SAN DIEGO, Oct. 6, 2017 /PRNewswire/ -- Sempra Energy (NYSE:
SRE) today announced that its Mexican subsidiary, Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) (BMV: IENOVA), has
acquired Pemex Transformación Industrial's participation in Ductos y Energeticos del Norte, and, as a result, IEnova will
increase its indirect participation in the Los Ramones II Norte pipeline to 50 percent from 25 percent.
IEnova will acquire Pemex's stake in the pipeline for $231 million, plus the assumption of
$289 million in debt, representing Pemex's portion of the outstanding debt in the pipeline.
The approximately 452-km, 42-inch diameter pipeline commenced operations in February 2016 and
transports natural gas from Nuevo Leon to San Luis Potosí. It has a designed transportation
capacity of 1,420 billion cubic feet per day and two compressor stations. Los Ramones II Norte interconnects with the Los Ramones
I pipeline and the Los Ramones II Sur pipeline in central Mexico.
The transaction is expected to close in the fourth quarter 2017, once the required authorizations have been obtained,
including approval from Mexico's Federal Antitrust Commission. The transaction will be subject
to customary post-closing adjustments included in the purchase and sale agreement.
Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company with 2016
revenues of more than $10 billion. The Sempra Energy companies' more than 16,000 employees serve
approximately 32 million consumers worldwide.
This press release contains statements that are not historical fact and constitute forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by words like
"believes," "expects," "anticipates," "plans," "estimates," "projects," "forecasts," "contemplates," "assumes," "depends,"
"should," "could," "would," "will," "confident," "may," "can," "potential," "possible," "proposed," "target," "pursue,"
"outlook," "maintain," or similar expressions or discussions of guidance, strategies, plans, goals, opportunities, projections,
initiatives, objectives or intentions. Forward-looking statements are not guarantees of performance. They involve risks,
uncertainties and assumptions. Future results may differ materially from those expressed in the forward-looking
statements.
Factors, among others, that could cause actual results and future actions to differ materially from those described in
forward-looking statements include: the risk that Sempra Energy's proposed merger involving Energy Future Holdings Corp. (EFH)
and EFH's indirect interest in Oncor Electric Delivery Company LLC (Oncor) (the Merger) may be unable to obtain bankruptcy court
and governmental and regulatory approvals required for the Merger, or that required bankruptcy court and governmental and
regulatory approvals may delay the Merger or result in the imposition of conditions that could cause the parties to abandon the
transaction or be onerous to Sempra Energy; the risk that a condition to closing of the Merger may not be satisfied, including
receipt of a satisfactory supplemental private letter ruling from the Internal Revenue Service; the risk that Sempra Energy may
be unable to obtain the external financing necessary to pay the consideration and expenses related to the Merger on terms
favorable to Sempra Energy, if at all; the risk that the transaction may not be completed for other reasons, or may not be
completed on the terms currently contemplated; the expected timing to consummate the Merger; the risk that the businesses will
not be integrated successfully or may be subject to unexpected or previously unknown risks or liabilities; the risk that the
anticipated benefits from the transaction may not be fully realized or may take longer to realize than expected; disruption from
the Merger may make it more difficult to conduct business as usual or maintain relationships with customers, employees or
suppliers; the diversion of management time and attention to Merger-related issues and related legal, accounting and other costs,
whether or not the Merger is completed; actions and the timing of actions, including decisions, new regulations, and
issuances of permits and other authorizations by the California Public Utilities Commission, U.S. Department of Energy,
California Division of Oil, Gas, and Geothermal Resources, Federal Energy Regulatory Commission, U.S. Environmental Protection
Agency, Pipeline and Hazardous Materials Safety Administration, Los Angeles County Department of Public Health, states, cities
and counties, and other regulatory and governmental bodies in the United States and other
countries in which we operate; the timing and success of business development efforts and construction projects, including risks
in obtaining or maintaining permits and other authorizations on a timely basis, risks in completing construction projects on
schedule and on budget, and risks in obtaining the consent and participation of partners; the resolution of civil and criminal
