Accepting Energy Leader of the Year recognition as part of last October’s Gulf Energy Information Excellence Awards in Houston, Sempra Infrastructure CEO Justin Bird was quick to praise the efforts of the organization “toward advancing our mission to build North America’s leading energy infrastructure company and to provide safe, sustainable and reliable access to cleaner energy.”

Bird’s award came a year after Sempra Infrastructure received the World Energy Transition Award at the World LNG Summit, which recognized its “focus on reducing emissions while supporting increased renewable power generation and production of alternative fuels,” according to a company statement.

It’s not hard to find examples of how the Houston-based company has strived to fulfil these ambitious, sometimes competing objectives in a region where the energy and construction industries are closely intertwined.

Both industries must continually balance the inherently long-term nature of sector and project-specific development with the nimbleness to adapt quickly to market challenges and opportunities while also recognizing commitments to the environment and local communities. These and other considerations underscore Sempra Infrastructure’s selection as ENR Texas & Louisiana Owner of the Year, recognizing what proved to be a busy 12 months in the energy sector.

William G. Gurrola, Sempra Infrastructure vice president and general manager of its Port Arthur liquefied natural gas (LNG) facility based in that Texas city says, “We have a portfolio of transformative energy projects under development and construction in Louisiana and Texas poised to create thousands of jobs while strengthening America’s position as a global energy leader.”

The first barge arrived at the Port Arthur LNG marine offloading facility in November 2024.
Photo courtesy Bechtel

Meeting the World’s Thirst for Energy

Sempra Infrastructure says its LNG portfolio includes about 45 million tonnes per year of projects under construction or development on both the Gulf and Pacific coasts.

In July of last year, the company awarded a fixed-price engineering, procurement and construction (EPC) contract to Bechtel for the Phase 2 of its Port Arthur LNG project. Its two planned LNG liquefaction trains will be able to produce a total of 13 million tonnes per year. Bechtel also will conduct commissioning, start-up, performance testing and operator training for the two trains.

The company also reports starting construction in January on a 77-mile interstate pipeline that will supply natural gas to the Port Arthur facility, while a salt cavern storage facility began construction in March.

Also in the region, Sempra Infrastructure has proposed adding a fourth liquefaction train to its Cameron LNG facility in Hackberry, La. The company says the project could allow the facility to produce approximately 6 million tonnes per year of additional LNG, bringing total capacity to approximately 18 million tonnes per year.

The new system would use E-drive technology to achieve “significant reductions in emissions” compared with use of gas turbines, the company says. Because only a limited number of contractors have the resources and expertise to handle its larger projects, the company typically uses lump-sum EPC agreements. But that does not preclude the use of other approaches, Gurrola says.

“We are always also open to utilizing other project execution agreement structures that best serve the needs of a particular project,” he explains. “Working closely with our EPC contractors, we often include incentives into the terms and conditions of the parties in the EPC agreement, so we foster efficiency and completion of work in advance of the guaranteed substantial completion dates of the project.”

The length and complexity of these projects make trust and team fundamentals essential for success. According to Bhupesh Thakkar, general manager of Bechtel’s LNG business line, these have underscored Port Arthur LNG from the outset.

“Sempra Infrastructure senior leadership and project management teams lead with purpose and transparency,” he says, adding that both organizations have very similar value systems focused on safety, people and the delivery of a quality product. “Sempra Infrastructure is open to ideas, and they provide meaningful input to help identify solutions.”

Part of the EPC contractor’s obligations, Gurrola adds, include maximizing local content in their execution plan and developing and implementing a local engagement plan.

“For multibillion-dollar projects, such as Port Arthur LNG, this means there’s still plenty of scope available for smaller subcontractors in the local region to provide materials, equipment or services that are in support of project execution,” he says. “Throughout construction, various smaller projects emerge, creating opportunities for smaller contractors to step in and complete the work.”

Phase 1 of Sempra Infrastructure’s Port Arthur LNG project includes two liquefaction trains. Phase 2 of the project could double its capacity to 26 million tonnes per year.
Rendering courtesy Port Arthur LNG

A Culture of Community

Amid the flurry of development and construction activity, Gurrola says Sempra Infrastructure strives to engage closely with local stakeholders. A comprehensive community assessment conducted last year ensures those social investment dollars align with local needs.

“This research led us to identify three key focus areas: climate action, economic prosperity and increasing opportunity that now serve as the foundation for our social performance strategy,” he says. “These focus areas shape our investments across sponsorships, strategic partnerships and community grant programs, allowing us to make a tangible impact on the communities we serve.”

As part of the Port Arthur LNG project, Sempra Infrastructure is overseeing two 600-plus-acre marshland restoration projects at the nearby J.D. Murphree Wildlife Management Area. Nearly 5 million cu yd of sediment are being pumped from a marine berth dredging operation into two marsh areas, providing a base for native vegetation to return through a planting phase that the company says is expected to begin this year.

Last year, the company reported providing grants to 18 local organizations focused on hunger relief while also offering volunteer opportunities. Sempra Infrastructure and Port Arthur LNG also awarded $128,000 grant to several local school districts, including Sabine Pass Independent School District. It has also partnered with the Mexican Red Cross to install solar panels.

Internally, the company is ensuring it has leadership expertise to take on and capitalize on transitioning energy market challenges and opportunities. Programs include the Growing Responsibilities and Opportunities for Women employee resource group, launched in 2020, "dedicated to championing and empowering women by fostering leadership and career development opportunities,” Gurrola says. The program welcomes participation from all employees, he adds.

 

Engaging the Future

“Across the industry, we anticipate more projects being constructed and coming online, bolstered by regulatory support and technological advancements,” Gurrola says, citing how a variety of innovations could optimize everything from project planning and execution to real-time monitoring, predictive maintenance and safety. “We’re excited to see how technology will continue to evolve to help energy companies deliver complex infrastructure projects more efficiently.”