Major investment in Brownsville terminal

Abu Dhabi-based investment company Mubadala will purchase US$50m of NextDecade’s common stock as the company awaits approval on its Rio Grande LNG project, anticipated to commence operations in 2023.

“We are honored to welcome Mubadala, a leading global investor, as a shareholder in our company,” said Matt Schatzman, chairman and CEO of NextDecade. “Mubadala brings a valuable perspective on large-scale infrastructure investment and the growing role of LNG in the Middle East and other markets around the world. We look forward to a strong and lasting partnership.”

Steady progress

In September, NextDecade and Enbridge Inc. announced an MoU to jointly pursue the development of the Rio Bravo Pipeline and other natural gas pipelines in South Texas to transport natural gas to the terminal.

In May, NextDecade signed two contracts with Bechtel Oil, Gas and Chemicals for the engineering, procurement, and construction (EPC) of the terminal.

In April, the company announced a 20-year sale and purchase agreement with Shell NA LNG LLC for the supply of 2m tonnes per annum (MTPA) of LNG from its terminal.

Mubadala will have the right to contribute a certain amount of project-level capital upon the final investment decision of NextDecade’s Rio Grande LNG project.

Two other projects, Texas LNG and Annova LNG, are also undergoing approval to be built and operated at the Port of Brownsville.