IEnova, BP Sign Contract For Liquid Fuels Terminal In Baja California, Mexico

(Sempra Energy, 11.Sep.2018) — Sempra Energy announced its Mexican subsidiary, Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) signed a long-term contract with British Petroleum (BP) for the remaining 50 percent of the initial capacity of the proposed Baja Refinados liquid fuels marine terminal in Baja California, Mexico.

Under the agreement, BP will have storage capacity of 500,000 barrels of liquid fuels to supply its growing network of service stations in northern Mexico. In addition, subject to the execution of certain agreements, BP will have the option to acquire up to 25 percent of the terminal’s equity after commercial operations begin in the second half of 2020.

In April, IEnova announced it signed a long-term contract with Chevron Combustibles de México S. de R.L. de C.V for approximately 50 percent of the facility’s initial storage capacity to supply Chevron service stations and other commercial and industrial consumers.

“The Baja Refinados project is an important part of our growth strategy,” said Carlos Ruiz Sacristán, chairman and CEO of the Sempra North American Infrastructure group and chairman of IEnova. “This new terminal will increase Baja California’s energy reliability and will foster competitive prices for gasoline and other refined products on the West Coast of Mexico.”

IEnova will be responsible for the development of the liquid fuels terminal project, including financing, obtaining permits, engineering, procurement and construction, as well as maintenance and operations. The project will be located at the La Jovita Energy Hub in Ensenada and have an initial capacity of 1 million barrels of liquid fuels, with the potential for future expansion.

IEnova develops, builds and operates energy infrastructure in Mexico. As of the end of 2017, the company had invested more than $7.6 billion in operating assets and projects under construction in Mexico, making it one of the largest private energy companies in the country. IEnova was the first energy infrastructure company to be listed on the Mexican Stock Exchange.

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Sempra Energy Forms North American Infrastructure Group

(Sempra Energy, 8.Aug.2018) – Sempra Energy formed a new operating group for its North American infrastructure businesses and named Carlos Ruiz Sacristán chairman and CEO of the group, Sempra North American Infrastructure. Ruiz has served as chairman and CEO of Sempra Energy’s Mexican operating subsidiary, Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) (BMV: IENOVA) since 2012.

Ruiz and the new Sempra North American Infrastructure group will report to Joseph A. Householder, president and chief operating officer of Sempra Energy. The group will encompass Sempra Energy’s Mexican operations contained within IEnova, Sempra LNG & Midstream’s existing operations, including Cameron LNG and all other liquefied natural gas (LNG) development and marketing activities.

As part of his new role, Ruiz will continue to serve as executive chairman of the board of directors of IEnova.

“Carlos Ruiz has overseen exceptional growth at IEnova, including its successful initial public offering in Mexico in 2013,” said Jeffrey W. Martin, CEO of Sempra Energy. “This new streamlined organizational structure will better align our non-utility operations to serve our global customers, and develop and execute projects even more effectively.”

“I’m honored and excited to serve in this new role at Sempra Energy and to continue my close involvement with IEnova,” said Ruiz. “We’ve built a strong and deep leadership team at IEnova and I will be devoting my full attention to growing Sempra Energy’s North American infrastructure business.”

Previously, Ruiz was a member of Sempra Energy’s board of directors from 2007 to 2012, when he became chairman and CEO of IEnova. Ruiz served as Mexico’s Secretary of Communications and Transportation during the administration of Dr. Ernesto Zedillo Ponce de León from 1994 to 2000. Previously he served in various positions at the Central Bank (Banco de Mexico) from 1974 to 1988, the Ministry of Finance from 1988 to 1992, and Petróleos Mexicanos in 1994. He currently is a member of the board of directors of Southern Copper Corp, Banco Ve por Más, S.A de C.V., Grupo Creatica, S.A. de C.V., member of the Technical Committee of Diego Rivera and Frida Kahlo Museum and a member of the Technical Committee Trust of Museo Nacional de Energía y Tecnología.

Ruiz, 68, holds a bachelor’s degree in business administration from Anahuac University in Mexico City and a master’s degree in business administration from Northwestern University in Chicago.

Tania Ortiz Mena, 48, will succeed Ruiz as CEO of IEnova, effective Sept. 1. Ortiz will report to Ruiz and will be nominated to serve on IEnova’s board of directors. Ortiz has served as IEnova’s chief development officer since 2014 and has held a range of leadership positions with IEnova since joining the company in 2000, including vice president for business development and external affairs, vice president of external affairs and director for government and regulatory affairs. Previously, Ortiz worked for PMI, Pemex’s international trading subsidiary.

