Tellurian (TELZ) 10-Q 9 Nov 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2017	Oct. 31, 2017
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3
Trading Symbol	TELL
Entity Registrant Name	TELLURIAN INC. /DE/
Entity Central Index Key	61,398
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		212,691,264

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 138,023	$ 21,398
Accounts receivable	75	48
Accounts receivable due from related parties	2,668	1,333
Prepaid expenses and other current assets	2,837	1,964
Total current assets	143,603	24,743
Property, plant and equipment, net	25,216	10,993
Deferred engineering costs	9,000	0
Goodwill	1,190	1,190
Note receivable due from related party	0	251
Other non-current assets	11,213	1,901
Total assets	190,222	39,078
Current liabilities:
Accounts payable and accrued liabilities	27,189	24,403
Accounts payable due to related parties	323	323
Total current liabilities	27,512	24,726
Embedded derivative	0	8,753
Commitments and contingencies (Note 7)
Stockholders’ equity:
Common stock: par value $0.01 and $0.001 per share, respectively; 400 million shares and 200 million shares authorized, respectively; 214.0 million shares and 109.6 million shares issued, respectively	1,943	101
Treasury stock: 1.3 million and zero shares, respectively, at cost	(828)	0
Additional paid-in capital	454,986	102,148
Accumulated deficit	(293,391)	(96,655)
Total stockholders’ equity	162,710	5,599
Total liabilities and stockholders’ equity	190,222	39,078
Series A Preferred Stock
Stockholders’ equity:
Series A convertible preferred stock: par value $0.001 per share; zero and 5.5 million shares authorized and issued, respectively	$ 0	$ 5

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2017	Dec. 31, 2016
Common stock, par value (in usd per share)	$ 0.01	$ 0.001
Common stock, shares authorized	400,000,000	200,000,000
Common stock, shares issued	214,000,000	109,600,000
Treasury stock, shares	1,300,000	0
Series A Preferred Stock
Convertible preferred stock, par value (in usd per share)	$ 0.001	$ 0.001
Convertible preferred stock, shares issued	0	0
Convertible preferred stock, shares authorized	5,500,000	5,500,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	Apr. 09, 2016	Sep. 30, 2017	Sep. 30, 2016	Apr. 09, 2016	Sep. 30, 2017	Sep. 30, 2016
Revenue		$ 0	$ 0		$ 0	$ 0
Revenue, related party		0	0		0	0
Total revenue		0	0		0	0
Costs and expenses:
Development expenses		8,793	15,917		44,998	30,422
General and administrative		17,302	28,533		80,125	37,737
Goodwill impairment		0	0		77,592	0
Total costs and expenses		26,095	44,450		202,715	68,159
Loss from operations		(26,095)	(44,450)		(202,715)	(68,159)
Gain on preferred stock exchange feature		0	0		2,209	0
Other income, net		3,800	49		4,339	118
Loss before income taxes		(22,295)	(44,401)		(196,167)	(68,041)
Provision for income taxes		(569)	(4)		(569)	166
Net loss attributable to common stockholders		$ (22,864)	$ (44,405)		$ (196,736)	$ (67,875)
Net loss per common share:
Basic and diluted		$ (0.12)	$ (0.37)		$ (1.06)	$ (0.81)
Weighted average shares outstanding
Basic and diluted weighted average shares outstanding		192,405	120,128		186,143	83,979
Predecessor
Revenue	$ 0			$ 0
Revenue, related party	0			31
Total revenue	0			31
Costs and expenses:
Development expenses	0			52
General and administrative	157			617
Goodwill impairment	0			0
Total costs and expenses	157			669
Loss from operations	(157)			(638)
Gain on preferred stock exchange feature	0			0
Other income, net	0			0
Loss before income taxes	(157)			(638)
Provision for income taxes	0			0
Net loss attributable to common stockholders	$ (157)			$ (638)

