The HOA, which is nonbinding, is through Gunvor subsidiary Gunvor Singapore Pte Ltd. (Source: Shutterstock)
Texas LNG Brownsville LLC has signed a heads of agreement (HOA) with Gunvor Group for a 20-year LNG free on board sale and purchase agreement for 0.5 million tonnes per annum (mtpa) from Texas LNG.
The HOA, which is nonbinding, is through Gunvor subsidiary Gunvor Singapore Pte Ltd.
Texas LNG, a subsidiary of Glenfarne Energy Transition, plans to construct a 4 mtpa LNG export terminal at the Port of Brownsville. Texas LNG has previously signed agreements with EQT Corp. and is working in partnership with several companies including Baker Hughes and ABB that total investment of nearly $1 billion in the Brownsville project.
“With the previously announced commencement of the execution phase of the project financing process, this agreement aligns with our plan to take a final investment decision on Texas LNG this year,” said Vlad Bluzer, co-president of Texas LNG.
Kalpesh Patel, co-head of LNG trading at Gunvor, said the group has established itself as one of the “foundation buyers of the Texas LNG project.”
“Gunvor continues to support US LNG export projects, unlocking new supplies for the global energy market and providing energy security especially to our customers in Europe and Asia,” Patel said.
Glenfarne is the majority owner and managing member of Texas LNG. Texas LNG will achieve financial close and begin construction in 2024, with anticipated operations startup in 2028. Glenfarne is also the sole owner and developer of the 8.8 mtpa Magnolia LNG project in Lake Charles, Louisiana.
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