Tellurian plans new senior notes offering

US LNG firm Tellurian has revealed plans to sell more senior secured notes in order to fund the construction of its Driftwood LNG export project in Louisiana.

The firm said in a statement it aims to offer and sell units consisting of 11.25 percent senior secured notes due 2027 ($1,000 principal amount per note) and warrants to purchase shares of Tellurian common stock in an underwritten public offering.

“There can be no assurance as to whether or when the offering may be completed, or as to the size or terms of the offering,” the company said.

Tellurian said it intends to use the net proceeds from the offering by contributing them to the Driftwood project entities to support the construction of its Driftwood LNG export plant.

B. Riley Securities is acting as sole bookrunning manager for the offering.

Earlier this year, Tellurian executed definitive agreements to sell $500 million principal amount of senior secured convertible notes.

Tellurian and compatriot engineering and construction giant Bechtel are moving forward with site preparation works for the Driftwood LNG export project.

In March, Tellurian issued a limited notice to proceed to Bechtel under its executed EPC contract to begin construction of phase one of the Driftwood LNG plant.

However, Tellurian is still working to complete financing for the first phase of the Driftwood project worth about $12.8 billion.

Phase one will include two LNG plants near Lake Charles with an export capacity of up to 11 million tonnes per annum (mtpa).

Most Popular

Shell’s LNG Canada achieves first LNG

LNG giant Shell has started production at the first liquefaction train at its LNG Canada export terminal in Kitimat, an LNG Canada spokesperson told LNG Prime on Sunday.

Atlantic LNG shipping rates jump to $49,750 per day

Atlantic spot LNG shipping rates rose to $49,750 per day this week, while European prices also jumped compared to the previous week.

Golar progresses FLNG growth plans

Golar LNG said it had signed a final engineering study to confirm EPC price and delivery for a 5 mtpa MKIII FLNG.

More News Like This

Woodside’s Louisiana LNG gets FERC extension

Woodside has secured an additional eight-month extension from the US FERC to complete and put into service its Louisiana LNG export facility.

Woodside’s Louisiana LNG seeks FERC extension

Woodside is seeking an additional eight-month extension from the US FERC to complete and put into service its Louisiana LNG export facility.

Aramco plans to join Woodside’s Louisiana LNG project

Saudi Arabia’s energy behemoth Aramco plans to take a stake in Woodside's Louisiana LNG export project.

Wood bags Louisana LNG pipeline gig from Woodside

UK-based consulting and engineering firm Wood has secured a contract from Australian LNG player Woodside for the latter's Line 200 pipeline project, which will deliver natural gas to the recently approved Louisiana LNG project.