From the Houston Chronicle
Australia’s LNG Ltd. is delaying its anticipated move to Houston and its plans to become publicly traded on Wall Street, just months after its next-wave liquefied natural gas exporting rivals like NextDecade and Tellurian went public earlier this year.
LNG Ltd., which already has its chief executive and chairman based out of Houston, said it will focus on developing its LNG export project near Lake Charles, La. and further consider the move at a later time. Essentially, the LNG board of directors opted to punt for now.
“We remain committed to bringing the Company to the U.S. market at an appropriate time
best suited to maximize investor value,” said LNG Ltd. Chairman Paul Cavicchi. “A U.S. listing is the right step for LNGL, but we must ensure we proceed deliberately and remain
attentive to all shareholder expectations.”
LNG Ltd. CEO Greg Vesey said he’s focused on acquiring the necessary financing and contracts by mid-2018 to commence construction on the Magnolia LNG project in Louisiana so it can be completed by 2022 when global LNG demand is expected to pick back up again.
As for some of LNG Ltd.’s Gulf Coast rivals, The Woodlands-based NextDecade said this month it just secured county tax breaks for its Rio Grande LNG export project in Texas near Brownsville. This comes after the county school board had previously rejected extra tax incentives. The NextDecade project is operating on the same timeline as Magnolia LNG.
Likewise, Houston-based Tellurian, which is chaired by Cheniere Energy founder Charif Souki, is diversifying while it waits on financing for its Driftwood LNG export project near Lake Charles.
Tellurian recently acquired Haynesville shale gas acreage in Louisiana for $85 million to generate more of its own production, and the company is getting more involved in day-to-day LNG trading.
Tellurian also said it plans to sell about 60 percent of the equity stake in the Driftwood project to help raise financing in order to get it off the ground.
