PARIS: TotalEnergies has signed two liquefied natural gas (LNG) agreements, one with NextDecade for the future Train 4 at the Rio Grande LNG facility in Texas and another with Energia Natural Dominicana (ENADOM) in the Dominican Republic.
The company has agreed to purchase 1.5 million tons per annum (Mtpa) of LNG from NextDecade over a 20-year period, pending a positive Final Investment Decision (FID) on Train 4. Gregory Joffroy, Senior Vice President of LNG at TotalEnergies, called the agreement a milestone toward the project’s financing and development, reinforcing TotalEnergies’ position as a leading LNG exporter from the United States. Matt Schatzman, NextDecade’s Chairman and CEO, stated that the contract provides the commercial support necessary for Train 4, with the company now focusing on securing a positive FID.
TotalEnergies currently holds a 16.7% stake in the first phase of the Rio Grande LNG facility, which consists of three LNG trains under construction in Texas. The company has already committed to purchasing 5.4 Mtpa from Phase 1, which is expected to begin production in 2027. Additionally, TotalEnergies owns a 17.5% stake in NextDecade, the shareholder and operator of the Rio Grande facility.
Separately, TotalEnergies reached an agreement with ENADOM to supply 400,000 tons of LNG annually for 15 years, starting in mid-2027. The agreement, subject to finalization, is indexed to the Henry Hub price and will help meet the Dominican Republic’s growing electricity demand. The LNG will fuel a 470 MW combined-cycle power plant under construction, advancing the country’s energy transition by reducing reliance on coal and fuel oil.
Joffroy emphasized the importance of the deal for supporting the Dominican Republic’s energy sector and reinforcing TotalEnergies’ leadership in LNG supply. Edwin De los Santos, CEO of ENADOM, highlighted the partnership’s role in strengthening the nation’s energy matrix, ensuring a stable and environmentally responsible supply of electricity.
TotalEnergies’ latest agreements continue its strategic expansion in global LNG markets, reinforcing its commitment to energy transition and supply security.