Venture Global tells Plaquemines Phase 2 buyers that LNG deliveries on schedule, source says

Venture Global has faced disputes over the timing of contracted LNG deliveries at its first plant at Calcasieu Pass in Louisiana, and the latest reassurance comes as LNG prices in Europe and Asia have climbed sharply following disruptions to global energy markets linked to the U.S.-Israeli conflict with Iran.

Higher spot LNG prices can dramatically increase the value of uncontracted cargoes, sometimes creating concerns among buyers that project schedules or commercial arrangements could change as market conditions evolve.

Plaquemines Phase 1 customers should get their cargoes starting October 31, Reuters has previously reported.

Several customers including Shell SHEL.L, BP BP.L, Repsol REP.MC, Edison EDNn.MI and Poland's Orlen PKN.WA launched arbitration proceedings and lawsuits against Venture Global after commercial operations at Calcasieu Pass were delayed while the company continued selling cargoes from the plant into the spot market during a period of elevated global LNG prices.

The disputes became one of the most closely watched legal battles in the global LNG industry and highlighted the risks buyers face when projects experience startup delays.

U.S. LNG developer Venture Global VG.N has told customers of its Plaquemines Phase 2 export plant in Louisiana that it remains on track to begin delivering contracted cargoes on schedule at previously agreed prices, according to a person with direct knowledge of the matter.

Customers at Plaquemines Phase 2 include Exxon Mobil XOM.N and Chevron CVX.N, two of the largest U.S. energy companies.

In a letter sent to customers on Tuesday, the Virginia-based company said it remains committed to starting long-term deliveries from Plaquemines Phase 2 by the end of the second quarter of 2027 despite a recent surge in global gas prices.