The Federal Energy Regulatory Commission (FERC) said on April 7 it granted Sempra Energy an extension to build two pipelines in Texas and Louisiana to connect to a Texas LNG plant, and NextDecade Corp. is also seeking more time to build a Texas LNG project.
Sempra Energy was granted an extension until March 31, 2023, for the two pipelines that will connect to its Port Arthur LNG plant. NextDecade on April 6 also sought an extension to November 2028 for its Rio Grande LNG project in Brownsville, Texas.
NextDecade did not reply to a request for comment.
NextDecade on April 6 also announced it had reached a 20-year deal to supply 1.5 million metric tonnes per annum (mtpa) of LNG from the proposed Rio Grande facility to a unit of China's ENN Natural Gas Co.
Several LNG developers have announced new deals this year that could push ahead proposed plants. Energy Transfer signed a 2.7 mtpa deal with ENN while Mexico Pacific Ltd. received a 2 mtpa deal from Chinese gas and power supplier Guangzhou Development Co.
In January, NextDecade said a financial investment decision for the Rio Grande LNG project would be delayed until the second half of the year. It was originally expected to start producing LNG in 2023.
At the start of 2020 and again in 2021, roughly a dozen firms signaled plans for financial investment decisions on proposed projects. But only Sempra's Costa Azul in Mexico started construction in 2020. Numerous others have been pushed into 2022.
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