Latest news with #Train4
Business Recorder
a day ago
- Business
- Business Recorder
US natural gas falls on hot weather forecasts
NEW YORK: US natural gas futures slipped on Friday but headed for its best week in more than a month, steered by forecasts for hotter weather that should boost the amount of gas power generators burn to keep air conditioners humming. Gas futures for July delivery on the New York Mercantile Exchange fell 3.6%, to settle at $3.85 per million British thermal units (mmBtu), after hitting its highest level since April earlier in the session at $4.148. Prices were up about 7.9% for the week. 'It's hot hot hot. Not only are temperatures heating up in the United States with a major heat wave, the tensions between Israel and Iran are still hot,' said Phil Flynn, an analyst at Price Futures Group. 'With temperatures expected to reach triple digits in major cities from Chicago to the East Coast could lead to a record-breaking demand for natural gas as air conditioners will be humming.' On the geopolitical front, a week into its campaign, Israel said it had struck dozens of military targets overnight, including missile production sites, a research body involved in nuclear weapons development in Tehran and military facilities in western and central Iran. The Iran-Israel conflict has intensified supply concerns in the global gas market, fueled by fears over the secure passage of LNG cargo through the Strait of Hormuz. The Strait of Hormuz is one of the most strategically significant chokepoints in the global energy supply chain. Financial firm LSEG said average gas output in the Lower 48 US states stood at 105.3 billion cubic feet per day so far in June, which remains below the monthly record high of 106.3 bcfd in March due primarily to normal spring maintenance earlier in the month. On Wednesday, the US Energy Information Administration said energy firms pulled 95 billion cubic feet (bcf) of gas from storage during the week ended June 13. That was a little smaller than the 98-bcf build analysts forecast in a Reuters poll and compared with an increase of 72 bcf during the same week last year and a five-year (2020-2024) average of 72 bcf for this time of year. 'How long the price increase will continue depends on the realization of the heat and how long the heat will continue and how it will take a toll on the storage,' said Zhen Zhu, managing consultant at C.H. Guernsey and Company in Oklahoma City. 'If the summer weather turns out to be normal, we may end up with a record storage level at the end of the injection season, which will put a cap on prices,' he added. Meanwhile, Freeport LNG has requested a 40-month extension from federal regulators to complete the long-delayed Train 4 expansion at its Texas export facility, aiming to bring the project online by December 1, 2031, according to a filing.
Business Wire
12-06-2025
- Business
- Business Wire
NextDecade Finalizes EPC Contract Refresh for Train 4 and Executes EPC Contract for Train 5 at the Rio Grande LNG Facility
HOUSTON--(BUSINESS WIRE)--NextDecade Corporation (NextDecade or the Company) (NASDAQ: NEXT) announced today that its subsidiaries have finalized a pricing refresh of the Company's lump-sum, turnkey engineering, procurement and construction (EPC) contract with Bechtel Energy Inc. (Bechtel) for the construction of Train 4 and related infrastructure at the Rio Grande LNG Facility and executed a lump-sum, turnkey EPC contract with Bechtel for the construction of Train 5 and related infrastructure at the Rio Grande LNG Facility. Train 4 EPC Contract and Project Costs, and Progress Toward a Final Investment Decision (FID) Rio Grande LNG Train 4, LLC has agreed to pay Bechtel approximately $4.77 billion for the work under the EPC contract for Train 4. Pricing validity under the Train 4 EPC contract extends through September 15, 2025. NextDecade currently projects that owner's costs, contingencies, financing fees and interest during construction 1 will total approximately $1.8-$2.0 billion for Train 4 and supporting infrastructure, based on current estimates and expected interest rates. Train 5 EPC Contract, Project Costs, and Progress Toward FID Rio Grande LNG Train 5, LLC has agreed to pay Bechtel approximately $4.32 billion for the work under the EPC contract for Train 5. Pricing validity under the Train 5 EPC contract extends through September 15, 2025. NextDecade currently projects that owner's costs, contingencies, financing fees and interest during construction 1 will total approximately $1.8-$2.0 billion for Train 5 and supporting infrastructure, based on current estimates and expected interest rates. Trains 4 and 5 Progress Toward Final Investment Decisions (FIDs) Commercialization of Train 4 is complete, and the Company has started the financing process for Train 4 and related infrastructure. Subject to obtaining adequate financing, NextDecade expects to achieve a positive FID on Train 4 before the end of the pricing validity period for the Train 4 EPC contract. NextDecade recently announced a 20-year, 2.0 million tonnes per annum (MTPA) LNG Sale and Purchase Agreement (SPA) with JERA for offtake from Train 5 and is working on commercializing an additional 2.5 MTPA under long-term LNG SPAs to support a positive FID on Train 5. The Company has started the financing process for Train 5 and related infrastructure and, subject to obtaining appropriate commercial support and financing, is targeting FID before the end of the pricing validity period for the Train 5 EPC contract. 1 Each expansion train will be obligated to make a payment, at its applicable start-up date, to the trains in commercial operation at such date for such expansion train's proportionate share of the capital costs of the common facilities that such expansion train will access, net of the capital cost of any common facilities constructed under the EPC agreement for the applicable expansion train project, if any. The project costs presented in this press release do not include any such 'true up' payments for accessing common facilities. Expand About NextDecade Corporation NextDecade is committed to providing the world access to reliable, lower carbon energy. We are focused on delivering secure, low-cost, and sustainable energy solutions through the safe and efficient development and operation of natural gas liquefaction and carbon capture and storage infrastructure. Through our subsidiaries, we are developing and constructing the Rio Grande LNG natural gas liquefaction and export facility near Brownsville, Texas, with approximately 48 MTPA of potential liquefaction capacity currently under construction or in development. We are also developing a potential carbon capture