Aethon Energy to buy Tellurian upstream assets for $260 MM

Aethon Energy will acquire Tellurian's upstream assets for $260 MM and purchase 2 MMtpy of LNG from its Driftwood LNG plant, the companies said on Wednesday.

Shares of Tellurian were up 6.1% in premarket trading. Reuters reported earlier this month that U.S. LNG developer Tellurian had sent home more than a dozen workers from its upstream gas production business amid sale talks.

Tellurian said on Wednesday it would use the proceeds from the transaction to reduce borrowings and for general corporate purposes.

The transaction is expected to close during the second quarter.

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