Golden Pass LNG in Talks with Contractor Amid Potential Project Impacts

(Reuters) — Golden Pass LNG, a joint venture between QatarEnergy and ExxonMobil, on Thursday said it was in ongoing talks with a contractor that could have near-term impacts on activity at its site, but it did not tell any contractor to send workers home.

The joint venture is constructing a 2.4-billion cubic feet per day liquefied natural gas (LNG) export plant in Texas, which is slated to start up next year.

Calendar 2025 NGCALYZ5 natural gas futures fell to $3.15 per million British thermal units (MMBtu) earlier in the session, their lowest since February 2022, due in part to a media report that Zachry Industrial Group workers were furloughed. Energy traders said that could cause the plant to start later than previously expected.

"Golden Pass did not tell any contractor to send workers home. Golden Pass LNG acknowledges ongoing discussions regarding the role of Zachry within CCZJV. Work continues to diligently complete the project, but these discussions may impact site activity in the near term," a spokesperson said in an email on Thursday.

CCZJV is the joint venture between Chiyoda International Corporation, McDermott International and Zachry Group, according to the Golden Pass website.

Demand for natural gas is projected to rise in 2025 as several LNG export plants enter service, including Golden Pass, Venture Global's Plaquemines in Louisiana, Cheniere's Corpus Christi expansion in Texas, and Sempra's Costa Azul in Mexico.

The delay of any of those would reduce the growth expected in gas demand next year.

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