Tellurian suffers Driftwood LNG setbacks
Cancellation of a bond sale and termination of SPAs spell trouble for the project
Fresh doubts have emerged over LNG developer Tellurian’s Driftwood export project on Louisana’s Gulf coast after two separate setbacks in late September. The Nasdaq-listed firm’s share price has crumbled from around $4.50/share in early September to lows of under $2.30/share in October. First, the company cancelled a $1bn high-yield bond sale, having struggled to attract investors even after sweetening the terms. Second, it emerged that ten-year SPAs with Shell and trader Vitol for a combined 6mn t/yr of LNG from Driftwood had been terminated. This volume represents two-thirds of the offtake Tellurian had contracted from the first phase of the project via deals signed last year. The company

Also in this section
11 February 2025
Improving compliance among the group and wider group is offset by production increases in outliers Libya, Venezuela and Iran
10 February 2025
The country wants to kickstart its upstream but first needs to persuade investors to foot the bill
10 February 2025
The February 2025 issue of Petroleum Economist is out now!
7 February 2025
The history of tin production and prices offers a preview of the future oil market. If correct, $35/bl could become the new normal for crude for several years without further OPEC+ intervention