NextDecade Corporation has signed a sales and purchase agreement with a subsidiary of Saudi Aramco under which it will supply the Saudi company with LNG from Train 4 of its Rio Grande LNG facility for 20 years, NextDecade announced on Wednesday.
Under the terms of the deal, Aramco will purchase 1.2 million tonnes per year (tpy) of LNG on a free on board basis at prices linked to Henry Hub. The contract is subject to NextDecade reaching a FID on Train 4, which rests on the company successfully acquiring financing for its construction and securing adequate commercial arrangements to support the project.
Towards this end, in May 2024, NextDecade entered into a 20-year supply agreement with ADNOC for 1.9 million tpy and welcomed the Emirati company into its shareholding with a 11.7% stake. Through the investment, ADNOC also secured an option for equity participation in the project’s Train 4 and Train 5.
In August 2024, NextDecade selected Bechtel Energy for a lump-sum EPC contract for the construction of Rio Grande’s Train 4 in a contract valued at approximately USD 4.3 billion, and in March 2025 it signed a framework agreement with Baker Hughes to use its gas turbine and refrigerant compressor technology for Train 4 through Train 8.
“We are extremely pleased to have Aramco as a customer in Rio Grande LNG Train 4. The Rio Grande LNG facility continues to attract outstanding LNG customers, which we believe is a testament to the quality of our project,” said Matt Schatzman, chairman and CEO of NextDecade.
Source: theenergyyear.com