Petronet conducts robust project review
Tellurian Inc has extended its Memorandum of Understanding (MOU) with Petronet LNG Limited to negotiate the purchase of up to five million tonnes per annum (5 mtpa) of liquefied natural gas (LNG) from the Driftwood project, concurrent with an equity investment in Driftwood Holdings.
The September 2019 MoU, previously contemplated that transaction agreements would be finalized by 31 March 2020, has been extended to 31 May 2020 to support Petronet’s consultative review process.
“Tellurian was in India this week meeting with Petronet and affiliates to progress negotiations,” President and CEO Meg Gentle said on 27 Feb 2020 of the two-month timing extension of MoU.
“We are very supportive of Petronet’s process to ensure their robust project review,” Gentle added.
With India’s LNG demand increasing 27% year over year, and the US$60 billion investments in natural gas infrastructure, India is perfectly poised to benefit from strategic project agreements such as Petronet’s equity investment in Driftwood, said Gentle.
Tellurian was founded by Charif Souki and Martin Houston and is led by President and CEO Meg Gentle. Tellurian intends to create value for shareholders by building a low-cost, global natural gas business, profitably delivering natural gas to customers worldwide. Tellurian is developing a portfolio of natural gas production, LNG trading, and infrastructure that includes an ~ 27.6 mtpa LNG export facility and an associated pipeline. Tellurian is based in Houston, Texas, and its common stock is listed on the Nasdaq Capital Market under the symbol “TELL”.
Petronet is the largest importer of LNG in India and one of the fastest growing world-class companies in the Indian energy sector, experiencing 25% revenue growth in the last fiscal year, with a market capitalization of approximately US$5.4 billion.
Petronet developed the country’s first LNG receiving and regasification terminal at Dahej, Gujarat (17.5 mtpa), and another terminal at Kochi, Kerala (5 mtpa).
Formed as a joint venture in 1998 by the Government of India to import LNG and set up LNG terminals in the country, it involves India’s leading oil and natural gas industry players, including GAIL (India) Limited (GAIL), Oil & Natural Gas Corporation Limited (ONGC), Indian Oil Corporation Limited (IOCL) and Bharat Petroleum Corporation Limited (BPCL). fiinews.com
