Tellurian Sends Production Workers Home Amid Talks for Haynesville Shale Sale

(Reuters) — U.S. LNG developer Tellurian Inc. has sent home more than a dozen workers from its upstream gas production business, according to three people familiar with the matter.

The Houston-based company has been holding talks with potential buyers to sell its Haynesville shale gas business to raise capital for its proposed Driftwood LNG export plant.

Tellurian has said it was evaluating several bids for the property, and the people familiar with the matter said the firm expects to make a decision in the coming weeks. It could not immediately learned what companies held talks.

In February, Tellurian officials said it is exploring the sale of its Haynesville upstream business to raise capital for its Driftwood LNG project. Weak natural gas prices could reduce the value Tellurian could get for its asset, analysts have said.

The gas production business could be worth up to $365 million, analysts have estimated. However, U.S. natural gas prices have fallen significantly from 2022 levels and traded on Wednesday at about $1.94 per million British thermal units (MMBtu) down from an average of $6.50 per MMBtu for 2022.

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