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Series A Preferred Stock	Series B Preferred Stock	Common Stock	Common StockExchange To Common Stock	Treasury Stock	Convertible Preferred Stock	Convertible Preferred StockSeries A Preferred Stock	Convertible Preferred StockSeries B Preferred Stock	Convertible Preferred StockExchange To Common Stock	Additional Paid-in Capital	Additional Paid-in CapitalSeries B Preferred Stock	Accum. Other Comp. Income	Accum. Deficit
Beginning balance at Dec. 31, 2015	$ 0			$ 0		$ 0	$ 0				$ 0		$ 0	$ 0
Beginning balance, shares at Dec. 31, 2015				0		0	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock issued for acquisition	1,000			$ 1							999
Common stock issued for acquisition, shares				500
Share-based compensation	24,230			$ 2							24,228
Share-based compensation, shares				1,905
Other comprehensive income	8												8
Issuance of common stock	57,374			$ 98							57,276
Issuance of common stock, shares				98,356
Restricted stock awards, shares				5,075
Net loss	(67,875)													(67,875)
Ending balance at Sep. 30, 2016	14,737			$ 101		$ 0	$ 0				82,503		8	(67,875)
Ending balance, shares at Sep. 30, 2016				105,836		0	0
Beginning balance at Dec. 31, 2016	5,599			$ 101		$ 0	$ 5				102,148		0	(96,655)
Beginning balance, shares at Dec. 31, 2016				109,609		0	5,468
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock issued for acquisition	87,923			$ 1,390							86,533
Common stock issued for acquisition, shares				51,540		(1,209)
Share-based compensation	18,998			$ 12							18,986
Share-based compensation, shares				1,231
Issuance of common stock	217,088			$ 364							216,724
Issuance of common stock, shares				36,373
Restricted stock awards	2,957			$ 4							2,953
Restricted stock awards, shares				8,060
Share-based payments	21,165			$ 17							21,148
Share-based payments, shares				1,700
Reclass of embedded derivative	6,544										6,544
Treasury stock	(828)					$ (828)
Treasury stock, shares						(82)
Exchange from/to preferred stock		$ (5)	$ 5		$ 55			$ (5)	$ 55	$ (55)		$ (50)
Exchange from/to preferred stock, shares					5,468			(5,468)	5,468	(5,468)
Net loss	(196,736)													(196,736)
Ending balance at Sep. 30, 2017	$ 162,710			$ 1,943		$ (828)	$ 0				$ 454,986		$ 0	$ (293,391)
Ending balance, shares at Sep. 30, 2017				213,981		(1,291)	0

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Apr. 09, 2016	Sep. 30, 2017	Sep. 30, 2016
Cash flows from operating activities:
Net loss		$ (196,736)	$ (67,875)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization expense		231	55
Goodwill impairment		77,592	0
Loss on disposal of assets		0	37
Provision for income tax benefit		0	(170)
Gain on Series A convertible preferred stock exchange feature		(2,209)	0
Gain on sale of securities		(3,481)	0
Share-based compensation		21,963	24,230
Share-based payments		19,397	0
Changes in operating assets and liabilities:
Accounts receivable		(9)	(67)
Accounts receivable due from related parties		(1,334)	(243)
Prepaid expenses and other current assets		(797)	(2,074)
Accounts payable and accrued liabilities		(324)	17,519
Accounts payable due to related parties		0	63
Note receivable due from related party		251	0
Other, net		(711)	(787)
Net cash used in operating activities		(86,167)	(29,312)
Cash flows from investing activities:
Cash received in acquisition		56	210
Deposit for acquisition		(8,515)	0
Deferred engineering costs		(9,000)	0
Purchase of property - land		0	(8,491)
Purchase of property and equipment		(1,101)	(708)
Proceeds from sale of available-for-sale securities		4,592	0
Net cash used in investing activities		(13,968)	(8,989)
Cash flows from financing activities:
Proceeds from the issuance of common stock		218,195	58,886
Tax payments for net share settlement of equity awards		(828)	0
Equity offering costs		(607)	(1,512)
Net cash provided by financing activities		216,760	57,374
Effect of exchange rate changes on cash		0	8
Net increase (decrease) in cash and cash equivalents		116,625	19,081
Cash and cash equivalents, beginning of period	$ 0	21,398	0
Cash and cash equivalents, end of period		$ 138,023	19,081
Predecessor
Cash flows from operating activities:
Net loss	(638)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization expense	8
Goodwill impairment	0
Loss on disposal of assets	3
Provision for income tax benefit	0
Gain on Series A convertible preferred stock exchange feature	0
Gain on sale of securities	0
Share-based compensation	0
Share-based payments	0
Changes in operating assets and liabilities:
Accounts receivable	1
Accounts receivable due from related parties	(32)
Prepaid expenses and other current assets	13
Accounts payable and accrued liabilities	281
Accounts payable due to related parties	253
Note receivable due from related party	0
Other, net	0
Net cash used in operating activities	(111)
Cash flows from investing activities:
Cash received in acquisition	0
Deposit for acquisition	0
Deferred engineering costs	0
Purchase of property - land	0
Purchase of property and equipment	(268)
Proceeds from sale of available-for-sale securities	0
Net cash used in investing activities	(268)
Cash flows from financing activities:
Proceeds from the issuance of common stock	0
Tax payments for net share settlement of equity awards	0
Equity offering costs	0
Net cash provided by financing activities	0
Effect of exchange rate changes on cash	0
Net increase (decrease) in cash and cash equivalents	(379)
Cash and cash equivalents, beginning of period	589		$ 589
Cash and cash equivalents, end of period	$ 210

