Venture Global's 27.2mn t/yr (3.6bn ft³/d) Plaquemines LNG export terminal is on track to begin delivering supplies to its phase 1 long-term customers in the fourth quarter of this year, with deliveries to phase 2 customers to follow in mid-2027, the LNG producer said in an earnings call today.
Venture Global is in the final stages of commissioning the pretreatment and power island facilities for Plaquemines' first phase, the company said. The terminal in southeast Louisiana has exported at rates above its 20mn t/yr nameplate capacity since September 2025 and produced at a rate of 26mn t/yr over 1 January-10 August, or 96pc of its 27.2mn t/yr peak capacity, Kpler data show.
The LNG producer faced seven arbitration cases from long-term customers of its first plant, the 12.4mn t/yr Calcasieu Pass terminal in southwest Louisiana, concerning yearslong commercial delays despite high export rates as the plant ramped up from 2022-2025. This allowed Venture Global to capture much higher returns in the spot market than it would have realized under its long-term contracts. The company has two outstanding cases brought by Portugal's Galp and Poland's Orlen, which likely will be decided in 2026-2027, chief executive Mike Sabel told investors on Tuesday.
The company expects to begin producing LNG from its third plant, the 28mn t/yr CP2 terminal being built next to Calcasieu Pass, in the second half of 2027. Sixteen of that plant's 36 liquefaction trains have been delivered to the terminal.
Venture Global is planning to greenlight a 10mn t/yr expansion at CP2 in early 2027, with first production in late 2028. A decision on a planned 6.4mn t/yr expansion at Plaquemines could follow later in the first half of 2027, up from a previous target of the second half of 2027, with production beginning in 2029.
The company also raised and tightened its production guidance for 2026, raising the range to 500-518 cargoes from 494-523. Sabel credited the higher guidance to the company's ability to carry out maintenance while maintaining elevated production levels, as well as operational improvements that have enhanced production in the summer months, when warmer ambient temperatures often decrease plant efficiency.
Venture Global completed major maintenance on its gas turbines at Calcasieu Pass in the second quarter but produced above its commercial obligations, Sabel said. The plant has redundancies in its on-site power generation that allow it to carry out maintenance on the turbines while continuing production.
War puts five-year deals in demand
Sabel said customer interest in contracts of five years or less has increased since the start of the war in Iran, which has effectively cut off about 20pc of global LNG supplies. Venture Global is looking to add more three- and five-year deals to its portfolio mix, which Sabel said can allow the LNG producer to capture higher returns than it would realize under 20-year contracts.
Venture Global will continue to sell 20-year contracts, but Sabel expects the new production from its planned expansions at Plaquemines and CP2 will create more flexibility for five-year agreements.
