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
![](/images/white-fade.png)
Also in this section
26 July 2024
Oil majors play it safe amid unfavourable terms in latest oil and gas licensing bid rounds allowing Chinese low-ball moves
25 July 2024
Despite huge efforts by India’s government to accelerate crude production, India’s dependency shows no sign of easing
24 July 2024
Diesel and jet fuel supplies face a timebomb in just four years, and even gasoline may not be immune
23 July 2024
Rosneft’s Arctic megaproject is happening despite sanctions, a lack of foreign investment and OPEC+ restrictions. But it will take a long time for its colossal potential to be realised