Background and Basis of Present

Background and Basis of Presentation	9 Months Ended
	Sep. 30, 2017
Accounting Policies [Abstract]
Background and Basis of Presentation	BACKGROUND AND BASIS OF PRESENTATION Tellurian plans to develop, own and operate a global natural gas business and to deliver natural gas to customers worldwide. Tellurian is establishing a portfolio of natural gas production, LNG trading, and infrastructure including an LNG terminal facility (the “Driftwood terminal”) and an associated pipeline (the “Driftwood pipeline”) in Southwest Louisiana (the Driftwood terminal and the Driftwood pipeline collectively, the “Driftwood Project”). The accompanying unaudited Condensed Consolidated Financial Statements of Tellurian as of and for the period ended September 30, 2017 , have been prepared in accordance with U.S. GAAP for interim financial information and with Rule 10-01 of Regulation S-X. Accordingly, the Condensed Consolidated Financial Statements do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In our opinion, all adjustments, consisting only of normal recurring adjustments necessary for a fair presentation, have been included. The information included herein should be read in conjunction with the consolidated financial statements and the accompanying notes of Tellurian Investments Inc. (“Tellurian Investments”) as of and for the fiscal year ended December 31, 2016. Such information was included in Tellurian’s Current Report on Form 8-K/A filed with the SEC on March 15, 2017 following the completion of a merger (the “Merger”) of Tellurian Investments with a subsidiary of Magellan Petroleum Corporation (“Magellan”) on February 10, 2017 (the “Merger Date”). Magellan changed its corporate name to Tellurian Inc. shortly after completing the Merger. The Merger was accounted for as a “reverse acquisition,” with Tellurian Investments being treated as the accounting acquirer. As such, the historical condensed consolidated comparative information as of and for all periods in 2016 in this report relates to Tellurian Investments and its subsidiaries. Subsequent to the Merger Date, the information relates to the consolidated entities of Tellurian Inc., with Magellan reflected as the accounting acquiree. The Company continues to operate as a single operating segment for financial reporting purposes. In connection with the Merger, each issued and outstanding share of Tellurian Investments common stock was exchanged for 1.3 shares of Magellan common stock. All share and per share amounts in the Condensed Consolidated Financial Statements and related notes have been retroactively adjusted for all periods presented to give effect to this exchange, including reclassifying an amount equal to the change in par value of common stock from additional paid-in capital. On April 9, 2016, Tellurian Investments acquired Tellurian Services LLC (“Tellurian Services”), formerly known as Parallax Services LLC (“Parallax Services”). Under the financial reporting rules of the SEC, Parallax Services (“Predecessor”) has been deemed to be the predecessor to Tellurian (“Successor”) for financial reporting purposes. Except where the context indicates otherwise, (i) references to “we,” “us,” “our,” “Tellurian” or the “Company” refer, for periods prior to the completion of the Merger, to Tellurian Investments and its subsidiaries, and for periods following the completion of the Merger, to Tellurian Inc. and its subsidiaries and (ii) references to “Magellan” refer to Tellurian Inc. and its subsidiaries prior to the completion of the Merger. Results of operations for the three and nine months ended September 30, 2017 , are not necessarily indicative of the operating results that will be realized for the year ending December 31, 2017.

