Sapphire Gas Solutions Acquires Spectrum LNG Assets
Sapphire Gas Solutions has made another significant move in its strategy to build one of the largest vertically integrated merchant LNG platforms. The company announced the acquisition of assets owned by Spectrum LNG, including the Desert Gas LNG Plant near the California-Arizona border and a site for future expansion in Stroud, Oklahoma.
The Desert Gas LNG Plant has approximately 100,000 gallons of LNG storage capacity and around 76,000 gallons per day of operational LNG production capacity. It receives feed and fuel natural gas from TC Energy's North Baja pipeline and supplies LNG to municipal, commercial, and industrial customers in the region.
According to Sam Thigpen, CEO of Sapphire Gas Solutions, the acquisition expands upon the natural gas services the company offers its clients in the Southwest U.S. and Southern California by adding LNG production capabilities. This represents a significant step in the company's strategy to build one of the nation's largest vertically integrated merchant LNG platforms.
The Spectrum acquisition comes at a strategic time for Spectrum as it expands its footprint in Alaska, said Ray Latchem, CEO of Spectrum LNG and SES Midstream.