NextDecade reviewing Rio Grande LNG options as federal permit vacated

Aug. 6, 2024
The US Court of Appeals for the DC Circuit issued an order vacating the federal regulatory permit for NextDecade's Rio Grande LNG plant.

The US Court of Appeals for the DC Circuit (Court) on Aug. 6 issued an order vacating the federal regulatory permit for NextDecade Corp.’s 27-million tonne/year (tpy) Rio Grande LNG plant under construction in Brownsville, Tex. 

The court said the Federal Energy Regulatory Commission’s (FERC) remand authorization should have issued a supplemental Environmental Impact Statement (EIS) during its remand process.

In a statement following the ruling, NextDecade said it is disappointed in the decision, disagrees with the conclusions, and is reviewing its options.

As of now, construction continues on the first three liquefaction trains and related infrastructure (Phase 1) at the Rio Grande LNG plant, and NextDecade is evaluating the impact of the court’s decision on the timing of a positive final investment decision (FID) on Train 4. The company had been anticipating positive FID in this year's second half. 

Legislation by environmental groups led to the challenge of FERC's approval.

About the Author

Mikaila Adams | Managing Editor - News

Mikaila Adams has 20 years of experience as an editor, most of which has been centered on the oil and gas industry. She enjoyed 12 years focused on the business/finance side of the industry as an editor for Oil & Gas Journal's sister publication, Oil & Gas Financial Journal (OGFJ). After OGFJ ceased publication in 2017, she joined Oil & Gas Journal and was named Managing Editor - News in 2019. She holds a degree from Texas Tech University.