TotalEnergies, Global Infrastructure Partners (GIP), NextDecade Corp. and their partners, GIC and Mubadala, have reached a final investment decision to develop phase 1 of Rio Grande LNG (RGLNG) in South Texas.
The first phase consists of three liquefaction trains with a total capacity of 17.5 million tons per annum (Mtpa) and capital expenditures of $14.8 billion. The project will be financed by equity contributions from the partners and by a debt contribution concluded today with an international banks’ consortium.
Under the agreement, TotalEnergies is acquiring a 16.67 percent stake in the joint venture in charge of this first phase, and will participate in its equity contributions, for a total amount of $1.1 billion. The company also will hold a total 17.5 percent stake in NextDecade for a total amount of $219 million, building on earlier tranches. TotalEnergies also will offtake 5.4 million tonnes per annum of LNG from the production of this phase for 20 years.