Merger and Acquisition

Merger and Acquisition	9 Months Ended
	Sep. 30, 2017
Business Combinations [Abstract]
Merger and Acquisition	MERGER AND ACQUISITION The Merger As discussed in Note 1, Background and Basis of Presentation , Tellurian Investments merged with a subsidiary of Magellan on February 10, 2017. The Merger has been accounted for as a “reverse acquisition," with Tellurian Investments being treated as the accounting acquirer using the acquisition method. The total consideration exchanged was as follows (in thousands, except share and per-share amounts): Number of shares of Magellan common stock outstanding (1) 5,985,042 Price per share of Magellan common stock (2) $ 14.21 Aggregate value of Tellurian common stock issued $ 85,048 Fair value of stock options (3) 2,821 Net purchase consideration to be allocated $ 87,869 (1) The number of shares of Magellan common stock issued and outstanding as of February 9, 2017. (2) The closing price of Magellan common stock on the NASDAQ on February 9, 2017. (3) The estimated fair value of Magellan stock options for pre-Merger services rendered. We utilized estimated fair values at the Merger Date for the allocation of consideration to the net tangible and intangible assets acquired and liabilities assumed. The preliminary purchase price allocation to assets acquired and liabilities assumed in the transaction was as follows (in thousands): Fair Value of Assets Acquired: Cash $ 56 Securities available-for-sale 1,111 Other current assets 93 Unproved properties 13,000 Wells in progress 332 Land, buildings and equipment, net 67 Other long-term assets 19 Total assets acquired 14,678 Fair Value of Liabilities Assumed: Accounts payable and other liabilities 4,393 Notes payable 8 Total liabilities assumed 4,401 Total net assets acquired 10,277 Goodwill as a result of the Merger $ 77,592 We valued our interests acquired in unproved oil and gas properties using a market approach based on commercial negotiations and bids received for the interests (see Note 6, Property, Plant and Equipment, for more information about the properties). The fair value of other property, plant and equipment and wells in progress was determined to be the carrying value of Magellan. Securities available-for-sale were valued based on quoted market prices. The carrying values of cash, other current assets, accounts payable and accrued liabilities and other non-current assets and liabilities approximated fair value at the Merger Date. The Company has determined that such fair value measures for the overall allocation are classified as Level 3 in the fair value hierarchy. Goodwill initially recognized as a result of the Merger totaled $77.6 million , none of which is deductible for income tax purposes. Subsequent to the Merger, the Company determined that there is no evidence that we will recover the value of this goodwill. For purposes of determining the goodwill impairment, we utilized qualitative factors as well as the fair values determined when allocating consideration as of the Merger Date. Parallax Services Acquisition On April 9, 2016, Tellurian Investments acquired Parallax Services, which was renamed Tellurian Services, with equity consideration valued at $1 million . The transaction was accounted for using the acquisition method. As of September 30, 2017 , goodwill of $1.2 million on our Condensed Consolidated Balance Sheet was entirely related to the acquisition of Parallax Services. Pro Forma Results The following table provides unaudited pro forma results for the three and nine months ended September 30, 2017 and 2016, as if the Merger occurred and Parallax Services had been acquired as of January 1, 2016 (in thousands, except per-share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Pro forma net loss $ (22,864 ) $ (45,874 ) $ (200,478 ) $ (80,086 ) Pro forma net loss per basic share $ (0.12 ) $ (0.36 ) $ (1.07 ) $ (0.89 ) Pro forma basic and diluted weighted average common shares outstanding 192,411 126,641 187,127 90,492 The unaudited pro forma results include adjustments for the historical net loss of Magellan and Parallax Services as well as an increase in compensation expense associated with the addition of three new directors. The pro forma information is provided for informational purposes only and is not necessarily indicative of what Tellurian’s results of operation would have been if the Merger and acquisition of Parallax Services had occurred on January 1, 2016. Following the Merger Date, $ 0.6 million of net loss related to the acquired activities has been included in our Condensed Consolidated Financial Statements.

