California-based Sempra Energy and Saudia Aramco have announced preliminary steps to begin development of a liquid natural gas production facility in Port Arthur.
Once completed, the Port Arthur LNG facility is projected to be capable of producing 11 million tonnes of liquid natural gas annually, according to a report by the Beaumont Enterprise. However the value of the facility has not been provided by the partners in the venture.
Saudi Aramco is investing in the facility on the assumption the liquid natural gas is going to be a growing area of importance, said Amin H. Nasser, Saudi Aramco’s President and CEO.
The company is also looking at similar deals with Houston-based Tellurian.
“This agreement with Sempra Energy is another step forward for Saudi Aramco’s long-term gas strategy, and toward becoming the global leading integrated energy and chemicals company,” Nasser said.
Currently Opec+ countries, including Saudi Arabia, are dealing with unstable prices in the crude oil market, as well as uncertainty regarding the trade situation with the U.S.
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