WATCH: NextDecade breaks ground on Rio Grande LNG

Texas-based energy company NextDecade has officially started the construction of Phase 1 of the 27 million tonnes per annum (mtpa) Rio Grande LNG export facility in Brownsville.

Groundbreaking ceremony for Rio Grande LNG (Screenshot). Source: NextDecade

To mark the official kick-off, the groundbreaking ceremony was held on October 3, 2023, in the presence of the project’s partners, stakeholders, investors, and teammates.

In his speech on the occasion, Matt Schatzman, Chairman and CEO of NextDecade, said the Rio Grande LNG Phase 1 is a project that will help shape the company’s future and the future of Rio Grande Valley from an energy perspective.

He added that the project will deliver low-carbon LNG to the rapidly growing natural gas market and that countries worldwide will be looking to Brownsville to help meet their critical energy needs.

View on Youtube.
Source: NextDecade

To remind, NextDecade reached FID for Phase 1 of the Rio Grande LNG export facility and issued the notice to proceed to Bechtel Energy to begin construction under its engineering, procurement, and construction contracts (EPC).

Phase 1, with a nameplate liquefaction capacity of 17.6 mtpa, has 16.2 mtpa of long-term binding LNG sale and purchase agreements (SPAs) with TotalEnergies, Shell NA LNG, ENN LNG, Engie, ExxonMobil LNG Asia PacificGuangdong Energy GroupChina Gas Hongda Energy TradingGalp Trading and Itochu Corporation.

NextDecade entered into a credit agreement with a group of lenders for $356 million of senior loans to finance a portion of Phase 1 at Rio Grande LNG.

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