Texas LNG, a subsidiary of Glenfarne Energy Transition, has expanded its natural gas tolling agreement with US gas company EQT.
With the latest heads of agreement, the total liquefaction services provided to EQT has reached 2mtpa for a duration of 20 years.
Go deeper with GlobalData
In tolling agreements, which are fee-for-service contracts, the gas supplier pays the business to convert gas into liquefied natural gas (LNG), which the business subsequently sells to its clients.
Earlier this year, Texas LNG and EQT signed an initial agreement for 500,000tpa of tolling capacity.
Under the new terms, the Texas-based LNG export facility will offer an additional 1.5mtpa of liquefaction services to EQT.
This agreement is a key step towards fulfilling the plant’s fully permitted capacity, as it now leaves only 1.5mtpa of offtake pending announcement.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataTexas LNG is set to be a 4mtpa facility in the Port of Brownsville, Texas, with commercial operations expected to begin in 2028.
In March, Texas LNG secured a 500,000tpa offtake agreement with Gunvor, marking another milestone towards achieving full capacity.
Glenfarne holds the majority stake and managing membership of the project.
Additionally, Glenfarne is the sole owner and developer of the 8.8mtpa Magnolia LNG project in Lake Charles, Louisiana.
Glenfarne CEO and Founder Brendan Duval said: “We are proud to expand our partnership with EQT with today’s announcement. Texas LNG has sold more than half of its permitted capacity. With this announcement with EQT and additional offtake sales to be announced soon, we will reach financial close and the start of construction in the fourth quarter this year.”
If February, Texas LNG announced a partnership with Gulf LNG Tugs to build and operate a fleet of eco-friendly tugboats.
These vessels are designed to assist LNG carriers at the Brownsville export facility.
