NextDecade Corporation (NextDecade) has announced that its subsidiaries have finalized a pricing refresh of the Company’s lump-sum, turnkey engineering, procurement and construction (EPC) contract with Bechtel Energy Inc. (Bechtel) for the construction of Train 4 and related infrastructure at the Rio Grande LNG Facility and executed a lump-sum, turnkey EPC contract with Bechtel for the construction of Train 5 and related infrastructure at the Rio Grande LNG Facility.
Rio Grande LNG Train 4, LLC has agreed to pay Bechtel approximately USD 4.77bn for the work under the EPC contract for Train 4. Pricing validity under the Train 4 EPC contract extends through September 15, 2025. NextDecade currently projects that owner’s costs, contingencies, financing fees and interest during construction1 will total approximately USD 1.8-USD 2.0bn for Train 4 and supporting infrastructure, based on current estimates and expected interest rates.
Rio Grande LNG Train 5, LLC has agreed to pay Bechtel approximately USD 4.32bn for the work under the EPC contract for Train 5. Pricing validity under the Train 5 EPC contract extends through September 15, 2025. NextDecade currently projects that owner’s costs, contingencies, financing fees and interest during construction will total approximately USD 1.8-USD 2.0bn for Train 5 and supporting infrastructure, based on current estimates and expected interest rates.
Commercialization of Train 4 is complete, and the Company has started the financing process for Train 4 and related infrastructure. Subject to obtaining adequate financing, NextDecade expects to achieve a positive FID on Train 4 before the end of the pricing validity period for the Train 4 EPC contract.