Prepaid and Other Current and N

Prepaid and Other Current and Non-Current Assets	9 Months Ended
	Sep. 30, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid and Other Current and Non-Current Assets	PREPAID AND OTHER CURRENT AND NON-CURRENT ASSETS The components of prepaid expenses and other current assets consist of the following (in thousands): September 30, 2017 December 31, 2016 Subscriptions and deposits $ 1,018 $ 968 Insurance 401 67 Prepaid rent 148 315 LNG vessel charges 651 — Other 619 614 Total prepaid expenses and other current assets $ 2,837 $ 1,964 The components of other non-current assets consist of the following (in thousands): September 30, 2017 December 31, 2016 Deposit for acquisition $ 8,515 $ — Lease and purchase options 2,264 1,345 Other 434 556 Total other non-current assets $ 11,213 $ 1,901 Deposit for Acquisition The deposit for acquisition is in connection with a purchase and sale agreement (the “PSA”) with Rockcliff Energy Operating LLC (“Rockcliff”). See Note 6, Property, Plant and Equipment, for further information. Land Lease and Purchase Options Tellurian holds lease and purchase option agreements (the “Options”) for certain tracts of land and associated river frontage that provide for four or five-year terms. In addition to the Options, the Company holds a ground lease for a port facility adjacent to a tract of land that was acquired in March 2016. The lease provides for a four -year term, subject to a 20 -year extension and six five -year renewals. The ground lease is accounted for as an operating lease, with rental payments accounted for using the straight-line method. Upon exercise of the Options, the leases are subject to maximum terms of 60 years (inclusive of various renewals) at the option of the Company. Lease and purchase option payments have been capitalized in other non-current assets. Costs of the lease and purchase options will be amortized over the life of the lease once obtained, or capitalized into the land if purchased. If no lease or land is obtained, the Options cost will be expensed. Office Leases The Company holds a ten -year lease for its corporate headquarters located in Houston, Texas as well as leases for other offices in the U.S., England and Singapore. The leases are accounted for as operating leases, with rental payments accounted for using the straight-line method. Where payments exceed or are less than the amount of rent expense recognized, prepaid rent or accrued rent, respectively, is recognized by Tellurian on the Condensed Consolidated Balance Sheets.

Deferred Engineering Costs

Deferred Engineering Costs	9 Months Ended
	Sep. 30, 2017
Deferred Costs [Abstract]
Deferred Engineering Costs	DEFERRED ENGINEERING COSTS Deferred engineering costs of $9.0 million represent detailed engineering services related to the Driftwood Project. Such costs will be deferred until construction commences on the Driftwood Project, at which time they will be transferred to construction in progress.

Related Parties

Related Parties	9 Months Ended
	Sep. 30, 2017
Related Party Transactions [Abstract]
Related Parties	RELATED PARTIES Accounts Receivable and Payable with Related Parties Tellurian's accounts receivable due from related parties primarily consists of tax indemnities and amounts due from employees who received share-based compensation. The Company withholds amounts from wages if the tax liability with respect to such share-based compensation is not paid directly by the employees. The accounts payable due to related parties pertains to agreements with entities which are partially owned by Martin Houston, a major shareholder and Vice Chairman of the Company. Non-current Note Receivable Due from Related Party In July 2017, the $251 thousand non-current note receivable due from Mr. Houston was repaid in full, and the demand note evidencing the receivable was canceled. Other During the three and nine months ended September 30, 2017 , the Company incurred zero and $ 651 thousand, respectively, in legal fees to a law firm for advice associated with a lawsuit that was settled in April 2017. A member of our board of directors is a partner at such law firm.

