NextDecade has set September as the final date for investment decisions on Rio Grande LNG Train 5.

NextDecade Corp, a U.S. developer of liquefied gas in Texas, said it would make a final decision about its Rio Grande LNG Train 5 by mid-September.

This move comes after the signing of a contract for engineering, procurement and construction and its first long-term deal to purchase the fifth train.

NextDecade is working on a contract for an additional 2.5 millions tonnes per year under LNG supply agreements to support Train 5.

LNG developers usually make a final decision about their projects after they have secured sufficient supply agreements to secure the financing needed for construction.

NextDecade also hopes to make a final investment decision on Train 4 within the same timeframe. It has already secured LNG supply agreements with Aramco TotalEnergies, and ADNOC for 20 years.

NextDecade CEO Matt Schatzman stated that "Phase 1 is on time and within budget. We are moving quickly to final investment decisions for Trains 4 and 5."

The company reported that as of June, Trains 1 & 2 and the common facilities at the Rio Grande LNG plant were 48.3% completed, while Train 3 was only 22.7% complete. (Reporting by Arunima Kumar in Bengaluru; Editing by Sriraj Kalluvila)

(source: Reuters)