US-based Tellurian expects output growth
US-based natural gas company Tellurian said November 3 that new drilling programmes could more than double net production by the end of next year.
Tellurian said in its report for the third quarter that it estimated it would end 2021 with approximately 70mn ft3 equivalent/day in production. It plans to drill between 12 and 14 new wells, which could bring production to 220mn ft3/d-equivalent by the end of 2022.
|
Advertisement: The National Gas Company of Trinidad and Tobago Limited (NGC) NGC’s HSSE strategy is reflective and supportive of the organisational vision to become a leader in the global energy business. |
The company ended the three-month period ending September 30 with $210.8mn in cash with no borrowing obligations. Net natural gas sales during the quarter brought in $15.6mn in revenue, compared to $7.3mn during the same period last year.
Tellurian boasted a strong balance sheet with roughly $483.9mn in total assets, but posted a net loss of approximately $18.7mn for Q3.
Tellurian in August priced the public offering of 8.25% senior notes due 2028 at $50mn, with the proceeds going to potential upstream acquisitions. It was later forced to abandon the offering because authorities at the Nasdaq exchange said it could not list them “due to a procedural interpretation.”
Tellurian in June exercised a long-term lease option for the planned Driftwood LNG export facility in Louisiana and agreed to terms for a sales and purchase agreement with commodities trader Vitol.
The company also signed a pair of LNG sales and purchase agreements (SPAs) with Anglo-Dutch major Shell related to Driftwood.