Indian American entrepreneur Sharad Tak has received federal approval for an $8.2 billion liquefied natural gas export facility off the Texas coast, promising significant economic benefits and energy exports.
SUNNY ISLES BEACH, Florida: ST LNG, a company founded by Indian American entrepreneur Sharad Tak, has secured federal approval for a proposed liquefied natural gas (LNG) export facility off the Texas coast. This marks a significant milestone for the $8.2 billion project, which is projected to generate nearly $100 billion in exports over the next 20 years.
The facility will be located off Matagorda, approximately 100 miles southwest of Houston, and is expected to have an annual production capacity of 8.4 million metric tons of LNG. In an interview with The American Bazaar at his home in Sunny Isles Beach, Florida, Tak outlined the project’s ambitious scope.
The plan involves constructing a deepwater LNG port approximately 10.4 miles offshore, featuring four LNG processing trains, each capable of producing about 2.1 million metric tons annually. On October 28, U.S. Transportation Secretary Sean Duffy announced that the Maritime Administration (MARAD) had approved ST LNG’s deepwater port license application after an expedited environmental review that took just 410 days.
This approval represents a significant regulatory achievement for the project, which aims to export American natural gas to international markets, including Europe and Asia. Tak explained that LNG is natural gas cooled to extremely low temperatures until it becomes liquid, significantly reducing its volume for transportation aboard specialized tanker ships. Once it reaches its destination, the LNG is converted back into gas and distributed through pipelines for various uses.
The facility is expected to generate nearly $100 billion in natural gas exports over two decades, highlighting the scale of the investment and its potential impact on American energy trade. “With approximately $8.2 billion in planned investment, 8.4 million tonnes of annual LNG export capacity, and thousands of American jobs supported during construction and operations, ST LNG will contribute to America’s energy security,” Tak stated.
The proposed deepwater facility will include 20 platforms, four floating LNG storage units, four mooring systems, and approximately 7.7 miles of pipeline. Its offshore location is designed to alleviate congestion in onshore areas, potentially reducing the risk of maritime accidents and improving safety.
The facility will source natural gas from the Tres Palacios Natural Gas Storage and Trading Hub and the Williams Markham Gas Processing Plant, utilizing an existing Transco pipeline located about 5.6 miles northeast of the proposed port. According to the U.S. Department of Transportation, the project could increase the country’s LNG export capacity by 7% to 9%.
Furthermore, the department estimates that the development could support approximately 2,000 construction jobs and up to 855 permanent jobs once operations commence. Currently, the project remains in the development phase, with financing and long-term customer agreements still to be finalized before construction can begin.
ST LNG aims to make a final investment decision by mid-to-late 2027, contingent upon securing sufficient customer commitments. The company has indicated that commercial operations could begin around 2030, with the project expected to be developed in phases as additional long-term purchase agreements are secured.
The expedited federal approval process reflects regulatory changes introduced during the Trump administration to streamline the licensing of deepwater energy infrastructure. Approximately ten months prior to the announcement, Duffy indicated that MARAD would take on greater responsibility for deepwater port licensing from the U.S. Coast Guard, aiming to simplify reviews and shorten approval timelines.
Under the revised process, MARAD completed the Final Environmental Impact Statement for ST LNG in 410 days, nearly 3.7 years faster than the historical average. The review was approximately 70% quicker than previous timelines, marking the fastest deepwater port license review in over two decades. MARAD collaborated with the U.S. Coast Guard, other federal agencies, and the State of Texas during the environmental and safety review.
While the approval is a significant step toward construction, the company must still meet applicable federal and state requirements and finalize its commercial arrangements. For Tak, this regulatory clearance brings the proposed project closer to becoming one of the major new LNG export facilities along the Texas coast.
The project has garnered attention for its potential to enhance energy trade between India and the United States. India has been actively seeking to diversify its energy supplies, while the United States has expanded its LNG export infrastructure to meet growing international demand. Tak has expressed that the company is pursuing long-term LNG sales agreements with buyers in Asia and Europe, including potential customers in India.
Additionally, the company is exploring financing options that involve a combination of debt and equity to support the proposed development. As energy security and the diversification of natural gas supplies become increasingly crucial for countries seeking reliable long-term fuel sources, additional LNG imports from the United States could provide India with an alternative supply option.
Sharad Tak’s journey in entrepreneurship spans over five decades. Born in Jodhpur, Rajasthan, in 1944, he moved to the United States in 1966 to pursue a master’s degree in computer science at the State University of New York at Buffalo after earning his BTech in electrical engineering from the Indian Institute of Technology (IIT) Bombay.
Tak began his career as a senior computer engineer at Computer Sciences Corporation before venturing into entrepreneurship in the early 1970s. He founded Systems and Applied Sciences Corporation, later renamed ST Systems Corporation (STX), which provided programming and systems integration services to U.S. government agencies, including NASA and the Federal Aviation Administration.
Regarded as a pioneer in the government contracting industry, Tak is believed to be among the first Indian American entrepreneurs to establish a government contracting company in the United States. By 1991, STX had reached approximately $70 million in annual sales before Tak sold the company to Hughes Aircraft.
Over the years, he has founded and successfully exited multiple businesses, expanding his interests beyond information technology. He later established the ST Group to consolidate his business ventures across various sectors, including technology, energy, infrastructure, communications, manufacturing, real estate, and hospitality.
Tak has also been involved in power generation and refinery development in India, including a 250-megawatt thermal power plant in Neyveli through ST Power Systems. He has maintained strong ties with his alma mater and the Indian American community through educational support, philanthropy, and initiatives aimed at strengthening connections among business, education, and communities.
Having previously lived in Bethesda, Maryland, with his wife, Mahinder, Tak moved to Sunny Isles Beach, Florida, over a decade ago. Now, at 82, he is pursuing one of the largest projects of his entrepreneurial career, aiming to transform a proposed multibillion-dollar LNG facility into a major source of American energy exports. If completed, this project would mark another significant milestone in a career that began in government contracting in the early 1970s and has since expanded across multiple industries and international markets.
According to The American Bazaar, Mathew Tonni contributed to this report from Sunny Isles Beach, FL.