Back to top

Image: Shutterstock

Tellurian's (TELL) Driftwood LNG Gets 3 More Years From FERC

Read MoreHide Full Article

Tellurian Inc. received an extension from the U.S. Federal Energy Regulatory Commission (FERC) to complete the construction of the Driftwood LNG facility near Lake Charles, LA. The extension allows the company to complete the LNG project by Apr 18, 2029. The original deadline for the project was 2026.

The LNG project involves five plants and twenty trains, along with three storage tanks and as many berths. According to Tellurian, the company had applied for the extension last year, so that it could complete the construction of all the five plants in the facility. Post completion, the facility is expected to have a capacity of 27.6 million tons per annum (MMTPA).

According to TELL, FERC has been working collaboratively with the company to ensure safe construction of Driftwood LNG. The regulatory body has overseen the project diligently and also considered its extension request carefully. Tellurian has invested more than $1 billion for the development of the project.

In September 2023, TELL and Baker Hughes signed an agreement for the latter to supply eight main refrigerant compression packages for Phase 1 of the LNG project. The agreement includes eight LM6000PF+ gas turbines, main refrigerant compressors and control units needed for developing Phase 1.

After completion, Phase 1 will have two LNG plants and an export capacity of 11 MMTPA. The firm expects the initial LNG production at the facility to begin in 2027.

Zacks Rank and Key Picks

Tellurian is involved in the development of low-cost LNG projects. Currently, the company holds a Zacks Rank #3 (Hold).

Investors might want to look at some better-ranked stocks in the energy sector, such as Energy Transfer LP (ET - Free Report) , Oceaneering International (OII - Free Report) and Archrock Inc. (AROC - Free Report) . Both Energy Transfer and Oceaneering International sport a Zacks Rank #1 (Strong Buy) at present, while ArchRock holds a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Energy Transfer is a midstream player that owns and operates one of the most diversified portfolios of energy assets in the United States. Boasting a pipeline network extending more than 125,000 miles, its network spans over 44 states. With a presence in all the major U.S. production basins, the company’s outlook seems positive.

Oceaneering International is a market-leading supplier of offshore equipment and technology solutions to the energy industry. The company has projected an increase in free cash flows for 2024. The bright outlook is supported by the growing market demand for its mobile robotic forklifts and underride vehicles.

Archrock is an energy infrastructure company based in the United States, with a focus on midstream natural gas compression. The company provides natural gas contract compression services and generates stable fee-based revenues.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Oceaneering International, Inc. (OII) - free report >>

Energy Transfer LP (ET) - free report >>

Archrock, Inc. (AROC) - free report >>

Published in