Sempra, Japan’s JERA enter into 20-year LNG supply deal

Sempra Infrastructure, a unit of U.S. energy company Sempra, will supply 1.5 million tonnes of liquefied natural gas (LNG) per year to Japan's biggest power generator JERA in a 20-year deal, it said on Thursday.

The LNG would be supplied from Sempra's Port Arthur LNG Phase 2 development project in Texas, it added.

The United States is the world's largest exporter of LNG, shipping 11.9 billion cubic feet per day of the supercooled fuel in 2024, and has gained further momentum following President Donald Trump's lifting of a moratorium on new export permits in January.

Sempra Infrastructure CEO Justin Bird said the company remains focused on advancing its Port Arthur LNG Phase 2 development project to a final investment decision.

The project has received all its key permits and is expected to include two liquefaction trains capable of producing about 13 Mtpa of LNG, the companies said in a statement.

In May, Sempra's Port Arthur Phase 2 project in Texas had won U.S. approval to export liquefied natural gas to markets in Europe and Asia.

Trump has pushed allies like Japan, which is the world's second-largest LNG buyer, and South Korea to buy U.S. oil and gas while threatening tariffs on their exports.

The Port Arthur LNG Phase 1 project, which is currently under construction, is expected to achieve commercial operation in 2027 and 2028 for trains 1 and 2, respectively.

U.S. liquefied natural gas producer NextDecade had also signed a 20-year deal in late May to supply JERA with 2 million tonnes per annum of LNG from its Rio Grande project's fifth liquefaction facility.