Glenfarne Texas LNG Issues Kiewit LNTP for 4 MTPA Brownsville Terminal, Advancing Toward Final Investment Decision

Texas LNG Brownsville LLC, a subsidiary of Glenfarne Group, issued a limited notice to proceed to Kiewit Energy Group on July 2, 2026. The LNTP authorizes Kiewit to begin preliminary engineering and procurement on liquefaction modules for the Port of Brownsville terminal. It follows a lump-sum turnkey EPC contract signed between Kiewit and Texas LNG on March 9, 2026, and a separate in-state module fabrication agreement on March 19. Both contracts call for construction and fabrication entirely within Texas.

At 4 million tonnes per annum of nameplate capacity, the Brownsville terminal would rank among the mid-tier US LNG export projects when fully operational. Glenfarne targets first commercial operations in 2030. Phase 1 is designed to handle 300 million cubic feet per day of natural gas through electric-drive liquefaction trains, which run on grid power rather than gas-fired turbines and reduce direct combustion emissions relative to conventional designs.

Glenfarne Group's Three-Subsidiary LNG Platform

Glenfarne Group LLC operates three distinct LNG-related subsidiaries under a single parent. Texas LNG Brownsville LLC holds the Port of Brownsville development and is the entity that contracted with Kiewit. Glenfarne Alaska LNG LLC is separately developing a North Slope project, with a gas supply precedent agreement with ConocoPhillips signed in May 2026 and a TotalEnergies offtake letter of intent for 2 million tonnes per annum signed in February 2026. Glenfarne Global Commodities LLC, the group's LNG trading arm, expanded its platform to include Texas LNG volumes in April 2026 and signed a 1 MTPA heads of agreement with BGN on July 3, the day after the Texas LNG LNTP.

Texas LNG and Alaska LNG are structurally separate projects with separate commercial agreements and separate financing paths. The Kiewit LNTP applies specifically to the Brownsville terminal, not to the Alaska development. All three subsidiaries report to Glenfarne Group LLC as common parent, but each carries its own development timeline and counterparty obligations.

The Economics Behind the Milestone

Henry Hub natural gas closed at $3.245 per MMBtu on Friday, July 3, 2026, per OilPrice.com market data. As reported by Oil Authority, Asian LNG spot prices averaged $17.33 per MMBtu in June 2026 based on JKM assessments. Standard US LNG project economics include roughly $2.75 per MMBtu in liquefaction costs and approximately $2.00 per MMBtu in Asia-delivery shipping. That cost structure puts a fully landed Asia cargo at approximately $8.00 per MMBtu against June's $17.33 per MMBtu JKM average, leaving roughly $9.30 per MMBtu of gross delivery margin before feedgas cost.

Over 4 MTPA of annual output, equivalent to approximately 208 million MMBtu per year, that gap translates to a potential gross delivery margin near $1.9 billion per year at June JKM levels. These are Oil Authority estimates using publicly available price data and industry-standard liquefaction and shipping cost benchmarks. Actual shipper economics will vary with feedgas procurement cost, shipping contract terms, and whether volumes price against JKM spot or under long-term sale and purchase agreements.

The feedgas pipeline is already under contract. Texas LNG's Valley Crossing Pipeline expansion agreement with Enbridge secures 720 million cubic feet per day of transport capacity under a minimum 20-year term. That is well above the 300 mmcfd Phase 1 requirement and gives the project room to scale toward full 4 MTPA output without renegotiating feedgas transport.

FERC Permit History and the Path to FID

The Federal Energy Regulatory Commission first approved Texas LNG's export facility certificate in November 2019. A federal appeals court vacated that certificate in August 2024 on National Environmental Policy Act grounds. Glenfarne filed for rehearing in October 2024, and FERC formally supported the appeal in December 2024. The progression to a signed EPC contract in March 2026 and an LNTP in July 2026 indicates the permit position has since been resolved, though Glenfarne has not separately issued a certificate reinstatement announcement.

LNTP issuance is a pre-FID milestone, not a final investment decision. FID requires completed offtake commitments and locked project financing, neither of which Glenfarne has yet publicly announced for Texas LNG. The Kiewit LNTP allows fabrication timelines to advance so that construction can begin quickly once FID is declared.