Tellurian to start Driftwood LNG construction in April

Tellurian Inc. will begin building its 27.6-million tpy Driftwood LNG liquefaction plant in Calcasieu Parish, La., in April 2022, regardless of whether full Phase 1 financing is in place, according to executive chairman Charif Souki.

Tellurian Inc. will begin building its 27.6-million tonne/year (tpy) Driftwood LNG liquefaction plant in Calcasieu Parish, La., in April 2022, regardless of whether full Phase 1 financing is in place, according to executive chairman Charif Souki. Souki made the remarks in a video posted to Tellurian’s website Feb. 1.

Driftwood LNG would use 20 1.38-million tpy trains developed in five 4-train blocks to reach its maximum planned capacity. Phase 1 (11 million tpy) includes the first two of these blocks, two (of three planned) 235,000-cu m storage tanks, and the first of three planned loading berths.

Bechtel Oil, Gas, and Chemicals Inc. in 2017 signed four lump-sum, fixed-price contracts worth a total of $15.2 billion for engineering, procurement, and construction of Driftwood LNG. Tellurian has 10-year offtake agreements in place totaling 9 million tpy with Shell NA LNG, Vitol Inc., and Gunvor Singapore Pte. Ltd. (OGJ Online, July 30, 2021).

In January 2022 the Sierra Club and a coalition of Louisiana-based environmental groups petitioned the US Environmental Protection Agency to deny Driftwood’s operating permit, citing flaws in the process.

About the Author

Christopher E. Smith

Editor in Chief

Chris brings 32 years of experience in a variety of oil and gas industry analysis and reporting roles to his work as Editor-in-Chief, specializing for the last 20 of them in the midstream and transportation sectors.

Sign up for Oil & Gas Journal Newsletters