Sempra LNG Reports Mexican Court Order to Provisionally Suspend Regulatory Authorizations for Operation of LNG Terminal in Mexico

Officials of Sempra LNG, a subsidiary of Sempra Energy , today reported that, on June 18, they learned of a Mexican federal district court issuing an order on June 17 directing Mexican regulatory authorities to provisionally suspend authorizations for the operation of Sempra LNG’s liquefied natural gas (LNG) terminal near Ensenada, Mexico, pending further legal proceedings.

These legal proceedings will address an action by Ramon Eugenio Sanchez Ritchie based on his claim of possession of a land parcel adjacent to the terminal property.

The June 17 court order was issued, without notice or an opportunity to be heard to Sempra LNG, which has been engaged in a long-standing dispute with Sanchez Ritchie over this land parcel.

The company purchased the parcel in 2006 after already having obtained all permits necessary to construct and operate the terminal. None of these permits are conditioned on ownership of the land parcel in dispute.

In response to Sanchez Ritchie’s claims, Darcel L. Hulse, president and chief executive officer of Sempra LNG, said: “Sanchez Ritchie has engaged in a long-running campaign, financed by others, to discredit Sempra.

He and his financial backers are misusing the judicial, political and regulatory processes of Mexico in an attempt to extract money from the company.

We believe that Mexican authorities will see these efforts for what they are and overturn this egregious and irresponsible court action.”

[mappress]

Source: sempra lng, June 21, 2010;