TotalEnergies holds 10% stake in Rio Grande LNG Train 4 Project

TotalEnergies said it would take a 10% share in a joint-venture with the liquefied gas producer NextDecade to build a fourth liquefaction train for the Rio Grande LNG Project in Texas.

The US President Donald Trump lifted a moratorium against new export permits, resulting in a more favorable regulatory environment for LNG developers.

NextDecade announced on Tuesday that it had reached a final investment decision in favor of train 4. This project is scheduled to be operational by 2030, and will have a production capacity for LNG of approximately 6 million tonnes annually.

Rio Grande's export facility will have a total capacity of approximately 24 mtpa.

Stephane Michel, TotalEnergies' President of Gas, Renewables & Power, said: "This project, from which we will take 1.5 mtpa, strengthens our US LNG export capability."

TotalEnergies said that it will indirectly own nearly 7% of Train 4 by being a 17.1% shareholder in NextDecade.

TotalEnergies estimates that the Train 4 project will be funded by a combination of equity and debt. (Reporting and editing by Tomaszjanowski; Gianluca Nostro)

(source: Reuters)