Sempra Energy has plans to sell several energy infrastructure assets, following a comprehensive strategic review of its businesses and asset portfolio over the past year.
The sale includes its entire portfolio of U.S. wind and U.S. solar assets, as well as certain U.S. midstream assets. The board of directors approved the asset sales on June 25.
The sales price is estimated to be between $1.47 billion and $1.55 billion.
Midstream assets included in the planned sales are Mississippi Hub, LLC, an underground salt dome with 22 billion cubic feet (Bcf) of working natural gas storage capacity located near Jackson, Miss., along with related compression and pipeline facilities; and the company’s 90.9 percent ownership interest in Bay Gas Storage Company, Ltd., a 20 Bcf natural gas storage facility near Mobile, Ala. Both storage facilities are part of Sempra LNG & Midstream.
Also part of the planned sales are all of Sempra Renewables’ solar and wind assets and investments, including wholly owned facilities, and joint-venture and tax-equity investments with a total generating capacity of approximately 2,600 megawatts, as well as projects in development.
The asset sales are to help the firm “fend off activists investors pushing for six board seats and a review of the entire business,” according to The Wall Street Journal.
