NextDecade’s Rio Grande LNG seeks FERC extension

In 2019, NextDecade won approval from the US FERC to build the LNG terminal with up to five trains by November 2026.

After that, NextDecade secured a two-year extension from FERC in 2022.

“However, given intervening events, substantial completion of Train 1 is not anticipated until the fourth quarter of 2027, and the four remaining Trains will be brought online sequentially thereafter, with Train 5 scheduled to be placed in service in the second quarter of 2031,” Rio Grande LNG told FERC in its extension request on April 24.

“Accordingly, the Rio Grande entities herein request, for good cause shown, an extension of time for an additional three years to complete construction and make all project facilities available for service by November 22, 2031,” it said.

FID reached for all five trains

Rio Grande LNG said that it has “diligently” worked to develop, finance, and construct the terminal, making “good faith” efforts to meet the service commencement deadline stipulated in both the 2019 order and the extension order.

“However, events beyond their control have made it impossible for the Rio Grande entities to do so,” it said.

Since the Commission issued the extension order, NextDcade has reached a positive final investment decision (FID) for all project facilities.

On July 12, 2023, NextDecade announced it reached FID for the first phase of construction of the terminal, consisting of the first three trains and related common facilities (Phase 1 facilities).

Bechtel is the project’s EPC contractor.

NextDecade announced that a positive FID was achieved and full NTP was issued to Bechtel for Train 4 on September 9, 2025, and a positive FID was achieved and full NTP was issued to Bechtel for Train 5 on October 16, 2025.

This brings the total expected LNG production capacity under construction at Rio Grande LNG to approximately 30 mtpa.

5,000 construction workers on site

Rio Grande LNG noted that construction is now “well underway” for the full terminal, and the Rio Grande entities are carrying out activities site-wide for all five trains.

The company said that the Rio Grande entities have already invested significant capital towards the development and construction of the terminal, in excess of $10.5 billion.

At present, there are approximately 5,000 construction workers on site, according to the firm.

The company said that there have been no significant changes to the terminal site that would
render FERC’s current environmental analysis stale, and Commission staff regularly visit the project site to ensure full compliance with the conditions of the FERC orders.

“Despite the diligent efforts of the Rio Grande Entities and the significant progress made to date, the Rio Grande entities have encountered unforeseen circumstances that resulted in delays outside of their control that are preventing them from meeting the Commission’s in-service deadline to complete construction of all project facilities,” the company said.

“Namely, the seemingly endless cycle of rehearing and remand of the FERC orders detrimentally impacted timely financing and construction progress at the terminal,” it said.

“Clearer line of sight”

With workers mobilized and construction “well underway” for all five trains, the Rio Grande entities now have a “clearer line of sight” on the construction schedule for the five-train terminal.

Construction of Trains 1-3 is estimated to be completed by the first quarter of 2029, and construction of Train 4 and Train 5 is estimated to be completed by the second quarter of 2031.

“Thus, accounting for any potential adverse weather and other unavoidable delays, the Rio Grande entities estimate they will have completed construction of all authorized project facilities by no later than November 22, 2031,” Rio Grande LNG said.

“For the foregoing reasons, the Rio Grande entities request that the Commission grant a three-year extension of time so that they have the required time to construct the project facilities, including an allocation for minor schedule slippage associated with adverse weather or other unforeseen circumstances,” it said.

The Rio Grande entities request that the Commission grant this extension request by June 24, 2026.