Tellurian Inc. gave contractor Bechtel Energy Inc. the go-ahead on March 28 to begin construction of phase one of the Driftwood LNG terminal, an LNG export facility near Lake Charles, Louisiana.

“Energy security is a leading concern in many countries today and the United States must do our part to supply LNG to the global market as quickly as possible,” Tellurian president and CEO Octávio Simões commented in a company release.

Driftwood LNG is a proposed approximately 27.6 million tonnes per annum (mpta) liquefaction export facility, anticipated to include two LNG plants with an export capacity of up to 11 mtpa. The project is one of the proposed LNG export facilities currently under development in the U.S. as the country aims to boost gas supply to Europe in wake of Russia’s invasion of Ukraine.

The notice to proceed with Driftwood to Betchel is limited, according to the release, meaning that Tellurian must still finalize financing for the facility.

“Beginning construction now allows Tellurian to deliver upon our robust schedule for first LNG in 2026 while we complete the project financing,” Simões added.

Betchel and Tellurian entered into four fixed price, lump sum turnkey agreements in November 2017 for the engineering, procurement and construction (EPC) of the Driftwood LNG export facility totaling $15.2 billion.

“We are very proud and honored to continue our long partnership with Tellurian on the Driftwood LNG project,” Bechtel COO Craig Albert said in the March 28 press release. “It is as apparent as ever that the world needs this reliable source of energy from the USA. And we are excited to now shift our focus to the field to begin construction.”

Driftwood has received all the major permits required for construction and operation and has progressed detailed engineering to approximately 30% complete. Tellurian has also acquired 1,200 acres of real estate for facility construction and deepwater access for shipping.

Bechtel’s first activities include demolition, civil site preparation and construction of critical foundations. Baker Hughes will progress manufacturing two of the natural gas turbines required for the first phase of the project.

Headquartered in Houston, Tellurian is a natural gas company developing a portfolio of natgas production, LNG marketing and trading and infrastructure to serve its worldwide customer base.

Reston, Virginia-based Bechtel provides engineering, construction and project management services to the energy industry and government. Since 1898, it has helped customers complete more than 25,000 projects in 160 countries that have created jobs, grown economies, improved the resiliency of the world’s infrastructure and increased access to energy, resources and vital services.

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