NextDecade Locks in $9 Billion EPC Deals with Bechtel for Rio Grande LNG Trains
(P&GJ) — NextDecade Corp. has finalized a refreshed construction contract with Bechtel Energy for Train 4 and signed a new engineering, procurement and construction (EPC) agreement for Train 5 at its Rio Grande LNG facility in Brownsville, Texas, the company announced on June 12.
The company said Bechtel will construct Train 4 for approximately $4.77 billion and Train 5 for about $4.32 billion. The fixed-price contracts remain valid through September 15, 2025.
In addition to EPC costs, NextDecade expects to incur up to $2 billion in additional expenses per train, including owner’s costs, contingencies, financing fees, and interest during construction.
The Train 4 project is fully commercialized, and financing efforts are underway. The company said it aims to reach a final investment decision (FID) before the pricing window expires.
For Train 5, NextDecade recently secured a 20-year, 2 million tonnes per annum LNG offtake agreement with Japan’s JERA and is in talks to commercialize another 2.5 MTPA. Financing for Train 5 has also begun, and the company is targeting FID within the same timeframe as Train 4.
Both trains are part of the broader expansion of the Rio Grande LNG facility, which began construction on its first three trains in 2023.
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