Venture Global (VG) is positioned to capture incremental demand for liquified natural gas amid the ongoing conflict in the Middle East and its impact on supply, given its construction and production ramp as well as contract timing, RBC Capital Markets said in a note emailed Wednesday.

Venture Global targets commercial operations at Plaquemines Phase 1 in Q4 and Phase II in mid-2027, with first LNG production from its Calcasieu Pass 2 project expected in H2 2027, the firm noted. Its in-house engineering, procurement and construction team manufactures heat recovery steam generators at Morgan City, removing a significant bottleneck, the note added.

Bolt-on expansions target final investment decisions in early 2027 for the Calcasieu Pass 2 project and in H1 2027 for Plaquemines Phase 1, positioning total run-rate capacity at approximately 85 million tonnes per annum by the end of 2029, the brokerage said.

RBC now models 2026 and 2027 adjusted earnings before interest, taxes, depreciation, and amortization of $8.88 billion and $6.96 billion, respectively, up from $8.32 billion and $6.76 billion previously.

RBC kept an outperform rating on Venture Global with a price target of $16.

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