Sept 3 (Reuters) - U.S.-based energy company EQT

will purchase 1.5 million tonnes per annum of liquefied natural

gas from NextDecade's ( NEXT ) Rio Grande export facility in

Texas for 20 years, the companies said on Wednesday.

NextDecade ( NEXT ) will supply the superchilled fuel from its fifth

liquefaction facility, also known as a train, at Rio Grande.

The agreement will be on a free-on-board basis at a price

indexed to Henry Hub, subject to NextDecade ( NEXT ) making a positive

final investment decision (FID) on Train 5.

The companies did not disclose the financial cost of the

deal.

Commercial activity in the U.S. LNG sector has been

increasing rapidly after President Donald Trump lifted a

moratorium on new export permits soon after taking office in

January.

The U.S. is the world's largest LNG exporter and its total

capacity is expected to reach 115 million metric tons per annum

this year, according to the U.S. Energy Information

Administration.

NextDecade ( NEXT ) is building its Rio Grande LNG facility with a

capacity of 17.6 million tonnes a year. It is also developing

its fourth and fifth liquefaction plants with a combined

additional capacity of 10.8 mtpa.

The company expects to complete commercialization of Train 5

in the third quarter and expects to achieve a positive FID in

the fourth quarter. It expect a positive FID on Rio Grande LNG

Train 4 by September 15.

LNG developers typically reach an FID on projects once they

have secured enough supply deals to obtain the necessary

financing for construction.

In late May, NextDecade ( NEXT ) had signed a 20-year deal to supply

Japan's biggest power generator JERA with 2 million tonnes per

annum of LNG from its Rio Grande project's fifth liquefaction

facility.

The LNG producer has signed agreements with top oil producer

Saudi Aramco and TotalEnergies to supply the

superchilled gas, from the fourth liquefaction facility of the

project for 20 years.

In addition, NextDecade ( NEXT ) extended the price validity period

under its engineering, procurement, and construction contract

with Bechtel Energy for Train 5 until November 15 from September

15.