NextDecade Corporation, a Nasdaq-listed developer of liquefied natural gas ( LNG ) and other low-carbon energy facilities, has made a final investment decision ( FID ) on Rio Grande LNG Train 4 in Brownsville, Texas.

The project is expected to produce 6 million metric tonnes per annum ( mtpa ) and is projected to be fully operational in the second half of 2030. It is supported by 20-year sale and purchase agreements ( SPAs ) totalling 4.6 mtpa with Abu Dhabi National Oil Company ( Adnoc ), TotalEnergies, and Aramco. Total project cost is estimated at US$6.68 billion.

MUFG Bank has been closely involved in financing Train 4. In early 2024, it provided a US$50 million senior secured revolving credit facility to support development costs. In the latest US$3.85 billion term loan, MUFG served as the intercreditor agent, with JPMorgan Chase Bank as the accounts bank. Mizuho Bank ( USA ) acted as the Train 4 collateral agent.

A FinCo credit agreement was also signed for a loan and letter of credit facility amounting to US$734 million, which will partly fund NextDecade’s US$1.13 billion equity contributions to the project. Mizuho and its advisory firm unit Greenhill advised NextDecade on the Super FinCo capital raise, while HSBC USA was the FinCo collateral agent

Next Decade also sourced a US$600 million Super Finco loan facility from a private credit fund. Earlier this year, General Atlantic Credit's Atlantic Park Fund provided a US$175 million senior loan to be used for general corporate purposes, as well as advancing Trains 4 and 5.

Also, the project secured US$1.7 billion in equity commitments from Global Infrastructure Partners ( a unit of BlackRock ), Singapore sovereign wealth fund GIC, Mubadala Investment Company, and TotalEnergies. Kirkland & Ellis advised GIP. In addition to a 10% direct stake in Train 4, TotalEnergies also holds a 17.1% stake in NextDecade.

Latham & Watkins advised NextDecade with respect to the joint venture arrangements, the Super FinCo financing, the FinCo financing, and the senior secured term loan facility. Norton Rose Fulbright advised the lenders in connection with the two concurrent term loan and FinCo financing transactions.

From the banks‘ perspective, the project‘s creditworthiness is underpinned by a strong engineering, procurement and construction ( EPC ) contractor and long-term offtake agreements. Aside from the 20-year SPAs, additional gas can be sold on the spot market. The EPC lump-sum contract with Bechtel is worth US$4.77 billion.

Meanwhile, Next Decade is also working on Train 5 of Rio Grande LNG, with an FID expected in the fourth quarter of 2025. Train 5 is already supported by a total of 4.5 MTPA of 20-year LNG SPAs with Jera, EQT Corporation, and ConocoPhillips. In June 2025, the company entered into a lump-sum, turnkey EPC contract with Bechtel for Train 5 and related infrastructure. Project costs for Train 5 and related infrastructure could reach US$6.7 billion.