Most experts agree that North America is facing a natural gas crisis, consuming more natural gas than it is producing. Based on Sempra Energy’s internal research and analysis, the company forecasted early on that North America underestimated the popularity of natural gas and gained first-mover advantage to address this shortfall.

Sempra Energy has focused its capital and resources on the investments that will meet these critical market needs and bring the best long-term financial returns. This includes LNG receipt terminals that will enable the importation of natural gas from countries in other parts of the world. It also includes natural gas pipelines and storage facilities that will connect major natural gas supply basins with fast-growing markets.

With LNG receipt terminals under construction in Baja California, Mexico, and Louisiana — both scheduled to be completed in 2008 — Sempra LNG is poised to become one of the largest processors of LNG in North America by the end of the decade. And Sempra Pipelines & Storage is a partner in the largest pipeline to be built in the United States in the last 20 years: the Rockies Express Pipeline. Stretching from the natural gas-rich areas in the Rocky Mountains to markets in the Northeast, the pipeline will come online in phases from 2007 to 2009. The capacity is fully contracted through 2019, providing predictable long-term earnings and cash flows.