US LNG firm Tellurian, the developer of the Driftwood LNG export project in Louisiana, said on Friday that its co-founder and chairman, Charif Souki, will no longer serve as an executive or officer of the company or hold any managerial responsibilities.
Tellurian’s board of directors has named Martin Houston, co-founder and vice chairman, to be the company’s chairman.
The company said that Souki remains a member of the board of directors.
“These changes are not the result of any material or unexpected financial events,” Tellurian said.
Tellurian said in a separate SEC filing that it provided notice of termination “without cause” effective as of December 8, 2023 and “may be required to pay Souki certain severance if Souki executes a separation agreement and general release, which would include his resignation from Tellurian’s board.”
“Souki ceased to have apparent or actual authority to act for or on behalf of the company, including, without limitation, apparent or actual authority to act as an officer, authorized representative or authorized spokesperson of the company, was removed from all offices and directorships of all company entities, other than as a director of Tellurian, and was removed as chairman of the board,” Tellurian said.
The Driftwood LNG developer did not provide any additional information.
Driftwood LNG
Tellurian reported a net loss of about $65.4 million, or $0.12 per share, for the third quarter, compared to a net loss of about $14.2 million last year.
The company recently requested more time from the US FERC to complete the construction of its Driftwood LNG project.
Tellurian issued a limited notice to proceed to compatriot engineering and construction giant Bechtel in March last year and Bechtel has driven more than 11,800 piles at the site.
Under the first phase, Tellurian aims to build two LNG plants near Lake Charles with an export capacity of up to 11 mtpa.
However, the company is still working to secure financing for the project.
Tellurian previously said it expects the first phase to cost about $14.5 billion with about $6 billion equity investment.