Property, Plant and Equipment

Property, Plant and Equipment	9 Months Ended
	Sep. 30, 2017
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment is comprised of fixed assets and oil and gas properties, as shown below (in thousands): September 30, 2017 December 31, 2016 Fixed Assets Land $ 9,491 $ 9,491 Buildings 549 549 Leasehold improvements 1,707 602 Computer, office equipment and fixtures 437 420 Accumulated depreciation (300 ) (69 ) Total fixed assets, net 11,884 10,993 Oil and Gas Properties Unproved 13,000 — Wells in progress 332 — Total oil and gas properties 13,332 — Total property, plant and equipment, net $ 25,216 $ 10,993 Property, plant and equipment, excluding land, is depreciated using the straight-line method. Depreciation expense of $ 92 thousand and $ 231 thousand for the three and nine months ended September 30, 2017 , respectively, and $31 thousand and $55 thousand for the three and nine months ended September 30, 2016 , respectively, is recorded within development or general and administrative expenses, based on the nature of the asset, on the Condensed Consolidated Statement of Operations. In February 2017, in connection with the Merger, the Company acquired interests in certain oil and gas properties. Unproved properties consist of oil and gas interests in the Weald Basin, United Kingdom and the Bonaparte Basin, Australia. In the United Kingdom, Tellurian holds non-operating interests in two licenses which expire in June and September 2021, respectively. In Australia, Tellurian holds an operating interest in an exploration permit due to expire on November 12, 2017. The Company has applied for an extension of the exploration permit to the appropriate Australian regulatory authorities. There is no production and there are no reserves currently associated with any of our licenses. Accordingly, there is no depletion associated with them for the three and nine months ended September 30, 2017 . Purchase and Sale Agreement Pursuant to and subject to the terms and conditions of the PSA, Tellurian has agreed to acquire from Rockcliff for $85.1 million in cash, subject to specified adjustments, certain assets in northern Louisiana, including, but not limited to, oil and gas leases, mineral interests, wells, facilities and equipment (the “Asset Purchase”). Subject to the closing of the PSA, the assets to be purchased would include developed and undeveloped acreage and 19 operated producing wells.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIES Vessel Charter Tellurian entered into a charter agreement for an LNG vessel which will be used in connection with the Company's LNG marketing activities. The total commitment under this agreement is expected to be approximately $5.0 million throughout the upcoming year. Litigation In July 2017, Tellurian Investments, Driftwood LNG LLC (“Driftwood LNG”), Martin Houston, and three other individuals were named as third-party defendants in a lawsuit filed in state court in Harris County, Texas between Cheniere Energy, Inc. and one of its affiliates, on the one hand (collectively, “Cheniere”), and Parallax Enterprises and certain of its affiliates (not including Parallax Services, n/k/a Tellurian Services) on the other hand (collectively, “Parallax”). In October 2017, Driftwood Pipeline LLC (“Driftwood Pipeline”) and Tellurian Services were also named by Cheniere as third-party defendants. Cheniere alleges that it entered into a note and a pledge agreement with Parallax. Cheniere claims that the third-party defendants tortiously interfered with the note and pledge agreement and aided in the fraudulent transfer of Parallax assets. We believe that Cheniere’s claims against Tellurian Investments, Driftwood LNG, Driftwood Pipeline and Tellurian Services are without merit and do not expect the resolution of the suit to have a material effect on our results of operation or financial condition.

