US-based LNG development company NextDecade signed a Memorandum of Understanding with the Irish Port of Cork, to advance a joint business development opportunity in Ireland for a new Floating Storage and Regasification Unit (FSRU) and associated LNG import terminal infrastructure.
The MOU commits the parties to undertake exclusive negotiations to develop the LNG import project. A key seaport in the south of Ireland, the Port of Cork is a sheltered, natural deepwater harbor capable of handling large liquids and cargo ships of all sizes.
Under the terms of the MOU, the potential development at the Port of Cork would receive LNG from NextDecade’s planned Rio Grande LNG (RGLNG) project in South Texas. The development is expected to provide competitively priced energy solutions to Ireland and its regional partners under long-term contracts and to substantially increase and diversify Ireland’s supply of natural gas.
NextDecade’s RGLNG project is located in close proximity to associated and stranded gas resources in the Permian Basin and Eagle Ford Shale. The company believes the Port of Cork facility could support imports of up to 3 mtpa from RGLNG.
In December 2016, NextDecade announced an agreement with FSRU provider FLEX LNG for the joint development of a full value chain infrastructure solution, utilizing FSRU and dockside regasification import technology. FLEX LNG will be supporting NextDecade to provide a fully integrated regas import solution for the proposed LNG terminal at the Port of Cork.
NextDecade is also in discussions with European energy companies to enter into long-term purchase contracts for delivery of LNG at the Port of Cork. and it will manage shipping from its proposed RGLNG export facility at the Port of Brownsville in South Texas to the Port of Cork.