Tellurian slashes net loss

US LNG export project developer Tellurian logged a lower net loss in the first quarter while the firm also paid off all its debt.

Tellurian posted a net loss of about $27 million, compared to a loss of $40.7 million in the January-March period last year.

As previously reported, the Houston-based firm said it made a voluntary $17 million debt repayment on April 23 and has now paid off all borrowing obligations.

It ended its first quarter with about $58.7 million of cash and cash equivalents and generated about $8.7 million in revenues from natural gas sales.

In addition, the developer of the 27.6 mtpa Driftwood project produced 3.3 billion cubic feet (Bcf) of natural gas for the quarter ending March 31, as compared to 3.9 Bcf for the previous quarter.

Tellurian’s upstream assets include 9,704 net acres and interests in 72 producing wells as of the end of March, it said.

The firm is still looking to secure deals for its Driftwood development as it aims to take a final investment decision on the project.

France’s Total is currently the only company that made a firm commitment to support the project with a $500 million investment.

“Tellurian now has a much stronger balance sheet and global customers continue to be very interested in our integrated, market-based LNG product offering as they build their portfolios with flexible, reliable and cleaner energy sources,” president and chief executive Octávio Simões, said.

“Additionally, we are looking forward to expanding our drilling program in 2021, having recently spud a new well in the prolific Haynesville Shale, that we expect to provide valuable revenue,” he said.

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