Tellurian stocks climb 53% following Petronet's investment renewal

Shares of US liquefied natural gas developer Tellurian Inc. climbed as high as 53 percent after Petronet LNG reportedly renewed a deal for finalizing an investment in Tellurian's Driftwood export project in Louisiana.

The deal precedes a virtual meeting between US Energy Secretary Dan Brouillette and Indian oil minister Dharmendra Pradhan.

Petronet, India's top gas importer, and Tellurian now have until the end of December to finalize the deal, according to sources.

India is augmenting its pipeline network and building LNG import terminals to encourage the use of cleaner fuel.

The $27.5 billion Driftwood project could produce 27.6 million tons per annum of LNG.

In September 2019, the companies signed a non-binding agreement wherein Petronet would negotiate the annual purchase of up to five million tons of LNG concurrent with an equity investment in Driftwood.

That deal lapsed on May 31.

Numerous North American LNG projects have been delayed this year due to this year due to decreases in global gas prices and the coronavirus weakening fuel demand.