Rio Grande China deal
March 24 (LNGJ) - NextDecade Corp., the developer of the of Rio Grande LNG project along the Brownsville Ship Channel, has executed a binding Heads of Agreement with China’s Guangdong Energy Group Natural Gas Co., for the supply of LNG cargoes for a 20-year term. The Rio Grande project has ultimate plans and permits to produce up to 27 million tonnes per annum of LNG from five liquefaction Trains.
The accord proposes Guangdong Energy will purchase up to 1.5 MTPA of LNG indexed to US benchmark Henry Hub natural gas price. The LNG supply will initially be from Train one of Rio Grande LNG, which is expected to start commercial operations in 2026. “We are honored to have Guangdong Energy as the second foundation customer of our Rio Grande LNG project and our first Chinese customer,” said Matt Schatzman, NextDecade’s Chairman and Chief Executive.
US Rio Grande LNG export project receives permit for wider cargo marketing activities
NextDecade Corp., the developer of the Rio Grande LNG export project, said the US Department of Energy issued an order granting authorization to export cargoes to non-free trade agreement countries.
