Delfin Advancing on Second FLNG off Louisiana, Aligns with Sector Expansion Trends

---

Written by Daniel Graeber for IIR News Intelligence (Sugar Land, Texas)

---

Summary

Siemens Energy is tapped to help build a second FLNG vessel for offshore Louisiana. It's part of a ground-swell in advances in the U.S. LNG sector.

---

Delfin Close to FID on Second Floating Plant

Already established as the premier exporter of liquefied natural gas, the U.S. market moved a step closer to a new development with an equipment contract for a floating LNG facility off the coast of Louisiana, Delfin Midstream announced.

Delfin on Thursday said it issued a limited notice-to-proceed to Siemens Energy to secure gas turbines and compressors for a second floating liquefied natural gas (FLNG) vessel off the coast of Louisiana.

According to Industrial Info Resources data, the Delfin LNG offshore facility has a combined investment value of more than $24 billion, spread out over a series of phases. The Industrial Info Resources Global Market Intelligence (GMI) Oil & Gas Production Project Database offers detailed reports on the projects.

Delfin said the notice for Siemens puts it one step closer to making a final investment decision (FID) on the second phase of the project. FID is targeted before the end of the year.

"Securing manufacturing slots for cri9cal long lead equipment with Siemens Energy is an important advancement in de-risking the project schedule as we work toward FID for the second vessel," said Dudley Poston, the chief executive officer at Delfin.

Delfin's first FLNG reached FID on June 3. It could advance along four separate phases. Delfin said Phase II would use the same design as the first one, with an expected nameplate capacity of 4.4 million metric tons per annum (MTPA) of gas in the liquid form.

Vessels would be moored offshore and connect to existing offshore pipeline infrastructure for feed stock. Delfin is already backed by a 20-year offtake agreement through Vitol, which would take on 1 MTPA once the facility is up and running by the end of the decade.

By the Numbers

• $24 billion investment value for Delfin LNG
• 1 MTPA already booked by Vitol

U.S. LNG is Booming

Delfin's announcement aligns with expansionary trends in the U.S. LNG sector. The federal government is expecting LNG exports to increase 8.1% by next year, solidifying the U.S. as the lead exporter of the super-cooled gas.

Cheniere last week awarded a contract to upstream services provider Baker Hughes to supply liquefaction equipment for the seventh train at Sabine Pass, boosting output by around 20%.

For more on that, see July 14, 2026, article - Expansions to Lift U.S. LNG Potential.

As of now, however, the sector is recovering from a period of maintenance, with both Sabine Pass in Louisiana and Freeport LNG in Texas curbing deliveries. Feed gas running to operational export terminals topped 19 billion cubic feet earlier this year to set a record, though volumes are limited at around 17.3 billion cubic feet as of Friday, based on data from the NATGAS Today report from Industrial Info Resources.

Of the nine operational LNG terminals in the United States, four are slated for expansions. U.S. natural gas production, however, isn't keeping up, with year-on-year growth falling way behind the expected expansion in LNG exports.

Elsewhere, LNG supplies are at a premium because of the conflict in the Middle East. Qatar, a major LNG exporter in its own right, could see volumes curbed for the next five years due to damage to its infrastructure.

Globally, prospects are diminishing. North American projects are advancing, with Canada and Mexico getting in the game, but data from the International Energy Agency (IEA) show investments drying up.

For 2026, the U.S. market is the only one advancing along FIDs. But even then, IEA data show new U.S. export volumes supported FIDs could fall off by 65% from year-ago levels.

Key Takeaways

• Delfin close to FID on second FLNG
• U.S. LNG exports are primed for an 8.1% year-over-year expansion by 2027

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).