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Bechtel, Sempra Energy Announce EPC Contract for Liquefaction Project; Jeffrey Martin, Brendan Bechtel Quoted

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Bechtel and Sempra Energy have signed a fixed-price engineering, procurement and construction (EPC) contract for the Port Arthur LNG liquefaction project under development in Port Arthur, Texas, the company announced on Tuesday.

"Building new export infrastructure in the U.S. is critical to providing overseas markets with cleaner fuel alternatives," said Jeffrey W. Martin, chairman and CEO of Sempra Energy. "Partnering with a world-class construction firm like Bechtel bolsters our execution plan for one of the world's largest LNG development projects."

Under the EPC contract, Bechtel’s oil, gas and chemical division will support the Liquefaction project by providing engineering, procurement, construction, commissioning, startup, performance tests as well as operator training activities. The contract also requires Bechtel to perform pre-final investment decision engineering to assure cost and schedule.

The Port Arthur LNG development project will include two liquefaction trains, two liquefied natural gas (LNG) storage tanks, a marine berth and associated loading facilities and related infrastructure necessary to provide liquefaction services, with a nameplate capacity of approximately 13.5 million tonnes per annum (Mtpa) of LNG. 

Sempra’s site includes 3,000 acres of land, three miles of the Sabine-Neches waterway and has the potential to become one of the largest LNG export projects in North America, with expansion capabilities of up to eight liquefaction trains and approximately 45 Mtpa of capacity.

The companies have estimated that, after the completion of the project, 5,000 construction jobs, as well as several hundred additional Texas jobs will be created. In addition, approximately 200 long-term jobs will open to operate and maintain the Port Arthur LNG facility.

"We are honored and grateful that Sempra has chosen Bechtel as their trusted partner to help grow Sempra's LNG business on the Gulf Coast. Together, we will deliver an important, clean and sustainable energy source to the world while creating jobs and building economic opportunities for the Gulf Coast community," Bechtel's chairman and CEO Brendan Bechtel said.

About Bechtel

Bechtel is a trusted engineering, construction and project management partner to industry and government. Differentiated by the quality of its people and a relentless drive to deliver the most successful outcomes, Bechtel aligns its capabilities to customers' objectives to create a lasting positive impact. 

Since 1898, Bechtel has helped customers complete more than 25,000 projects in 160 countries on all seven continents that have created jobs, grown economies, improved the resilience of the world's infrastructure, increased access to energy, resources, and vital services, and made the world a safer, cleaner place.

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