NextDecade and Aramco Execute 1.2 MTPA LNG Sale and Purchase Agreement from Rio Grande LNG Train 4

Rhea-AI Summary

NextDecade (NASDAQ: NEXT) has signed a significant 20-year LNG sale and purchase agreement (SPA) with an Aramco subsidiary for Train 4 of the Rio Grande LNG Facility. The agreement specifies the purchase of 1.2 million tonnes per annum (MTPA) of LNG on a free on board basis, with pricing indexed to Henry Hub.

The deal is contingent upon achieving a positive Final Investment Decision (FID) on Train 4, which requires securing appropriate commercial arrangements and adequate financing for construction of Train 4 and related infrastructure.

Positive

• Secured 20-year long-term LNG supply agreement with Aramco subsidiary
• Contract volume of 1.2 MTPA provides stable future revenue stream
• Partnership with major global energy company enhances project credibility

Negative

• Agreement contingent on positive FID for Train 4
• Additional financing still required for construction

HOUSTON--(BUSINESS WIRE)-- NextDecade Corporation (NextDecade or the Company) (NASDAQ: NEXT) announced today that it has executed a 20-year liquefied natural gas (LNG) sale and purchase agreement (SPA) with a subsidiary of Aramco for offtake from Train 4 at the Rio Grande LNG Facility.

Under the terms of the SPA, the Aramco subsidiary will 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, subject to a positive Final Investment Decision (FID) on Train 4.

“We are extremely pleased to have Aramco as a customer in Rio Grande LNG Train 4,” said Matt Schatzman, NextDecade Chairman and Chief Executive Officer. “The Rio Grande LNG Facility continues to attract outstanding LNG customers, which we believe is a testament to the quality of our project.”

Achieving a positive FID on Train 4 will be subject to, among other things, entering into appropriate commercial arrangements, and obtaining adequate financing to construct Train 4 and related infrastructure.

About NextDecade Corporation

NextDecade is committed to providing the world access to reliable, lower carbon energy. We are focused on delivering secure, low-cost, and sustainable energy solutions through the safe and efficient development and operation of natural gas liquefaction and carbon capture and storage infrastructure. Through our subsidiaries, we are developing and constructing the Rio Grande LNG natural gas liquefaction and export facility near Brownsville, Texas, with approximately 48 MTPA of potential liquefaction capacity currently under construction or in development. We are also developing a potential carbon capture and storage project at the facility that is expected to make meaningful impacts toward a lower carbon future. NextDecade’s common stock is listed on the Nasdaq Stock Market under the symbol “NEXT.” NextDecade is headquartered in Houston, Texas. For more information, please visit www.next-decade.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of U.S. federal securities laws. The words “anticipate,” “contemplate,” “estimate,” “expect,” “project,” “plan,” “intend,” “believe,” “may,” “might,” “will,” “would,” “could,” “should,” “can have,” “likely,” “continue,” “design,” “assume,” “budget,” “guidance,” “forecast,” and "target," and other words and terms of similar expressions are intended to identify forward-looking statements, and these statements may relate to the business of NextDecade and its subsidiaries. These statements have been based on assumptions and analysis made by NextDecade in light of current expectations, perceptions of historical trends, current conditions and projections about future events and trends and involve a number of known and unknown risks, which may cause actual results to differ materially from expectations expressed or implied in the forward-looking statements. Although NextDecade believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that the expectations will prove to be correct. NextDecade’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in NextDecade’s periodic reports that are filed with and available from the Securities and Exchange Commission. The taking of a final investment decision on Trains 4 and 5 at the Rio Grande LNG Facility is subject to, among other things, maintaining requisite governmental approvals, finalizing and entering into EPC contracts, entering into appropriate commercial arrangements, and obtaining adequate financing to construct each train and related infrastructure. Additionally, any development of additional expansion trains at the Rio Grande LNG Facility or CCS projects remains contingent upon receipt of requisite governmental approvals, execution of definitive commercial and financing agreements, securing all financing commitments and potential tax incentives, achieving other customary conditions and making a final investment decision to proceed. The forward-looking statements in this press release speak as of the date of this release. NextDecade may from time to time voluntarily update its prior forward-looking statements, however, it disclaims any commitment to do so except as required by securities laws.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250407303954/en/

Investors

Megan Light

mlight@next-decade.com

832-981-6583

Media

Susan Richardson

srichardson@next-decade.com

832-413-6400

Source: NextDecade Corporation

FAQ

What is the volume and duration of NextDecade's LNG agreement with Aramco?

The agreement is for 1.2 million tonnes per annum (MTPA) of LNG over 20 years from Rio Grande LNG Train 4.

How is the LNG price structured in NextDecade's Aramco agreement?

The LNG price is indexed to Henry Hub on a free on board basis.

What conditions must NEXT meet for the Aramco LNG agreement to take effect?

The agreement requires a positive Final Investment Decision (FID) on Train 4, securing commercial arrangements, and obtaining adequate construction financing.

Which facility will supply Aramco's LNG under the NextDecade agreement?

The LNG will be supplied from Train 4 at the Rio Grande LNG Facility.