BUZZ-NextDecade surges after 20-yr LNG supply deal with Aramco subsidiary

Reuters
04-09
BUZZ-NextDecade surges after 20-yr LNG supply deal with Aramco subsidiary

** Shares of liquefied natural gas producer NextDecade NEXT.O surge as much as 26.8% to $7.58 on Tues after inking 20-yr supply deal with subsidiary of Saudi Aramco 2222.SE

** NEXT shares last up 7.2% at $6.41 in afternoon trading and on course for second straight day of gains

** Houston, Texas-based firm, which sports France's TotalEnergies TTEF.PA as its top investor, said Aramco subsidiary will buy 1.2 mln tonnes per annum of LNG from its Rio Grande Train 4 facility

** The agreement is subject to a positive financial investment decision $(FID.AU)$

** TotalEnergies owns ~44.9 mln NEXT shares, for ~17.2% stake, per LSEG data

** With move on Tues, NEXT shares still down ~16% YTD. Stock closed at $5.60 a year ago

** Of 4 analysts covering NEXT, 1 rates stock "strong buy", 2 rate "buy" and the other has "hold" recommendation and their median PT is $9.50, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))

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