Cheniere Board Approves Corpus Christi LNG Expansion Project

Wedoany.com Report-Jun 25, Cheniere Energy confirmed on Tuesday its decision to expand the Corpus Christi LNG project, resulting in a 2.4% rise in its shares during afternoon trading. Bechtel Energy will undertake construction of the CCL Midscale Trains 8 & 9 to support this initiative.

The logo of Houston-based liquefied natural gas company Cheniere seen during the LNG 2023 energy trade show in Vancouver, British Columbia, Canada, July 12, 2023.

The company plans to double its LNG output to 90 million metric tons annually by expanding facilities at its Corpus Christi and Sabine Pass terminals. Additional brownfield liquefaction projects are in development at both sites. Cheniere will implement these expansions gradually, beginning with single-train additions, aiming for a total capacity of approximately 75 million metric tons per year by the early 2030s.

As the world’s top LNG exporter, the United States has seen increased sector activity following regulatory updates in January. Cheniere, in February, committed to securing new permits to expand capacity. The company projects investing over $25 billion through 2030 in growth initiatives, share repurchasing, financial management, and dividends.

Cheniere raised its LNG production forecast to 60–63 million metric tons annually, up from 54–57 million metric tons. “While the CCL expansion may have been anticipated, we see the confidence in future growth and superior long-term capital allocation flexibility as well ahead of expectations,” said J.P. Morgan analyst Jeremy Tonet.

This expansion follows the completion of CCL Stage 3, with further capacity enhancements planned through equipment upgrades.