FERC OK’s Driftwood LNG terminal extension

FERC granted Tellurian Inc. a 3-year extension to put its 27.6-million tonne/year (tpy) Driftwood LNG plant on the Calcasieu River, south of Lake Charles, La., in service. (Image: Tellurian)

The Federal Energy Regulatory Commission (FERC) approved a three-year extension request from Driftwood LNG to finish building its proposed LNG terminal in Calcasieu Parish, La.

On April 18, 2019, FERC issued an order authorizing Driftwood LNG, which is owned by Tellurian, to construct and operate facilities for the liquefaction of domestically-produced natural gas at the proposed liquefied natural gas (LNG) terminal located near the city of Carlyss in Calcasieu Parish, Louisiana.  In the same order, the commission authorized Driftwood Pipeline to construct the Driftwood Pipeline Project, a new interstate natural gas pipeline system to provide up to 3,954,000 dekatherms per day of firm natural gas transportation service to deliver feed gas for the Driftwood LNG terminal.4 Driftwood intends to construct the pipeline project in three phases to match the construction schedule of the LNG terminal.

On Oct. 4, 2023, Driftwood filed a request for a three-year extension of time, until April 18, 2029, to complete the LNG terminal and Driftwood Pipeline. Driftwood stated that it has worked diligently to develop and construct the LNG terminal, made good faith efforts to meet the Authorization Order’s in-service date, and obtained and is maintaining all required permits and authorizations for both the LNG terminal and pipeline.

For the Driftwood LNG Terminal, Driftwood asserts that it has commenced site preparation activities but has faced numerous delays due to the COVID-19 pandemic’s impact on supply chains and the market, and needs additional time to receive and install liquefaction equipment with a long lead time.

The request for an extension was opposed by environmental groups, including the Sierra Club and Public Citizen.