Cameron LNG Reaches Another Milestone With Federal Permit Application To
Construct Liquefaction Project
SAN DIEGO, Dec. 10, 2012
SAN DIEGO, Dec. 10, 2012 /PRNewswire/ -- Sempra Energy (NYSE: SRE) today
announced it has reached another important milestone to add natural gas
liquefaction and export facilities to its existing Cameron LNG terminal in
Hackberry, La., filing its permit application with the Federal Energy
Regulatory Commission (FERC) requesting approval to begin construction of the
project. The project has been progressing successfully through the FERC
pre-filing process, which was initiated in April.
"The Cameron liquefaction project represents a significant investment in new
energy infrastructure in Louisiana that will stimulate local, regional and
national economic activity, creating new jobs and supporting small
businesses," said Mark A. Snell, president of Sempra Energy. "Our filing
keeps us on schedule to receive FERC approval and begin construction in the
fourth quarter 2013."
The net benefits of the project outlined in the FERC application include
creating nearly 3,000 direct jobs in the peak construction year and
approximately 130 full-time jobs when fully operational. The federal agency
will review the application and conduct an environmental study of the project
prior to acting on the permit.
Additional permits and approvals will be required before construction on the
Cameron liquefaction project can be completed and the project becomes
"The public scoping meetings held during the summer demonstrated strong
community support for the proposed project," said Octavio M. C. Simoes,
president of Sempra Energy's LNG operations. "Our project stimulates the
economy, creates local wetlands, promotes stability in domestic natural gas
pricing and increases global economic trade."
A report by the U.S. Department of Energy (DOE) released last week
demonstrates that increased liquefied natural gas (LNG) exports will result in
net economic benefits to the U.S. economy. The third-party study, prepared by
NERA Economic Consulting, is expected to help the DOE weigh some 15 proposals
for LNG export, including Sempra Energy's. The U.S. has more than a 100-year
supply of natural gas.
Cameron LNG already has received approval from the DOE to export LNG to
countries with which the U.S. has qualifying free-trade agreements. The
company's application to export to non free-trade agreement countries, filed
in December 2011, is expected to be among the first to be considered early
The liquefaction facility will utilize Cameron LNG's existing facilities,
including two marine berths capable of accommodating Q-Flex-sized LNG ships,
three LNG storage tanks of 480,000 cubic meters, and vaporization capability
for regasification services of 1.5 billion cubic feet (Bcf) per day. The new
liquefaction facility will be comprised of three liquefaction trains with a
total export capability of 12 million tonnes per annum of LNG, or
approximately 1.7 Bcf per day. The facility is expected to begin delivering
LNG to international markets in 2017.
Earlier this year, Cameron LNG signed commercial development agreements with
Mitsubishi Corporation, Mitsui & Co. Ltd and a subsidiary of GDF SUEZ S.A.
These commercial development agreements bind the parties to fund all
development expenses, including design, permitting and engineering for the
full capacity of the new facility.
Sempra Energy, based in San Diego, is a Fortune 500 energy services holding
company with 2011 revenues of $10 billion.The Sempra Energy companies' 17,500
employees serve more than 31 million consumers worldwide.
This press release contains statements that are not historical fact and
constitute forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. These statements can be identified
by words like "believes," "expects," "anticipates," "intends," "plans,"
"estimates," "may," "will," "would," "could," "should," "potential," "target,"
"outlook," "depends," "pursue" or similar expressions, or discussions of
guidance, strategies, plans, goals, initiatives, objectives or intentions.
Forward-looking statements are not guarantees of performance. They involve
risks, uncertainties and assumptions. Future results may differ materially
from those expressed in the forward-looking statements. Forward-looking
statements are necessarily based upon various assumptions involving judgments
with respect to the future and other risks, including, among others: local,
regional, national and international economic, competitive, political,
legislative and regulatory conditions and developments; actions and the timing
of actions by the California Public Utilities Commission, California State
Legislature, Federal Energy Regulatory Commission, U.S. Department of Energy,
Nuclear Regulatory Commission, California Energy Commission, California Air
Resources Board, and other regulatory, governmental and environmental bodies
in the United States and other countries where the company does business;
capital market conditions, including the availability of credit and the
liquidity of investments; inflation, interest and exchange rates; the impact
of benchmark interest rates, generally the U.S. Treasury bond and Moody's
A-rated utility bond yields, on the California utilities' cost of capital; the
timing and success of business development efforts and construction,
maintenance and capital projects, including risks inherent in the ability to
obtain, and the timing of the granting of, permits, licenses, certificates and
other authorizations; energy markets, including the timing and extent of
changes and volatility in commodity prices; the availability of electric
power, natural gas and liquefied natural gas, including disruptions caused by
failures in the North American transmission grid, pipeline explosions and
equipment failures; weather conditions, natural disasters, catastrophic
accidents, and conservation efforts; risks inherent in nuclear power
generation and radioactive materials storage, including catastrophic release
of such materials, the disallowance of the recovery of the investment in, or
operating costs of, the generation facility due to an extended outage, and
increased regulatory oversight; risks posed by decisions and actions of third
parties who control the operations of investments in which the company does
not have a controlling interest; wars, terrorist attacks and cyber security
threats; business, regulatory, environmental and legal decisions and
requirements; expropriation of assets by foreign governments and title and
other property disputes; the status of deregulation of retail natural gas and
electricity delivery; the inability or determination not to enter into
long-term supply and sales agreements or long-term firm capacity agreements;
the resolution of litigation; and other uncertainties, all of which are
difficult to predict and many of which are beyond the control of the company.
These risks and uncertainties are further discussed in the reports that Sempra
Energy has filed with the Securities and Exchange Commission. These reports
are available through the EDGAR system free-of-charge on the SEC's website,
www.sec.gov, and on the company's website at www.sempra.com.
These forward-looking statements speak only as of the date hereof, and the
company undertakes no obligation to update or revise these forecasts or
projections or other forward-looking statements, whether as a result of new
information, future events or otherwise.
Sempra International, LLC, and Sempra U.S. Gas & Power, LLC, are not the same
companies as San Diego Gas & Electric (SDG&E) or Southern California Gas
Company (SoCalGas) and Sempra International, LLC and Sempra U.S. Gas & Power,
LLC are not regulated by the California Public Utilities Commission.Sempra
International's underlying entities include Sempra Mexico and Sempra South
American Utilities. Sempra U.S. Gas & Power's underlying entities include
Sempra Renewables and Sempra Natural Gas.
SOURCE Sempra Energy
Contact: JC Thomas/Art Larson, Sempra Energy, +1-877-340-8875; Victor
Vilaplana, Sempra Energy, +1-877-736-7727, email@example.com
Press spacebar to pause and continue. Press esc to stop.