US LNG firm Tellurian reported a widening first-quarter loss on Thursday, as it continues to work to secure financing for the first phase of its Driftwood LNG export plant in Louisiana.
Tellurian reported a net loss of about $44 million, or $0.06 per share, for the quarter ended March 31, 2024, compared to a net loss of $27.5 million, or $0.05 per share, for the same period of 2023.
The company generated about $25.5 million in natural gas revenues in the first quarter, driven by decreased realized natural gas prices and production volumes, compared to $50.9 million in the first quarter of 2023, it said.
As of March 31, 2024, Tellurian had about $1.3 billion in total assets, including about $51.8 million of cash and cash equivalents.
Working on FID
“Over the past few months, our senior team has sharpened its focus on stability, financial discipline and execution, and we are laser-focused on bringing Driftwood to final investment decision,” executive chairman Martin Houston said.
“To this end, we continue to take important steps to improve our balance sheet and liquidity position, and we continue to benefit from our strong regulatory standing,” he said.
Driftwood LNG received an extension through 2029 to both the order authorizing construction from the US Federal Energy Regulatory Commission and its Section 404 permit from the US Army Corps of Engineers.
“In addition, we have better aligned our commercial offerings to meet the needs of potential customers, and we are highly encouraged by our ongoing commercial discussions,” Houston said.
Tellurian invested more than $1 billion in Driftwood LNG
Last month, Tellurian confirmed that it is exploring a potential sale of the company.
Tellurian also said on its March presentation it expects to take a final investment decision in 2024 to build the first two plants at its Driftwood LNG export plant in Louisiana.
The company expects to issue a full notice to proceed to compatriot engineering and construction giant Bechtel to begin construction for for the first phase of the plant in the second half of this year.
Under the first phase, Tellurian aims to build two LNG plants near Lake Charles with an export capacity of up to 11 mtpa.
Tellurian issued a limited notice to proceed to Bechtel in March 2022 and it said in August last year that Bechtel completed piling work for the first plant and also concrete pouring for all plant one compressor foundations.
The firm claims it invested more than $1 billion in Driftwood with construction of the first two plants about 30 percent advanced.
The full project would include five plants with a total capacity of about 27.6 mtpa.