy security and offer a lower-carbon alternative to coal for electricity production. The Port Arthur LNG Phase 1 project, currently under construction, includes two trains and storage facilities, while Phase 2 will add up to two more trains capable of producing 13 million tonnes per year.