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May 24, 2019

NextDecade Signs Lump-Sum Turnkey EPC Contracts with Bechtel for ~ $543 per ton

King & Spalding advised NextDecade Corporation (NextDecade) (NASDAQ: NEXT) on two major contracts with Bechtel Oil, Gas and Chemicals for the engineering, procurement, and construction (EPC) of NextDecade’s Rio Grande LNG project in Brownsville, Texas.

The EPC contracts are for first phase of the Rio Grande LNG project, which consists of three liquefaction trains, two 180,000 cubic meter storage tanks and two marine berths totaling $9.565 billion. The EPC contracts also provide options to construct an additional 180,000 cubic meter storage tank and LNG truck loading facilities. Each liquefaction train is expected to produce up to 5.87 million tons per annum (mtpa) of LNG, which would generate an EPC cost of approximately $543 per ton for the first three trains.