South Korea’s Samsung Heavy Industries has agreed with U.S.-based LNG export infrastructure developer Delfin Midstream to extend a letter of award (LOA) for the project’s initial FLNG production unit at the company’s LNG export scheme offshore Louisiana in the United States. The extension keeps the partnership in place as both sides work toward a final investment decision (FID) that is targeted for next month.
According to Delfin Midstream, the updated LOA follows a period of early engagement carried out jointly with Samsung Heavy Industries to prepare for full execution of the Delfin LNG project. With the remaining development workstreams nearing completion, the two companies are preparing to move from planning into FID and subsequent project rollout.
In parallel, Delfin Midstream has signed an LOA with Black & Veatch to support a purchase order with Siemens Energy. This builds on an agreement reached in July 2025 to reserve manufacturing capacity for SGT-750 gas turbine mechanical drive packages. During autumn 2025, Delfin Midstream issued a limited notice to proceed for initial work on these units. The latest announcement signals the start of manufacturing of this equipment under contract with Black & Veatch, which will serve as the prime subcontractor to Samsung Heavy Industries for topsides engineering and procurement, as well as pre-commissioning and commissioning services on the FLNG unit.
Chief executive Dudley Poston said the final elements of the project are now coming together and that ordering and reserving critical equipment allows the partners to plan for FID and follow-on execution. He described the development as a milestone in the build-out of U.S. energy infrastructure and highlighted continued cooperation with Samsung Heavy Industries, Black & Veatch, Siemens Energy, and other key vendors as commercial and financing workstreams are finalized to bring what the company views as the country’s first offshore LNG project to market.
The Delfin LNG project will use the company’s patented PRICO liquefaction technology, intended to provide efficient and reliable performance in onshore, nearshore, and floating applications. Additional equipment awards have been made, and manufacturing slots have been reserved for major hull and topsides items to prepare for execution and safeguard the overall schedule.
The brownfield deepwater port serving the project is described as requiring limited further infrastructure investment while being able to host up to three floating LNG vessels with a combined capacity of up to 13.2 million tonnes of LNG per year. Delfin Midstream believes the FLNG development could become the first U.S. deepwater LNG export port and a long-term contributor to jobs and economic activity.
As part of the wider scheme, Delfin Midstream has acquired the UTOS pipeline, which the company characterises as the largest natural gas pipeline system in what it calls the Gulf of America. The LNG development already holds a deepwater port authorisation from the U.S. Maritime Administration (MARAD) and a U.S. Department of Energy approval permitting long-term LNG exports to countries without a free trade agreement with the United States.
For Samsung Heavy Industries, the LOA extension and the launch of manufacturing for the gas turbine drive packages position the yard to move into FLNG unit execution once Delfin reaches FID.
