Driftwood LNG project : Tellurian receives FERC extension for construction deadline
Tellurian Inc. (NYSE American: TELL) has received an extension from the U.S. Federal Energy Regulatory Commission (FERC) for the construction of its Driftwood LNG project located near Lake Charles, Louisiana. The extension, announced recently, sets a new deadline for the completion of construction by April 18, 2029. This development is a significant step for Tellurian, ensuring the company has sufficient time to complete the ambitious project, which aims to construct all five plants of the facility with a total capacity of approximately 27.6 million tonnes per annum (mtpa).
The Driftwood LNG project, once completed, will play a crucial role in meeting the growing global demand for liquefied natural gas (LNG). Octávio Simões, the Chief Executive Officer of Tellurian, expressed gratitude towards FERC for its cooperation and diligent oversight, including 19 site visits, to facilitate the safe construction of the Driftwood LNG facility. “We have invested over a billion dollars into Driftwood LNG’s development, we have our approval to export and all applicable construction permits, and we are eager to provide the world with liquefied natural gas exports,” Simões remarked.
Tellurian receives FERC extension for construction deadline for Driftwood LNG project. Photo courtesy of Business Wire.
Located on the west bank of the Calcasieu River, the Driftwood LNG terminal is set to become a significant LNG production and export hub, with the capacity to export up to 27.6 million tonnes of LNG annually to global markets. The project is expected to create approximately 6,500 construction jobs and 400 operational jobs, significantly contributing to the local and national economy.
Construction of the first phase began in March 2022, with Tellurian engaging Bechtel Energy Inc. (Bechtel) under an executed Engineering, Procurement, and Construction (EPC) contract. This initial phase includes two LNG plants with a combined export capacity of up to 11 mtpa. the Driftwood LNG project has secured all major permits required for construction and operation, advanced detailed engineering to about 30% completion, and finalized the acquisition and leasing of approximately 1,200 acres of real estate, ensuring an optimal construction site with ample space and deepwater access for shipping.