Total Buys 23% Tellurian US LNG Stake
French energy giant Total has paid $207mn for a 23% stake in US LNG project developer Tellurian, it said December 20. The aim is to capitalise on the acquisition of competitive gas production in the US and deliver LNG to international markets from the Driftwood LNG terminal, Louisiana, Total said in their joint statement. The terminal is still in the pre-filing stage.
Total's gas and power president Philippe Sauquet said Tellurian "has a very experienced team with a strong track record of developing and managing LNG assets in the US. Investing in Tellurian at an early stage will give us the opportunity to potentially strengthen our mid and long term LNG portfolio thanks to a very cost competitive project.”
Tellurian was set up by two former LNG traders, Martin Houston formerly COO of BG Group; and Charif Souki, formerly CEO of Cheniere Energy, who joined him when he was ousted a year ago, shortly before the first train at Sabine Pass, Louisiana, came on stream. Since then, more, senior Cheniere staff have joined, including Meg Gentle, who is now Tellurian's CEO.
She said in the statement: "Total’s investment materially strengthens Tellurian’s position as a large infrastructure development company and is an important milestone in the growth of Tellurian’s LNG business."