Delfin Midstream Inc. (Delfin) today announced a Final Investment Decision (FID) for Delfin FLNG 1, the first floating liquefied natural gas (FLNG) vessel in the Company’s Louisiana LNG export project. The approximately $5 billion investment marks a major milestone for U.S. energy infrastructure and positions Delfin to become the operator of the first floating LNG export facility in the United States.
With an expected production capacity of 4.4 million tonnes per annum (MTPA), Delfin FLNG 1 will be the largest floating LNG project in the world and a significant new source of American natural gas exports to international markets. The project is designed to deliver reliable, low-cost LNG from the United States to customers across Europe, Asia and other global energy markets.
Concurrent with the FID, a consortium of investors led by Global Infrastructure Partners (GIP), a part of BlackRock, alongside existing investors Mitsui O.S.K. Lines (MOL), Vitol and Diameter Capital Partners, has committed additional capital to support the first phase of the Delfin LNG project.
“Securing FID for our first FLNG vessel is a transformative milestone for Delfin and a significant advancement for global energy security,” said Dudley Poston, Chief Executive Officer of Delfin Midstream. “As the first floating LNG export project in the United States, Delfin FLNG 1 will strengthen America’s position as a leading LNG supplier while delivering safe, reliable and cost-competitive energy to markets around the world.”
The Delfin LNG project represents one of the most significant new LNG infrastructure developments in North America and supports growing global demand for cleaner-burning natural gas. The project’s offshore design is expected to provide operational flexibility and efficient access to international shipping routes.
Jotaro Tamura, President and CEO of MOL, said, “Since our initial investment in Delfin in 2023, we have witnessed remarkable progress in the development of this groundbreaking FLNG project. We are pleased to deepen our partnership and contribute our extensive expertise in floating offshore energy infrastructure.”
Mark Florian, Head of GIP Mid-Market Funds, added, “Delfin FLNG 1 is a landmark U.S. LNG infrastructure project supported by an experienced management team, proven engineering and construction partners, and long-term commercial agreements. The project is well positioned to supply cost-competitive American LNG to global markets for decades to come.”
Ben Marshall, President and CEO of Vitol Americas, said, “Delfin FLNG 1 represents an important investment in U.S. energy exports and global energy security. We are proud to support a project that will expand access to reliable, competitively priced American LNG.”
Scott Goodwin and Jon Lewinsohn, Co-Founders and Managing Partners of Diameter Capital, said, “This Final Investment Decision is an important milestone in the development of critical U.S. energy infrastructure. We look forward to supporting Delfin’s continued growth and future project phases.”
Delfin FLNG 1 is supported by long-term LNG offtake agreements with major global energy companies, including Vitol, Expand Energy, Centrica and Gunvor. The project has secured all major permits and regulatory approvals required to begin construction.
Delfin has also executed engineering, procurement and construction agreements with leading industry partners Samsung Heavy Industries and Black & Veatch, further advancing development of the floating LNG facility.
The first FLNG vessel is expected to commence LNG production in 2030. Delfin continues to advance development activities for FLNG vessels two and three, with additional Final Investment Decisions anticipated over the next year.
