Bigger in Texas
Global demand for liquid natural gas (LNG) is expected to increase by over 50% by 2040, according to data from Shell. Companies are bracing for these demand surges, pursuing expansion of their capacity through new projects and partnerships
Honeywell, an inventor and manufacturer of energy and industrial technologies, is providing its liquefaction process technology and equipment for an LNG project in south Texas.
The LNG export terminal, Rio Grande LNG, is being constructed by energy company NextDecade. Honeywell’s technology will be used in Rio Grande LNG liquefaction trains four and five. Construction for trains four and five began in September 2025 and October 2025 respectively, and each train is expected to produce approximately 6m tonnes of LNG per annum.
THE TECHNOLOGY INVOLVED
Honeywell is providing its high efficiency coil wound heat exchanger (CWHE) equipment and C3MR process technology to optimise production, improve reliability, and lower facility operating expenses.
“The C3MR process uses a propane refrigeration cycle for feedgas precooling, followed by a single mixedrefrigerant cycle to complete liquefaction and subcooling – this allows close thermodynamic matching between the refrigerant and natural gas cooling curves across the full temperature range,” says a Honeywell spokesperson. “This process supports stable operation and consistent LNG production across varying ambient conditions and feedgas compositions.”
The process also reduces operational complexity and supports high availability – sustained LNG production with minimal unplanned downtime. This is particularly important as Rio Grande LNG expands capacity from 18MTPA to 30MTPA with the addition of trains four and five.
The CWHE is designed to perform at scale and withstand extreme thermal cycling. “Its spiral-wound tube bundle handles several high-pressure streams in one cryogenic exchanger, maximising heat transfer and throughput in a compact design,” says the spokesperson.
The C3MR process and CWHE equipment enable NextDecade and Rio Grande LNG to boost liquefaction capacity, enhance energy efficiency, and ensure reliable operations. This standardised design lowers execution risk and can improve project economics as the facility expands.
“As the demand for energy increases, LNG will continue to play a significant role in meeting this demand and supporting global energy security,” said Christina Andersen, president, of gas and LNG at Honeywell. “Honeywell’s scalable and customisable technology helps producers optimise facility performance.”
ABOUT RIO GRANDE LNG
South Texas is a major hub for LNG development. The Brownsville Ship Channel and Corpus Christi also offer deepwater access for transporting LNG to international markets. This is particularly useful since Europe is shifting its sights toward non-Russian sources of LNG.
Rio Grande LNG is located on the north shore of the Brownsville Chip Channel, an area rich in natural gas resources. The site consists of 1,000ac and 15,000ft of frontage on an uncongested waterway, and features favourable geotechnical conditions and milder weather events compared to other US Gulf Coast locations.
The surrounding Rio Grande Valley community is providing a large portion of the expertise required to operate the facility. In fact, a majority of the onsite workforce will be Rio Grande Valley locals. The facility is providing over 7,500 construction and trade jobs, and about 700 long-term jobs once the facility is operating.
Currently, NextDecade is also evaluating subsurface and technical options for a potential carbon capture and storage project at Rio Grande LNG.
Approximately 48 million tonnes per annum (MTPA) of potential liquefaction capacity is currently under construction or in development at Rio Grande LNG. Trains 1-5 are under construction, and Trains 6-8 are in development and advancing the permitting process. There is space for up to 10 trains at the site. Honeywell’s LNG technology will also be used for the first three liquefaction trains at the facility.
REASONS FOR LNG DEMAND INCREASE
- AI data centres: LNG meets the constant power demand from AI data centres, which renewable energy sources alone cannot currently accommodate.
- The energy transition: LNG complements intermittent renewable energy sources to ensure supply security.
- Europe’s dependence: As the EU phases out imports of Russian LNG, one of its replacement strategies is to increase domestic production.
- Asia’s transition: Despite the Iran conflict disrupting coal-to-LNG plans, Malaysia, the Philippines and China are reportedly still veering away from coal, says Ange Association. China recently revived its Fuxin coal-to-gas project, signalling despite its non-linear journey towards cleaner energy, it understands LNG’s value as a ‘bridge fuel’.
