Sempra Infrastructure, a key subsidiary of North America’s energy infrastructure giant Sempra, has finalized a significant 20-year sale and purchase agreement with Japan’s JERA. This landmark deal, focused on supplying liquefied natural gas (LNG) from the second phase of Sempra’s LNG export terminal development in Port Arthur, Southeast Texas, marks a pivotal moment for both companies and reinforces the United States’ role as a global energy supplier.
Expanding U.S. LNG Footprint in Texas
The agreement specifically pertains to the Port Arthur LNG Phase 2 project, situated in Jefferson County, Texas. Under the terms of this long-term contract, Sempra Infrastructure will provide JERA with 1.5 million tonnes per annum (mtpa) of LNG on a free-on-board basis. This substantial offtake commitment from JERA, a major Japanese energy company, signifies a crucial step forward from the initial non-binding heads of agreement that was signed in June 2025, demonstrating a clear progression towards realizing the project’s full potential.
This strategic partnership underscores the shared commitment between Sempra Infrastructure and JERA to bolstering energy security and advancing a lower carbon future. The reliable, long-term supply of U.S. LNG is seen as instrumental in achieving these dual objectives, providing stability for energy markets and supporting environmental goals.
Strengthening Asian Market Access and Energy Security
Justin Bird, Chief Executive Officer of Sempra Infrastructure, expressed considerable enthusiasm for the agreement, highlighting its importance in solidifying the company’s relationship with JERA. “This agreement establishes a long-term relationship with JERA and confirms Sempra Infrastructure’s commitment to customers in Japan and the greater Asian market and their continued access to affordable and secure U.S. natural gas,” Bird stated.
He further elaborated on Sempra Infrastructure’s strategic focus: “We remain focused on advancing our Port Arthur LNG Phase 2 development project to a final investment decision and strengthening the role of the United States as an energy provider of choice for LNG buyers worldwide.” This sentiment reflects a broader ambition to leverage the burgeoning U.S. LNG export capacity to meet global energy demands and support international energy security initiatives.
Business Implications and Future Outlook
The Port Arthur LNG Phase 2 project, once fully operational, is expected to contribute significantly to the United States’ export capabilities, further solidifying its position as a leading global supplier of natural gas. For Sempra Infrastructure, securing long-term offtake agreements like this one with JERA is essential for moving forward with project financing and development, paving the way for a final investment decision. This development also carries substantial implications for the broader energy business landscape, particularly within Texas, which continues to be a hub for energy production and export.
The news arrives at a time when global energy markets are increasingly focused on diversification and reliability. The stable, long-term supply of LNG from the United States offers a compelling solution for countries like Japan, which are actively seeking to secure their energy futures. This new business venture between Sempra and JERA is poised to play a vital role in meeting these critical needs, reinforcing international energy partnerships and contributing to economic stability.
As Sempra Infrastructure progresses with its development plans for the Port Arthur LNG Phase 2 project, this agreement with JERA serves as a strong indicator of market confidence and the growing demand for U.S. LNG. The company’s continued investment and expansion in Texas underscore the state’s critical importance in the global energy transition and supply chain.
