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FERC said on Tuesday it had granted Rio Grande LNG’s May 7 request to construct the tug berth.
“This approval is based on FERC staff review of the information filed on July 7, 2020; July 25, 2023; October 15, 2024; and May 7, 2025,” FERC said.
The regulator noted that Rio Grande LNG must also comply with any applicable Department of Transportation and US Coast Guard requirements.
In September 2023, Gulf LNG Tugs of Brownsville signed contracts with two US yards for the construction of four tugboats, which will serve NextDecade’s Rio Grande LNG export facility.
Gulf LNG Tugs of Brownsville is a joint venture formed by Bay-Houston Towing, Moran Towing, and Suderman & Young Towing to provide tug services for RGLNG under a long-term tug services deal.
Following a bid process and in consultation with RGLNG, the JV selected Alabama-based Master Boat Builders and Texas-based Sterling Shipyard to each construct two tugs.
Rio Grande LNG construction
NextDecade is currently building three trains at the site located on the north shore of the Brownsville Ship Channel in south Texas.
In July 2023, NextDecade took the final investment decision on the first three Rio Grande trains and completed a $18.4 billion project financing.
NextDecade awarded the $12 billion EPC contract to Bechtel, and it officially kicked off work on the plant in October 2023.
The firm also closed a joint venture agreement for the first phase which included about $5.9 billion of financial commitments from Global Infrastructure Partners (GIP), GIC, Mubadala, and TotalEnergies.
NextDecade holds equity interests in the Phase 1 joint venture that entitle it to receive up to 20.8 percent of the distributions of available cash during operations.
Phase 1, with nameplate liquefaction capacity of 17.6 mtpa, has 16.2 mtpa of long-term binding LNG sale and purchase agreements.
Earlier this month, NextDecade said it expects to launch the financing process for the planned fourth train at its Rio Grande LNG export terminal in the second quarter of 2025, as construction progresses on the first three trains.
In connection with consummating the Rio Grande Phase 1 equity joint venture, the company’s equity partners each have options to invest in Train 4 equity, which, if exercised, would provide approximately 60 percent of the equity funding required for Train 4.
NextDecade has finalized 20-year LNG SPAs totaling 4.6 mtpa of LNG with Adnoc, Aramco, and TotalEnergies in support of the fourth train.
Most recently, TotalEnergies exercised its option to buy 1.5 mtpa of LNG for 20 years from the planned fourth train.
NextDecade recently also signed a 20-year SPA with Saudi Arabia’s energy behemoth Aramco.
In addition, NextDecade signed a $4.3 billion EPC contract with Bechtel last year for Train 4 and related infrastructure.
In January 2025, the company requested a pricing refresh under the Train 4 EPC contract, which is in process and is expected to be completed in the second quarter of 2025, it said.