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NextDecade and CB&I sign Rio Grande LNG agreement

Published by , Senior Editor
LNG Industry,

Next Decade LLC has signed an agreement with CB&I for the front end engineering design (FEED) and engineering, procurement and construction (EPC) terms related to the Rio Grande LNG export project in Brownsville, Texas, US.

This agreement follows NextDecade’s acceptance into the FERC pre-filing process in late March 2015.

The agreement covers the design and engineering activities required for the full FERC permitting process, as well as for the parties to prepare the procurement of critical equipment until the Final Investment Decision (FID), expected in 2017.

Kathleen Eisbrenner, founder and CEO of NextDecade, said: "NextDecade is excited to enter into this agreement with CB&I for FEED, including the terms for the EPC as part of our Rio Grande LNG project. Not only is this an important milestone, but it also signals the recognition of a longstanding relationship and cooperation with our partner CB&I.”

Philip K. Asherman, CB&I's President and Chief Executive Officer, added: “This award from NextDecade is a reflection of the substantial liquefied natural gas experience CB&I brings to the project […] CB&I’s selection for this project demonstrates NextDecade’s confidence in our track record for outstanding project execution and superior safety performance, and we look forward to working with them to successfully complete this project.”

Rio Grande LNG is a land-based LNG export project located on the northern shore of the Brownsville Shipping Channel. The LNG project includes plans for up to six liquefaction trains with a nominal output capacity of 4.5 million tpy of LNG.

René van Vliet, NextDecade's Chief Project Officer, said: "The sheer complexity of and financial commitment to an LNG export facility of this size requires deep knowledge and expertise from developers and their partners to make a project like Rio Grande LNG viable. CB&I brings a successful track record of longstanding proven process, design, construction and operational capabilities. These proficiencies are an absolute must for lenders to enable project financing, which is a widely underestimated feature for successful development of LNG export plants and a major distinguishing factor for the Rio Grande project.”

Edited from press release by

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