Ortiz is a board member of Oncor Electric Delivery Co. and the Mexican Natural Gas Association, as well as vice president of the board for the World Energy Council – Mexico Chapter, member of the Energy Regulatory Commission Advisory Board and member of the Mexican Council for International Relations.

Octávio M. Simões, 59, currently president of Sempra LNG & Midstream, has been promoted to president and CEO of that company, reporting to Ruiz. Simões and his team will focus on maximizing the value of the company’s LNG opportunities. Simões also will continue in his role as chairman of Cameron LNG, LLC., the joint venture of which Sempra owns 50 percent. He has served as president of Sempra LNG & Midstream since 2012. Previously he was vice president of commercial development for Sempra LNG, where he was responsible for marketing the capacity of LNG receipt terminals, developing LNG facilities, securing LNG supply, securing shipping and acquiring equity positions in liquefaction plants. Prior to that, Simões served as vice president of asset management and vice president of planning and analysis for Sempra Generation, and in senior positions with Earth Tech and NEERI.

Justin C. Bird, 47, currently vice president of gas infrastructure and special counsel for Sempra Energy, has been named chief development officer for the Sempra North American Infrastructure group. In his new role reporting to Ruiz, Bird will be responsible for activities related to project development for all current and future LNG and midstream projects.

Amy Chiu, 52, vice president of asset management for Sempra LNG & Midstream, has been named chief asset management officer for the Sempra North American Infrastructure group. In her new role, Chiu will oversee Cameron LNG joint-venture management, Energía Costa Azul joint-venture management and LNG operations.

Kathryn J. Collier, 50, vice president and treasurer for Sempra Energy, has been appointed chief financial officer and chief administrative officer for the Sempra North American Infrastructure group. In her new role, she will oversee accounting, economic and financial modeling, human resources, information technology and procurement for the new operating group.

All of the organizational changes described above are effective Aug. 25, unless noted otherwise.

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IEnova to Spend $150 Mln on Mexican Terminal

(San Diego Union Tribune, Rob Nikolewski, 9.Jul.2018) – Continuing its aggressive corporate strategy, IEnova – the Mexican subsidiary of San Diego-based Sempra Energy – added another asset to its energy portfolio Monday by announcing it will spend $150 million to build and operate a liquid fuels marine terminal in the northwest state of Sinaloa.

The federal port authority in the town of Topolobampo, located on the Gulf of California, awarded a 20-year contract to IEnova to construct the terminal that in its first phase will have a storage capacity of 1 million barrels of fuel, mainly gasoline and diesel.

IEnova officials said the company has “achieved significant commercial progress with potential customers” to have the terminal fully contracted and said additional phases of the project could expand to include storage of other products such as petrochemicals.

“IEnova’s success in developing new energy infrastructure is contributing to Mexico’s economic growth, creating jobs and diversifying energy supply while benefiting millions of Mexican energy consumers,” said Joseph Householder, Sempra’s chief operating officer, in a statement.

Monday’s announcement comes just three months after IEnova announced a $130 million investment in a liquid fuels terminal near Ensenada, Mexico, to serve customers in the northern border state of Baja, California. The company signed a long-term contract with the local unit of Chevron as part of the deal.

IEnova has invested about $7.6 billion in energy projects in Mexico, ranging from wind farms to solar power plants to natural gas pipelines and facilities, capitalizing on the country’s energy reform measures that are aimed at attracting private investors to help upgrade Mexico’s energy infrastructure.

Just 7 percent of the country’s households have access to natural gas and the Mexican government wants 35 percent of its power generation to come from renewable sources by 2024.

“We are in the right place, at the right time, with the right team and with the right parent company,” said IEnova CEO Carlos Ruiz Sacristán at an analysts conference in New York City last month.

Meanwhile, a group of activist investors with 4.9 percent stake in Sempra wants to add or replace at least six members of Sempra’s board and has called for the parent company to sell or spin off some of its subsidiaries, including IEnova.

Headed by Elliott Management and Bluescape Resources, the group says assets like IEnova may be valuable but believes a dramatic streamlining of Sempra can add up to $16 billion in shareholder value.

On June 28, Sempra CEO Jeff Martin announced the company will sell all of its solar and wind holdings in the U.S., as well as gas storage facilities in the Deep South, but did not mention making any changes in regards to IEnova or other subsidiaries.

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