HOUSTON, Jan 24 (Reuters) - The Texas construction

contractor that last year quit the Golden Pass liquefied natural

gas plant project, a joint venture between QatarEnergy and Exxon

Mobil ( XOM ), could exit Chapter 11 bankruptcy before April,

the company said on Friday.

Zachry Holdings said the U.S. Bankruptcy Court for the

Southern District of Texas on Friday approved its reorganization

plan, paving the way for it complete the process no later than

the end of March.

The court set a hearing for Feb. 26 to confirm the plan.

San Antonio-based Zachry quit the export terminal project in

Sabine Pass, Texas and filed for bankruptcy in May, saying costs

exceeded the budget of its fixed-price construction contract. It

was unsuccessful in trying to renegotiate.

Several U.S. LNG projects are expected to move forward

under the Trump administration, and once Zachry completes the

bankruptcy reorganization, it could represent another option for

developers seeking an experienced LNG contractor.

Chiyoda International Corp replaced Zachry as the lead

construction contractor at Golden Pass, and Zachry in July 2024

reached a settlement to resolve disputes related to the project.

Construction costs at Golden Pass were budgeted at $10

billion and Zachry's share was budgeted at $5.8 billion.

Zachry said the project was costing $30 million to $40

million weekly while Golden Pass paid it $70 million monthly.

"We are pleased to have filed the revised plan... and

all parties have committed to working in good faith to finalize

creditor treatment under the plan," Zachry said in a statement.

The exit caused further delays in the construction of the 18

million metric tonnes per annum LNG facility, which is now

expected to produce first LNG in 2025, according to Exxon.

Zachry said it continues to operate at all of its active

projects and jobs sites.