Woodside completes Tellurian acquisition, rebrands Driftwood

Woodside Energy said October 8 it had completed its acquisition of Tellurian and the Driftwood LNG project in Louisiana for about $900mn in cash.

Together with assumed debt, the transaction carries an implied enterprise value of about $1.2bn.

In connection with the completion of the transaction, Woodside has renamed the 27.6mn tonnes/year Driftwood LNG project Woodside Louisiana LNG and expects to be ready make a final investment decision on the project from Q1 2025.

“This is a major growth opportunity that significantly expands our US LNG position, enabling us to better serve global customers and capture further marketing optimisation opportunities across both the Atlantic and Pacific Basins,” Woodside CEO Meg O’Neill said.

The acquisition of Tellurian, she said, provides a new strategic direction for the troubled LNG project, and Woodside’s “world class expertise” in project execution positions it to “unlock” the development and generate value.

“Woodside Louisiana LNG is a competitively advantaged opportunity,” O’Neill said. “It is fully permitted, front-end engineering design is complete, and site civil works are well advanced.”

She said Woodside was also pleased with the “inbounds received from multiple parties looking to enter the opportunity as a strategic partner.”