US LNG developer Cheniere has signed a contract with Bechtel for the engineering, procurement and construction of the 7mn t/yr expansion at its 33mn t/yr Sabine Pass LNG export terminal in Louisiana, Cheniere said today.
The deal covers the first phase of a 20mn t/yr expansion Cheniere plans to develop at Sabine Pass. The first phase, targeted for a final investment decision in early 2027, would add a 6mn t/yr train and 1mn t/yr of boil-off gas reliquefaction capacity.
Cheniere has allowed Bechtel to begin early engineering and procurement.
Cheniere has signed 10mn t/yr of offtake contracts that it can apply to expansion efforts, the company said in February. Beyond the first phase of the Sabine Pass expansion, Cheniere intends to follow a similarly phased approach at its 31.4mn t/yr Corpus Christi export terminal in south Texas, where an initial 6mn t/yr train would be part of a 24mn t/yr expansion. The developer expects to decide on the Corpus Christi expansion's first phase in mid-to-late 2027.
Cheniere is still waiting for regulators to sign off on key permits for the Sabine Pass expansion. It expects the Federal Energy Regulatory Commission to authorize its plan to build and operate the expansion by the end of this year.
The company also has a pending request with the Department of Energy to export LNG to countries that do not have free trade agreements with the US, which President Donald Trump's administration is likely to approve.
On its current timeline, the new train's first exports could begin as early as 2030, with commercial service for Cheniere's long-term customers beginning in mid-2031.
