NextDecade Corporation (NextDecade) announced the execution of a 20-year sale and purchase agreement (“SPA”) with China Gas Hongda Energy Trading Co., LTD (China Gas), a wholly-owned subsidiary of China Gas Holdings Limited (HKEX:00384) for the supply of liquefied natural gas (“LNG”) from NextDecade’s Rio Grande LNG export project (“RGLNG”) in Brownsville, Texas.

Under the SPA, China Gas will purchase 1.0 million tonnes per annum (“MTPA”) of LNG indexed to Henry Hub and delivered on a free-on-board (“FOB”) basis. The LNG will be supplied from the second train at Rio Grande LNG, which is expected to start commercial operations as early as 2027.

“We are pleased to announce the signing of this long-term SPA with China Gas, one of China’s largest natural gas distribution companies supplying approximately 43 million households across China,” said Matt Schatzman, NextDecade’s Chairman and Chief Executive Officer. “This SPA demonstrates the continued acceleration of RGLNG’s commercial momentum and highlights our successful strategy of offering customers flexible, competitive and low carbon-intensive LNG.”

“The signing of this long-term SPA with NextDecade will further optimize China Gas's portfolio, expand resource supply channels, and ensure that we can meet our customers' growing demand for quality, reliable and low carbon content energy. This SPA demonstrates China Gas's determination to unswervingly implement China’s national low-carbon energy development strategy,” said Yalong Qi, General Manager of China Gas Hongda Energy Trading Co., LTD.”

Based on current expected demand for LNG and assuming the achievement of further LNG contracting and financing, NextDecade anticipates making a positive final investment decision (“FID”) on up to three trains of the Rio Grande LNG export project in the second half of 2022, with FIDs of its remaining trains to follow thereafter.

About NextDecade Corporation

NextDecade Corporation (NASDAQ: NEXT) is an energy company accelerating the path to a net-zero future. Leading innovation in more sustainable LNG and carbon capture solutions, NextDecade is committed to providing the world access to cleaner energy. Through our wholly owned subsidiaries Rio Grande LNG and NEXT Carbon Solutions, we are developing a 27 MTPA LNG export facility in South Texas along with one of the largest carbon capture and storage projects in North America. We are also working with third-party customers around the world to deploy our proprietary processes to lower the cost of carbon capture and storage and reduce CO2 emissions at their industrial-scale facilities. NextDecade’s common stock is listed on the Nasdaq Stock Market under the symbol “NEXT.” NextDecade is headquartered in Houston, Texas. For more information, please visit www.next-decade.com.

About China Gas

China Gas Holdings Limited (HKEX: 00384) is a leading gas service provider in China, principally engaged in the investment, construction and management of city gas pipeline infrastructure, distribution of natural gas and LPG to residential, industrial and commercial users, and gas refilling stations for vehicles and vessels. China Gas owns a total of 652 city and township gas projects with concession rights, 32 natural gas long-distance pipeline transmission projects, 554 CNG/LNG refilling stations for vehicles, as well as the license to import and export LNG and other fuel products in China, in addition to 113 LPG distribution projects.