litigation and regulatory investigations; deviations from regulatory precedent or practice that result in a reallocation of
benefits or burdens among shareholders and ratepayers; modifications of settlements; delays in, or disallowance or denial of,
regulatory agency authorizations to recover costs in rates from customers (including with respect to regulatory assets associated
with the San Onofre Nuclear Generating Station facility and 2007 wildfires) or regulatory agency approval for projects required
to enhance safety and reliability; the availability of electric power, natural gas and liquefied natural gas, and natural gas
pipeline and storage capacity, including disruptions caused by failures in the transmission grid, moratoriums or limitations on
the withdrawal or injection of natural gas from or into storage facilities, and equipment failures; changes in energy markets;
volatility in commodity prices; moves to reduce or eliminate reliance on natural gas; the impact on the value of our investment
in natural gas storage and related assets from low natural gas prices, low volatility of natural gas prices and the inability to
procure favorable long-term contracts for storage services; risks posed by actions of third parties who control the operations of
our investments, and risks that our partners or counterparties will be unable or unwilling to fulfill their contractual
commitments; weather conditions, natural disasters, accidents, equipment failures, computer system outages, explosions,
terrorist attacks and other events that disrupt our operations, damage our facilities and systems, cause the release of
greenhouse gases, radioactive materials and harmful emissions, cause wildfires and subject us to third-party liability for
property damage or personal injuries, fines and penalties, some of which may not be covered by insurance (including costs in
excess of applicable policy limits) or may be disputed by insurers; cybersecurity threats to the energy grid, storage and
pipeline infrastructure, the information and systems used to operate our businesses and the confidentiality of our proprietary
information and the personal information of our customers and employees; capital markets and economic conditions, including the
availability of credit and the liquidity of our investments; fluctuations in inflation, interest and currency exchange rates and
our ability to effectively hedge the risk of such fluctuations; changes in the tax code as a result of potential federal tax
reform, such as the elimination of the deduction for interest and non-deductibility of all, or a portion of, the cost of imported
materials, equipment and commodities; changes in foreign and domestic trade policies and laws, including border tariffs,
revisions to favorable international trade agreements, and changes that make our exports less competitive or otherwise restrict
our ability to export; the ability to win competitively bid infrastructure projects against a number of strong and aggressive
competitors; expropriation of assets by foreign governments and title and other property disputes; the impact on reliability of
San Diego Gas & Electric Company's (SDG&E) electric transmission and distribution system due to increased amount and
variability of power supply from renewable energy sources; the impact on competitive customer rates due to the growth in
distributed and local power generation and the corresponding decrease in demand for power delivered through SDG&E's electric
transmission and distribution system and from possible departing retail load resulting from customers transferring to Direct
Access and Community Choice Aggregation or other forms of distributed and local power generation, and the potential risk of
nonrecovery for stranded assets and contractual obligations; and other uncertainties, some of which may be difficult to predict
and are beyond our control.
These risks and uncertainties are further discussed in the reports that Sempra Energy has filed with the Securities and
Exchange Commission. These reports are available through the EDGAR system free-of-charge on the SEC's website,
www.sec.gov , and on the company's website
at www.sempra.com . Investors
should not rely unduly on any forward-looking statements. These forward-looking statements speak only as of the date
hereof, and the company undertakes no obligation to update or revise these forecasts or projections or other forward-looking
statements, whether as a result of new information, future events or otherwise.
Sempra South American Utilities, Sempra Infrastructure, Sempra LNG & Midstream, Sempra Renewables, Sempra Mexico and
Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) are not the same as the California Utilities, San Diego Gas &
Electric Company (SDG&E) or Southern California Gas Company (SoCalGas), and are not regulated by the California Public
Utilities Commission.
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SOURCE Sempra Energy