Tellurian Inc. on Thursday said it has secured enough offtake to support the first phase of its proposed Driftwood liquefied natural gas (LNG) export project in Louisiana after signing a deal with Royal Dutch Shell plc to supply 3 million metric tons/year (mmty). 

The project hasn’t been sanctioned yet, but the sale and purchase agreement (SPA) with Shell, the world’s largest LNG trader, now allows it to focus on financing the 27 mmty export project. 

“With these SPAs, we have now completed the sales to support the launching of the first two plants,” Tellurian CEO Octávio Simões said. “Tellurian will now focus on financing Driftwood, in order to give Bechtel notice to proceed with construction in early 2022.”

The latest deal is the third SPA finalized since May....