Venture Global signs up to $17.2 billion equipment deals with GE Vernova and Baker Hughes
The frame agreements cover power islands, transformers and switchgear for up to 21 projects with deliveries running through 2034
Published
Venture Global LNG, a subsidiary of Venture Global, has entered into frame agreements with GE Vernova, Baker Hughes Energy Services and GE Grid Solutions for equipment including power islands, transformers and switchgear. The agreements support up to 16 power islands and related grid equipment across as many as 21 power island projects.
Deliveries under the agreements are scheduled to run through 2034. Venture Global said that if it elects to proceed with all purchase orders under both agreements, the aggregate amount payable, including reservation fees, would be approximately $17.2 billion, subject to adjustment. The company expects to place a purchase order for the first power island by the end of 2026.
Locking in the agreements secures reservation slots for the equipment years before construction begins, a hedge against the backlogs that have slowed availability of gas turbines and grid hardware across the industry. Spreading deliveries across as many as 21 projects through 2034 points to an expansion pipeline well beyond Venture Global's currently operating trains.
With the first purchase order not expected until the end of 2026, the capital commitment front-loads planning risk long before any revenue from those projects materializes. The size of the agreements also reflects how tight turbine and switchgear capacity has become as LNG and power generation developers compete for the same suppliers.