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NextDecade Advances Train 6 & Marks a New Phase in LNG Expansion

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Key Takeaways

  • NEXT begins FERC pre-filing for Train 6, advancing expansion of its Rio Grande LNG project.
  • The site's five trains are under construction, with the first completion targeted for 2027 in Texas.
  • Train 5 has secured full financing, adding 6 MTPA and targeting commercial deliveries by 2031.

NextDecade Corporation (NEXT - Free Report) has taken another significant step toward expanding its Rio Grande LNG project by initiating the pre-filing process with the Federal Energy Regulatory Commission (FERC) for a sixth liquefaction train and an additional marine berth. A full application is expected in 2026, marking the beginning of the company’s next major development phase.

A Growing LNG Footprint in Texas

The Rio Grande LNG facility in Brownsville, TX, is already undergoing rapid expansion. Five liquefaction trains are currently under construction, with the first expected to be completed by 2027 and all trains targeted to come online by the early 2030s. The company highlighted that the site has room to potentially double capacity, positioning NEXT for long-term growth in global LNG markets.

Momentum Builds With Train 5 Milestone

NextDecade recently secured a positive final investment decision for Train 5, fully financed and now moving forward under a notice to proceed issued to Bechtel Energy. Train 5 will add roughly 6 million tons per annum (MTPA) of LNG capacity and is backed by long-term sale and purchase agreements from major buyers, including JERA, EQT Corporation and ConocoPhillips. Commercial deliveries are anticipated in the first half of 2031. The total project cost for Train 5 and associated infrastructure is estimated at $6.7 billion.

Charting the Path Forward

With Trains 6-8 in development and the FERC pre-filing now initiated for Train 6, NextDecade is reinforcing its strategic push to deliver reliable, lower-carbon LNG to global markets and increase the company’s total potential liquefaction capacity to 48 MTPA. As permitting progresses and construction advances, NEXT is positioning Rio Grande LNG as one of the largest and most flexible LNG export hubs in North America.

NEXT’s Zacks Rank & Key Picks

Houston, TX-based NextDecade is a development and management company of land-based and floating LNG projects primarily in the global integrated natural gas industry. Currently, NEXT has a Zacks Rank #3 (Hold).

Investors interested in the energy sector may consider some top-ranked stocks like Drilling Tools International Corporation (DTI - Free Report) , Par Pacific Holdings, Inc. (PARR - Free Report) and USA Compression Partners, LP (USAC - Free Report) , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Houston-based Drilling Tools International is an oilfield services company that manufactures and rents downhole drilling tools used in horizontal and directional drilling of oil and natural gas wells. The Zacks Consensus Estimate for DTI’s 2025 revenues indicates 1.8% year-over-year growth.

Houston-based Par Pacific Holdings manages and maintains interests in energy and infrastructure businesses. The Zacks Consensus Estimate for PARR’s 2025 earnings indicates 2170% year-over-year growth.

USA Compression is one of the largest independent natural gas compression service providers across the United States in terms of fleet horsepower. The Zacks Consensus Estimate for USAC’s 2025 earnings indicates 29.8% year-over-year growth.

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