Golden Pass LNG, a joint venture between QatarEnergy and Exxon Mobil, has reached a key operational milestone with its first LNG production at its newly built facility in Texas. The development marks a significant step toward commissioning one of the largest U.S. export projects. According to Exxon, the project is now moving toward shipping its first cargo in the second quarter. The achievement of first LNG production comes amid tightening global gas supplies, as the war in the Middle East has disrupted output in Qatar, one of the world’s biggest LNG suppliers.
Once fully operational, the Golden Pass facility is expected to deliver 18 million metric tons per annum (MTPA). The initial production unit, Train 1, will contribute 6 MTPA of new LNG capacity. Based on the equity structure, QatarEnergy, which holds a 70% stake, will receive just over 4 MTPA, while Exxon, with a 30% share, will receive just under 2 MTPA. The company underscored the importance of first LNG production in advancing the project toward full operations. “Golden Pass LNG will strengthen U.S. energy production and reinforce the nation’s role as a reliable supplier to global markets, enhancing energy security and helping meet worldwide demand,” Exxon said. It added that this milestone reflects an unwavering commitment to safety and continued progress toward full operational status.
The broader market backdrop remains challenging. QatarEnergy, the world’s second-largest LNG exporter, said on 24th March 2026 it will have to declare force majeure on its production, citing the conflict in the Middle East. The company noted that it has shut in facilities accounting for roughly 20% of global LNG supply and warned that damage to those plants could remove about 17% of its current output for up to five years. Against this backdrop, the first LNG production at Golden Pass assumes added importance for global supply dynamics.
The $10 billion Golden Pass project has encountered multiple hurdles since construction began in 2019, including delays, cost overruns, and the bankruptcy of its original lead contractor. Nevertheless, the company said first LNG production sets the stage for the terminal to deliver its first cargo from Sabine Pass, Texas. It added that the plant is positioned to sustain liquefaction operations while meeting its commercial and strategic targets. Ongoing supply disruptions from Qatar have pushed Asian LNG prices higher, prompting some countries to rely more heavily on coal or impose restrictions on energy exports as they navigate the shortages.