and storage project at the facility that is expected to make meaningful impacts toward a lower carbon future. NextDecade's common stock is listed on the Nasdaq Stock Market under the symbol 'NEXT.' NextDecade is headquartered in Houston, Texas. For more information, please visit Forward-Looking Statements This press release contains forward-looking statements within the meaning of U.S. federal securities laws. The words 'anticipate,' 'contemplate,' 'estimate,' 'expect,' 'project,' 'plan,' 'intend,' 'believe,' 'may,' 'might,' 'will,' 'would,' 'could,' 'should,' 'can have,' 'likely,' 'continue,' 'design,' 'assume,' 'budget,' 'guidance,' 'forecast,' and "target," and other words and terms of similar expressions are intended to identify forward-looking statements, and these statements may relate to the business of NextDecade and its subsidiaries. These statements have been based on assumptions and analysis made by NextDecade in light of current expectations, perceptions of historical trends, current conditions and projections about future events and trends and involve a number of known and unknown risks, which may cause actual results to differ materially from expectations expressed or implied in the forward-looking statements. Although NextDecade believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that the expectations will prove to be correct. NextDecade's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in NextDecade's periodic reports that are filed with and available from the Securities and Exchange Commission. The taking of a final investment decision on Trains 4 and 5 at the Rio Grande LNG Facility is subject to, among other things, maintaining requisite governmental approvals, entering into appropriate commercial arrangements, and obtaining adequate financing to construct each train and related infrastructure. Additionally, any development of additional expansion trains at the Rio Grande LNG Facility or CCS projects remains contingent upon receipt of requisite governmental approvals, execution of definitive commercial and financing agreements, securing all financing commitments and potential tax incentives, achieving other customary conditions and making a final investment decision to proceed. The forward-looking statements in this press release speak as of the date of this release. NextDecade may from time to time voluntarily update its prior forward-looking statements, however, it disclaims any commitment to do so except as required by securities laws.
Business Journals
29-05-2025
- Business
- Business Journals
NextDecade makes first deal in next Rio Grande LNG train
NextDecade has been marketing Train 4 of Rio Grande LNG in Brownsville, but after finalizing key deals last month, it has moved on to the next stage.
Yahoo
15-04-2025
- Business
- Yahoo
TotalEnergies, NextDecade sign 20-year LNG deal for Rio Grande Train 4
TotalEnergies has exercised its option to purchase liquefied natural gas (LNG) from Train 4 of NextDecade's Rio Grande LNG facility near Brownsville, Texas, US. Subsidiaries of both companies have entered into a long-term sale and purchase agreement (SPA) in which TotalEnergies Gas & Power North America will acquire 1.5 million tonnes per annum (mtpa) of LNG over a 20-year period. The agreement is contingent upon a positive final investment decision (FID) for Train 4, which will be decided based on various factors including the arrangement of sufficient financing for the construction of Train 4 and its associated infrastructure. The LNG will be provided on a free-on-board (FOB) basis, with pricing indexed to the Henry Hub benchmark. NextDecade chairman and chief executive officer Matt Schatzman said: 'TotalEnergies has been a key contributor to the success of Rio Grande LNG Phase 1, and we are pleased to be expanding our strategic partnership with TotalEnergies with the execution of this Train 4 SPA. "This SPA completes the commercial support we need for Rio Grande LNG Train 4, and we are now focused on progressing Train 4 toward a positive FID.' NextDecade has secured long-term commitments for a total of 4.6mtpa from Train 4 and anticipates that these agreements will be adequate to support a positive FID. The Rio Grande LNG facility, situated on a 984-acre site in Brownsville, is designed to produce LNG with a lower carbon intensity, aligning with the industry's shift towards more sustainable energy practices. NextDecade is developing and constructing the facility through its subsidiaries. Last month, NextDecade signed a framework agreement with Baker Hughes to supply gas turbine and refrigerant compressor technology for Trains 4 through 8 at the Rio Grande LNG facility. This agreement also includes the provision of maintenance services for the equipment supplied. "TotalEnergies, NextDecade sign 20-year LNG deal for Rio Grande Train 4" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
14-04-2025
- Business
- Yahoo
NextDecade, Aramco subsidiary sign 20-year LNG deal for Rio Grande LNG Train 4
NextDecade has executed a 20-year liquefied natural gas (LNG) sale and purchase agreement (SPA) with a subsidiary of Aramco. The agreement involves the purchase of 1.2 million tonnes per annum (mtpa) of LNG from Train 4 at the Rio Grande LNG facility in Texas, US. This SPA is contingent on a positive final investment decision (FID) for Train 4. The Aramco subsidiary will acquire the LNG on a free on-board basis, with pricing indexed to Henry Hub. Achieving a positive FID on Train 4 depends on securing appropriate commercial arrangements and obtaining adequate financing for construction and related infrastructure. The Rio Grande LNG facility, located on a 984-acre site in Brownsville, Texas, aims to produce low-carbon-intensive LNG. NextDecade chairman and chief executive officer Matt Schatzman said: '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.' Last month, Baker Hughes entered a framework agreement with NextDecade to supply gas turbine and refrigerant compressor technology for trains four through eight of the facility. In addition to technology supply, Baker Hughes will provide maintenance services for the equipment packages. Additionally, NextDecade's subsidiary, Rio Grande LNG Train 4, awarded an engineering, procurement and construction (EPC) contract to Bechtel Energy in August last year for the Train 4 expansion. The EPC contract, valued at approximately $4.3bn, includes the construction of Train 4 and its associated infrastructure. The total estimated project costs for Train 4 and related infrastructure are projected to be between $6bn and $6.2bn. "NextDecade, Aramco subsidiary sign 20-year LNG deal for Rio Grande LNG Train 4" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
