Sempra Energy $SRE Beats Earnings, Expect Cameron LNG Train 1 to be Delayed Until 2019

On the Gulf Coast Sempra Energy $SRE reported that they are currently expecting Cameron LNG Train 1 to be delayed until 2019 due to several unstated factors. The next two trains will follow throughout 2019. Earlier Sempra had beat earnings and raised Guidance.
 
 
On the Gulf Coast Sempra Energy $SRE reported that they are currently expecting Cameron LNG Train 1 to be delayed until 2019 due to several unstated factors. The next two trains will follow throughout 2019. This drastically moves from the planned February 2018 completion date. Trains 2 & 3, which were also scheduled for completion in 2018, have been pushed back and expected to be staggered through 2019.
 
Criterion Reseach has pushed back the completion dates of the Cameron Expansion Project (Trains 4 & 5) to 2020. That project still must receive regulatory approval. In 2018, the only LNG facilities now expected online are Elba LNG (Trains 1-6), Freeport LNG Train 1 (Late-2018) and Corpus Christi LNG Train 1 (year-end 2018).
 
The company made the announcement during Sempra Energy’s Second-Quarter 2017 earnings call Friday.
 
Cameron LNG receipt terminal is located 18 miles from the Gulf of Mexico and within 35 miles of a pipeline hub that can deliver domestic natural gas to the project.
 
Sempra Q216 Earnings Beat, Guides Higher
 

Earlier $SRE reported second-quarter 2017 earnings of $259 million, or $1.03 per diluted share, up from $16 million, or $0.06 per diluted share, in the second-quarter 2016. On an adjusted basis, Sempra Energy’s second-quarter 2017 earnings increased to $276 million, or $1.10 per diluted share, from $200 million, or $0.79 per diluted share, in last year’s second quarter. 
  • Strong Performance Drives Increase in 2017 Earnings Guidance
  • Affirms 2018 Earnings-Per-Share Guidance Range of $5.30 to $5.80
  • Positive Regulatory Developments Include Approval of Two-Year Cost-of-Capital Extension, Resumption of Injections at Aliso Canyon Natural Gas Storage Facility

Debra L. Reed, chairman, president and CEO of Sempra Energy. “Strong operating results were coupled with positive regulatory outcomes, including the final regulatory decision in the Cost-of-Capital proceeding, which provides greater visibility to earnings at our California utilities over the next two years. Earlier this week, Southern California Gas Co. was able to resume limited injections at the Aliso Canyon natural gas storage facility after receiving regulatory approval in mid-July. Additionally, our Mexican business continues to expand, taking an important step forward in developing infrastructure for the promising new liquids marketin Mexico.”

Sempra LNG & Midstream
In the second quarter 2017, Sempra LNG & Midstream recorded earnings of $27 million, compared with a net loss of $149 million in the second quarter 2016. Sempra LNG & Midstream recorded a $28 million after-tax recovery in 2017 related to last year’s permanent releases of pipeline capacity, compared with a related $123 million after-tax loss in 2016.

For the first six months of 2017, Sempra LNG & Midstream recorded earnings of $28 million, compared with a net loss of $181 million in the first six months of 2016.

More Earnings: http://www.prnewswire.com/news-releases/sempra-energys-second-quarter-2017-earnings-rise-300499690.html

Sources: Criterion Research, Sempra Energy

From Traders Community Research    

Leave a Reply

Your email address will not be published. Required fields are marked *