India’s Petronet LG and United States liquefied natural gas developer Tellurian Inc have signed an initial agreement at the roundtable conference attended by Indian Prime Minister Narendra Modi in Houston.
Under the agreement, the Indian company and its affiliates will negotiate to buy up to 5 million tonnes per annum of liquefied natural gas, the companies said on Saturday.
Petronet will also take an equity investment in Tellurian's Driftwood project in Louisiana, they said, without providing financial details. The companies will aim to finalise the deal by March 31, 2020.
Reuters quoted sources as saying that Petronet would sign a memorandum of understanding (MoU) with Tellurian to invest USD 2.5 billion for rights of up to 5 million tonnes a year of LNG over the lifespan of the Driftwood project.