NextDecade says still expects Rio Grande LNG FID this year

US liquefaction plant developer NextDecade said Monday it still expects to take a final investment decision this year to build its proposed Rio Grande LNG export plant in Texas.

The firm announced this in a statement saying it has completed a “pricing refresh” with engineering giant Bechtel on the lump-sum turnkey EPC agreements for the first three trains at the LNG project.

According to NextDecade, the move resulted in no impact to the overall cost of the project.

In addition, the pricing in the EPC agreements is now valid until December 31, 2021, it said.

Moreover, NextDecade and Bechtel agreed to extend the validity of the EPC agreements until July 31, 2022.

To remind, the duo signed two deals back in 2019. The EPC contracts are for the first phase of the LNG project, which consists of three liquefaction trains, two 180,000 cubic meter storage tanks and two marine berths totaling $9.56 billion.

NextDecade also in the meantime changed the design of the project scrapping one train out of the total six, but the output stayed the same.

The full-scope of the Rio Grande project now includes five trains for a total capacity of 27 million tonnes per year.

NextDecade said on Monday it anticipates achieving a final investment decision on a “minimum of two trains” at Rio Grande LNG in 2021.

“Our global LNG customers, feed gas suppliers, and other stakeholders can have the utmost confidence in the on-time and on-budget delivery of our Rio Grande LNG project,” said Matt Schatzman, NextDecade’s chief executive.

“We are pleased to continue to progress our engineering and procurement activities under limited notices to proceed, and we look forward to providing Bechtel with a full notice to proceed with the development of this world-class project immediately following FID,” he said.

Most Popular

LNG shipping rates continue to decrease

Spot LNG freight shipping rates in both basins continued to decrease this week, while European prices increased compared to last week.

GTT secured orders for nine LNG carriers in Q1

French LNG containment giant GTT received orders for nine liquefied natural gas carriers in the first quarter, while its revenue rose 31.6 percent compared to the same period last year.

QatarEnergy LNG carrier named in China

China’s Hudong-Zhonghua hosted a naming ceremony for one 174,000-cbm liquefied natural gas (LNG) carrier built as part of the massive QatarEnergy shipbuilding program.

More News Like This

NextDecade, TotalEnergies seal 20-year LNG SPA

French energy giant TotalEnergies has exercised its option to buy liquefied natural gas (LNG) from the planned fourth train at NextDecade's Rio Grande LNG facility in Texas.

NextDecade, Aramco seal 20-year LNG SPA

Saudi Arabia’s energy behemoth Aramco has signed a 20-year deal to buy liquefied natural gas from NextDecade’s Rio Grande LNG export terminal in Texas.

South Korea’s SNT Energy scores more Louisiana LNG work

US engineering and construction giant Bechtel has awarded South Korea's SNT Energy more work to provide additional air coolers for Woodside's Louisiana LNG export project.

US FERC issues draft supplemental EIS for NextDecade’s Rio Grande LNG project

The US Federal Energy Regulatory Commission (FERC) has released a draft supplemental environmental impact statement for NextDecade's Rio Grande LNG facility in Texas. The regulator said that it continues to conclude that approval of the project would result in "less than significant impact."