• Natural Gas News

    NextDecade Pens Deal for Rio Grande Gas Pipe

Summary

The proposed pipeline would supply the LNG plant with up to 4.5bn ft³/day of gas.

by: Joseph Murphy

Posted in:

Natural Gas & LNG News, Americas, Liquified Natural Gas (LNG), Corporate, Contracts and tenders, Infrastructure, Pipelines, News By Country, United States

NextDecade Pens Deal for Rio Grande Gas Pipe

Houston-based LNG developer NextDecade has signed a memorandum of understanding (MoU) with Canadian gas distributor Enbridge on constructing a pipeline to feed gas to its Rio Grande LNG terminal.

The Rio Bravo pipeline in southern Texas would flow up to 4.5bn ft3/day of gas to Rio Grande from the Agua Dulce area, NextDecade said in a September 18 notice. A definitive deal on its development should come in the fourth quarter.

NextDecade aims to take a final investment decision (FID) on Rio Grande by the end of this year, with first production likely in 2023-2024. The plant will host six trains capable of exporting 27mn mt/yr of LNG.

NextDecade’s CEO Matt Schatzman said he looked forward to building a “strong partnership” with Enbridge, one of North America’s leading energy infrastructure companies. Enbridge’s infrastructure “fits very well” with Rio Grande’s location in Brownville, its president for gas transmission and midstream, Bill Yardley, added.