Federal energy regulators have given the go-ahead for a major expansion of construction operations at a Texas liquefied natural gas facility, according to regulatory documents filed Friday.
NextDecade Corporation received approval from the Federal Energy Regulatory Commission to dramatically boost its construction crew at the Rio Grande LNG project, citing urgent global demand for American energy exports.
The company explained to federal officials that international conflicts have created unprecedented demand for U.S. liquefied natural gas, pushing developers to accelerate their timeline for bringing new facilities online.
Global LNG markets have faced significant disruptions due to ongoing conflicts in Iran, which have impacted QatarEnergy, the world’s second-largest natural gas producer. The company has been unable to export its supercooled gas products and has experienced facility damage that could remove 12.5 million metric tons from worldwide supplies for as long as five years.
NextDecade’s formal request, submitted to FERC last Friday, sought permission to increase its maximum construction workforce by 2,275 additional workers, bringing the total from the current authorized level of 5,225 to 7,500 personnel.
Federal oversight requires energy companies to obtain approval for workforce increases at LNG construction locations to ensure operations remain within previously established environmental guidelines and minimize impacts on surrounding communities.
The company indicated that plans to construct two additional liquefaction units at the facility necessitated the larger workforce and required authorization for construction activities during nighttime hours and weekends.
FERC’s approval encompassed both the workforce expansion and the request for around-the-clock construction operations, regulatory filings confirmed.
The Rio Grande LNG facility will feature five liquefaction units with total annual production capacity of approximately 30 million metric tons once completed.
