Aramco and NextDecade Corporation subsidiaries have signed a non-binding Heads of Agreement for a 20-year LNG sale and purchase deal involving Train 4 at the Rio Grande LNG Facility in Port of Brownsville, Texas.
Under the terms of the HoA, Aramco expects to purchase 1.2 million tonnes per annum (MTPA) of LNG for 20 years on a free-on-board basis at a price indexed to Henry Hub. Aramco and NextDecade are currently negotiating a binding agreement, once executed, the effectiveness of which will be subject to a positive Final Investment Decision on Train 4.
“We look forward to finalising the terms of a long-term LNG offtake agreement with NextDecade as we explore opportunities to expand our presence in international energy markets,” said Aramco Upstream President Nasir K. Al-Naimi. “We expect LNG to play an important role in meeting the rising demand for secure and efficient energy.”
