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US approves site prep work for Driftwood LNG export plant

13/12/2019
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Preliminary work on the forthcoming site for Louisiana’s Driftwood LNG export plant has now been approved by US energy regulators, marking a significant step forward for operator Tellurian Inc.

The proposed Driftwood LNG facility is due to begin construction next year with production due for 2023
(Image via Tellurian Inc.)

The Federal Energy Regulatory Commission (FERC) have signed off on plans to begin the initial pre-construction processes of the area including vegetation clearing and grading, demolition and removal of existing buildings and dredging of marine berths.

Tellurian plan to begin this activity immediately, keeping the project on track to begin construction of the liquefaction plant in early 2020. They hope to produce the first LNG from the facility as early as 2023.

“With FERC’s approval, we are doing some preliminary work on the site,” announced Tellurian spokeswoman Joi Lecznar.

“We have progressed to completing over 27% of our engineering, and we have ordered some equipment in order to prepare for construction.”

The Driftwood LNG facility is intended to produce 27.6 million tonnes per annum (MTPA) of LNG and 3.6 billion cubic feet per day (bcfd) of natural gas. It’s expected to cost up to $27.5 billion and is anticipated to create 6,700 construction jobs and 300 permanent jobs.

Despite the facility not yet being constructed, deals are already being signed for exports, with Total SA agreeing to purchase one million tonnes per annum of LNG as well as investing $500 million in Driftwood Holdings LP.

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US approves site prep work for Driftwood LNG export plant - Time to read 2 min
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