US LNG Export project developer, Tellurian, decided against buying out Toshiba’s 20-year LNG supply deal at the Freeport liquefied natural gas export facility under construction in Texas.
Speaking to Reuters, the company’s co-founder and vice-chairman, Martin Houston said the opportunity did present itself for such a move, however, the company decided not to pursue.
Japan’s Toshiba agreed a 20-year use-or-pay deal for 2.2 mtpa portion of the Freeport LNG’s total production capacity, however, the company is looking to offload its U.S. unit as it failed to find buyers for the volumes.
Houston further added the company is fully focused on bringing forward its 27.6 mtpa Driftwood LNG project on the west bank of the Calcasieu River, south of Lake Charles, Louisiana.
The final investment decision on the project is expected in the first half of next year, following which Tellurian could start trading LNG, according to Houston.
LNG World News Staff