The US LNG developer Tellurian plans to downsize the first phase of its Driftwood LNG export project in Louisiana (United States) to reduce its costs by about 30% to approximately US$16.8bn. The first phase would include three liquefaction trains with a combined capacity of 16.6 Mt/year and the 4 bcf/d (41 bcm/year) Driftwood gas pipeline. Tellurian had initially planned to build three other 2 bcf/d (20 bcm/year) gas pipelines, the Permian Global Access Pipeline and the Haynesville Global Access Pipeline, which would have delivered shale gas from the Permian Basin to the LNG project, and the Delhi Connector Pipeline. The Permian and Haynesville projects are now deferred, and the Delhi Connector project is frozen. Tellurian plans to make a final investment decision on the Driftwood LNG project in 2021. Commissioning was expected in 2024 but will likely be delayed.
In a second phase, the capacity of the LNG terminal should be raised by 11 Mt/year to 27.6 Mt/year. Half of the terminal capacity would be used by equity investment partners, namely Total, Petronet (shareholders), GE Electric and Bechtel as construction contractors.
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