Tellurian price target lowered to $2.50 from $3 at B. Riley

B. Riley lowered the firm’s price target on Tellurian to $2.50 from $3 and keeps a Buy rating on the shares. Following Aethon Energy Management’s announcement of an agreement to acquire Tellurian’s integrated upstream assets for $260M, the firm lowered the valuation of Tellurian’s natural gas production assets. Despite lower domestic natural gas pricing, there remains a healthy spread between U.S. and European natural gas pricing that supports the long-term economics of the Driftwood LNG production project, the analyst tells investors in a research note.