It is expected to include two liquefaction trains capable of producing approximately 13 million tons per annum of LNG.
Sempra (SRE) stock is set to garner retail attention on Friday after the U.S. Department of Energy approved liquefied natural gas (LNG) exports to non-free-trade agreement (FTA) countries from the second phase of the company’s Port Arthur project.
The approval, the first during the second Trump administration, is a key step before the company takes a final investment decision (FID) about the project.
The Federal Energy Regulatory Commission approved the expansion plans for the LNG project at the Gulf Coast in Texas in September 2023. The plans include two liquefaction trains capable of producing approximately 13 million tons per annum of LNG.
"The project can be a key contributor to further establishing the U.S. as a leader in global energy markets, supporting U.S. trade goals and providing economic opportunity at the local, state, and national levels in the U.S.," said Justin Bird, CEO of the company’s unit Sempra Infrastructure.
The U.S. is already the world’s top LNG exporter. Demand for the commodity would likely surge even further as countries seek to reduce their trade deficit with the U.S. by purchasing more energy amid concerns about tariffs.
Trump has already reversed a ban imposed by his predecessor, Joe Biden, on further LNG exports to non-FTA countries from upcoming projects.
Sempra had said earlier in May that it expects to take an FID on Phase 2 of Port Arthur by the end of the year. The first liquefaction train of Phase 1 is scheduled to begin operations in 2027.
Retail sentiment on Stocktwits was in the ‘neutral’ (53/100) territory, while retail chatter was ‘normal.'

Sempra stock has fallen 11.7% year to date (YTD).
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