Rio Grande LNG Facility with CCS Phase 1
USA
FID
Overview
Status
-
FID
Region
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North America
Geography
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USA
State
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Texas
Equity Owner
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NextDecade (up to 20.79%); Global Infrastructure Partners (a minimum of 46.12%); GIC (a minimum of 9.85%); TotalEnergies (16.67%); Mubadala (a minimum of 6.57%)
Proponent
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Rio Grande LNG, LLC
Output
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Carbon capture and storage (CCS)
LNG
Type of electricty
-
Capacity
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5 million metric tonnes of CO2 per year; LNG: 3 trains
Financing
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Technology
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Technical Advisors
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Air Products (technology provider)
Advisors
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MUFG Bank (NextDecade, debt financing); Macquarie Capital (NextDecade, equity financing);
Project Contact
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Mike Mott Senior Vice President, Carbon Solutions, NextDecade
Lawyers
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Latham & Watkins LLP (NextDecade); Kirkland & Ellis (GIP); Jones Day (TotalEnergies); Sidley Austin (GIC); White & Case (Mubadala); Norton Rose Fulbright (lenders)
Project Cost
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$18.4bn
Offtaker
-
Commercial Operations Date
-
Decommission Date
-
FID
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July, 2023
Description
A planned carbon capture and storage project at Rio Grande LNG in Brownsville, Texas.
Rio Grande LNG is situated on a 984-acre site on the banks of an uncongested deepwater channel. Rio Grande LNG plans to offer CO2 emissions reduction of more than 90 percent via planned carbon capture and storage – capturing and permanently storing more than 5 million metric tonnes of CO2 per year.
In July 2023, NextDecade Corporation announced a final investment decision to construct the first three liquefaction trains (Phase 1) at the facility. As part of the transaction, the parties involved each have options to invest in Train 4 and Train 5 equity, and options to invest in the planned carbon capture and sequestration project.
In August 2024, the U.S. District Court of Appeals for the D.C. Circuit vacated the FERC’s certificate for part 4 and 5 of the project, requiring the developer to seek a new permit.
In August 2024, NextDecade withdrew its FERC application for the CCS part of the project, saying that it was “not sufficiently developed to allow FERC review to continue” at the time.