Glenfarne Group’s Texas LNG Brownsville has entered into a definitive 20-year sales and purchase agreement (SPA) with RWE Supply & Trading for the supply of one million tonnes per annum (mtpa) of liquefied natural gas (LNG).
As part of this agreement, RWE Supply & Trading will procure LNG, equivalent to approximately 13 cargoes or 1.4 billion cubic metres (bcm) of natural gas annually, from the Texas LNG project.
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Texas LNG Brownsville is the holding company for the Texas LNG export facility, which will have a capacity of 4mtpa.
Situated at the Port of Brownsville in south Texas, the facility is due to enter commercial operations in 2028.
The final investment decision (FID) on the Texas LNG project is anticipated in early 2026.
Texas LNG leverages electric drive motors in LNG production, a feature that places it among the lowest-emission LNG terminals worldwide.
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By GlobalDataRWE will manage the distribution of the shipments resulting from the offtake deal to various destinations across Europe and other global regions.
The deal signifies an important development for both Glenfarne and RWE, aligning with the latter’s strategic objective to enhance energy security in Europe.
RWE Supply & Trading origination chief commercial officer Jacob Meins said: “I am pleased to welcome Glenfarne as a strong partner in our LNG supply. By securing one million tonnes a year of LNG for our international portfolio, this partnership not only strengthens our position globally but also supports Europe’s security of supply.”
The agreement includes a comprehensive framework for monitoring, reporting and verifying greenhouse gas emissions from production through to loading, thereby supporting emission reductions across the entire LNG value chain.
The Texas LNG export facility will be built at the Port of Brownsville, with Kiewit responsible for engineering, procurement and construction under a lump-sum turnkey contract.
Glenfarne has now completed the conversion of all previously announced Texas LNG heads of agreement into fully binding, long-term definitive offtake agreements.
Last month, Texas LNG finalised a 20-year SPA with Macquarie Energy, a unit of Macquarie Group, for the supply of 500,000 tonnes per annum of LNG.
Glenfarne partner and Texas LNG co-president Vlad Bluzer said: “We welcome RWE, one of the world’s most versatile energy companies, as an offtake partner for Texas LNG and look forward to helping them fulfill the needs of their customers with clean, competitive energy.
“With the completion of offtake negotiations, Glenfarne is now focusing on finalising the financing process as we advance toward an FID in early 2026.”
This agreement with Glenfarne follows another long-term contract RWE secured in 2022 with Sempra Infrastructure in the US for approximately 2.25mtpa of LNG from the Port Arthur LNG Terminal, which is set to commence operations in 2027.
The deal with Sempra Infrastructure equates to around 30 LNG cargoes and roughly 3bcm of natural gas annually.
