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The Australian LNG player recently made a final investment decision to develop the three-train, 16.5 mtpa Louisiana LNG project, which it acquired from Tellurian last year.
In October 2024, Woodside acquired Teelurian for about $1.2 billion. Woodside also renamed Tellurian’s Driftwood LNG project Woodside Louisiana LNG.
Earlier the same year, Tellurian won more time from FERC to complete the construction of the LNG project and the pipeline in Louisiana.
The LNG terminal and the pipeline secured a three-year extension of time, until April 18, 2029.
Louisiana LNG and Driftwood Pipeline are now requesting an additional eight-month extension
of time, until December 31, 2029, to place the project in service, according to a FERC filing dated May 13.
This is to align the in-service date in the order with the updated schedule milestones under
Louisiana LNG’s EPC contract with Bechtel, which were revised to more accurately reflect the status of project construction after Woodside’s acquisition of Tellurian.
“Although Louisiana LNG and Driftwood Pipeline have worked diligently to develop and execute the timely construction of the project, making good faith efforts to meet the service commencement deadline stipulated in the 2024 extension order, Louisiana LNG and Driftwood Pipeline, through extensive discussion with Bechtel, have determined that a minor extension of time is required,” Woodside’s units said.
“Further, while the current planned in-service deadline is still several years away, an extension of time is required at this juncture in order to support additional equity sell-downs, which Woodside Energy is currently progressing, as well as offtake agreements and other arrangements with third parties to progress the development of the project, all of which require that Louisiana LNG and Driftwood Pipeline’s authorizations remain legally valid throughout the construction of the project,” they said.
Louisiana LNG and Driftwood Pipeline request that the Commission grant this request for extension by June 13, 2025, to “help expedite the timely conclusion of ongoing commercial and financial discussions between the project and certain potential partners.”
Last month, Woodside agreed to sell 40 percent of its Louisiana LNG project to US private equity firm Stonepeak.
Stonepeak will provide $5.7 billion towards the expected capital expenditure for the LNG project on an accelerated basis, contributing 75 percent of capital expenditure in both 2025 and 2026.
In addition, Woodside just signed a non-binding collaboration agreement with Saudi Arabia’s energy behemoth Aramcoto to explore global opportunities.
This includes Aramco’s potential acquisition of an equity interest in and LNG offtake from the Louisiana LNG project.
Woodside did not provide further information regarding the agreement.
The company previously said it aims to sell about 50 percent of Louisiana LNG equity.
Last month, Woodside also signed LNG sale and purchase agreements with Germany’s Uniper to supply the latter from its Louisiana LNG project and its global portfolio.
Woodside’s Louisiana LNG will supply 1 mtpa of LNG on a free-on-board basis for up to thirteen years from the commercial operations date (COD) of the project.
Moreover, Woodside Energy Trading Singapore will supply up to 1 mtpa of LNG on a delivered ex-ship basis from Woodside’s global portfolio into Europe, commencing with Louisiana LNG’s COD over a term until 2039.
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The post Woodside’s Louisiana LNG seeks FERC extension appeared first on Energy News Beat.
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