Tellurian continues Driftwood LNG buyers search

US LNG export project developer, Tellurian is continuing negotiations for the sale of LNG and interest in Driftwood liquefied natural gas project near Lake Charles, Louisiana.

The company reminded that during the third quarter of the year, it signed a memorandum of understanding with Petronet LNG and its units to purchase of up to five million tonnes per annum (mtpa) of liquefied natural gas (LNG) from Driftwood, concurrent with an equity investment by Petronet in Driftwood.

Tellurian said it has also progressed the engineering for the Driftwood liquefaction terminal, completing 26 percent of the total required.

It has also started the Federal Energy Regulatory Commission (FERC) pre-filing process for the Permian Global Access pipeline, a 625-mile, 42-inch interstate natural gas pipeline proposed from the Waha Hub in West Texas to near Lake Charles, Louisiana.

Commenting on the third-quarter results, president and CEO Meg Gentle said, “Tellurian continues to execute on all facets of our strategy, including the completion of 26 percent of the engineering required for Driftwood, which makes Driftwood the most advanced pre-construction terminal in the United States. We are on schedule to produce first LNG in 2023.”

Tellurian ended its third quarter of 2019 with a net loss of approximately $39.6 million, approximately $91.1 million of cash and cash equivalents and approximately $133.2 million in debt.