French energy company Engie SA has indefinitely postponed signing a long-term deal to buy liquefied natural gas (LNG) from the proposed Rio Grande LNG facility in Texas because of French government concerns over hydraulic fracturing (fracking), a person close to the matter told NGI on Friday.

“What is very clear is that Engie postponed discussions because of government pressure,” said Lorette Philippot, private finance campaign manager of French environmental group Les Amis de la Terre (Friends of the Earth).

Bloomberg reported Thursday that Engie’s board decided to further investigate the environmental implications of the potential $7 billion, 20-year contract before deciding whether to back it. The proposed deal is slated to run until 2045, meaning that exports would...