Rising construction costs are likely to give brownfield liquefied natural gas (LNG) projects an extra advantage over greenfield sites as planned developments move toward sanction, Sempra CEO Jeff Martin said Thursday.

Sempra

“Greenfield projects tend to have a little bit of a higher per-unit cost than brownfield projects, Martin said during the 2Q2021 earnings call. “This will continue to put pressure on that dichotomy.”

In June Sempra placed its greenfield Port Arthur, TX, LNG export project on the backburner, with a view to bring forward a final investment decision on its brownfield Cameron LNG expansion at the end of 2022. San Diego-based Sempra is also advancing plans for an expansion at its Energia Costa Azul (ECA) LNG project in Mexico, the initial phase of which was...