A deal with French supermajor TotalEnergies SE that would have injected up to $700 million into Tellurian Inc.’s planned Driftwood liquefied natural gas (LNG) export facility in Louisiana has fallen through after the project developer failed to meet a key deadline for sanctioning the project.

driftwood

In a filing with the U.S. Securities and Exchange Commission, Tellurian said Monday its agreements with TotalEnergies had been canceled because they were “not consistent” with the commercial agreements that Driftwood had signed with other parties. 

The agreements signed in 2019 called for TotalEnergies to invest up to $700 million and take up to 2.5 million metric tons per year (mmty) from the 27.6 mmty facility. However, TotalEnergies had the right to terminate if Tellurian did not...