Accounts Payable and Accrued Li

Accounts Payable and Accrued Liabilities	9 Months Ended
	Sep. 30, 2017
Payables and Accruals [Abstract]
Accounts Payable and Accrued Liabilities	ACCOUNTS PAYABLE AND ACCRUED LIABILITIES The components of accounts payable and accrued liabilities consist of the following (in thousands): September 30, 2017 December 31, 2016 Project development activities $ 1,970 $ — Front-end engineering and design — 12,549 Payroll and compensation 16,043 6,311 Seismic survey cancellation 1,343 — Accrued taxes 2,394 — Professional services (e.g., legal, audit) 2,869 2,323 Other 2,570 3,220 Total accounts payable and accrued liabilities $ 27,189 $ 24,403 Front-end Engineering and Design In February 2016, Tellurian engaged Bechtel to perform a FEED study for the Driftwood terminal, and in June 2016, Tellurian engaged Bechtel to perform a FEED study for the Driftwood pipeline. Accounts payable and accrued liabilities for FEED costs relate primarily to our contracts for FEED services with Bechtel as well as subcontractors working on the project. The FEED studies for the Driftwood pipeline and the Driftwood terminal were completed in March 2017 and June 2017, respectively. Seismic Survey On March 31, 2017, the Company executed an Operations Services Agreement (the “OSA”) with Santos Offshore Pty Ltd. (“Santos”). The OSA provides for Santos to perform certain services on behalf of the Company associated with the Company’s exploration permit for our offshore block in Australia. On June 28, 2017, the Company executed a Cost Sharing Agreement (the “CSA”) with Santos and Origin Energy Resources Limited (“Origin”). The CSA provides the basis upon which costs and expenses will be shared among the Company, Santos, and Origin for a 3-D seismic survey to be shot over our offshore block. Pursuant to the OSA and CSA, with the Company’s consent, Santos applied for regulatory approval, designed the seismic survey and engaged a contractor to perform the work. In July 2017, Santos informed the Company that Santos was unable to obtain regulatory approval and canceled the seismic survey. While the Company remains a party to the OSA and CSA, we are not currently committed to make any further expenditures under either agreement. A provision of $ 1.3 million has been included in our Condensed Consolidated Financial Statements in connection with the cancellation.

Share-Based Compensation

Share-Based Compensation	9 Months Ended
	Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Compensation	SHARE-BASED COMPENSATION Tellurian has granted fully vested and restricted stock to employees, outside directors, and consultants under the Amended and Restated Tellurian Investments Inc. 2016 Omnibus Incentive Plan (the “Legacy Plan”) and the Tellurian Inc. 2016 Omnibus Incentive Compensation Plan, as amended (the “Omnibus Plan”). As of September 30, 2017 , 14.9 million shares were granted under the Legacy Plan and 7.5 million shares were granted under the Omnibus Plan. At a special meeting of stockholders on February 9, 2017, Magellan stockholders approved the Omnibus Plan, which replaced the Legacy Plan. No further awards can be made under the Legacy Plan. The maximum number of shares of Tellurian common stock authorized for issuance under the Omnibus Plan is 40 million shares of common stock. During any calendar year, no employee may be granted more than 10 million shares of Tellurian common stock, or with respect to a grant of cash, an amount equal to the value of 10 million shares of Tellurian common stock at the time of settlement. The Omnibus Plan provides that shares subject to awards of options or stock appreciation rights will be counted as 0.4 shares for every share granted. As a result of this provision, the Company could ultimately issue more than 40 million shares of Tellurian common stock pursuant to awards granted under the Omnibus Plan, depending on the mix of common stock, options, stock appreciation rights, and other awards ultimately issued to participants. During the three and nine months ended September 30, 2017 , the Company granted unrestricted, service-based, and performance-based awards. Most of the performance-based awards vest based on a final investment decision by the Company’s board of directors, as defined in the award agreements. A portion of the performance awards vest based on the achievement of certain project development activities. During the three months ended September 30, 2017 , the weighted average grant date fair value per share was $ 10.68 per share, and the total grant date fair value was $ 17.4 million for restricted awards. For the three and nine months ended September 30, 2017 , Tellurian recognized $ 4.0 million and $ 22.0 million , respectively, as stock-based compensation expense for employees and directors, $2 million of which was issued in settlement of bonuses accrued at December 31, 2016. For the three and nine months ended September 30, 2016 , Tellurian recognized $19.1 million and $24.2 million, respectively, as stock-based compensation expense for employees and directors.

Share-Based Payments

Share-Based Payments	9 Months Ended
	Sep. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Payments	SHARE-BASED PAYMENTS For the three and nine months ended September 30, 2017 , Tellurian recognized zero and $ 19.4 million , respectively, as share-based expense for vendors. In February 2017, the Company issued 409,800 shares of Tellurian common stock, valued at $5.8 million , to a financial adviser in connection with the successful completion of the Merger. This cost has been included in general and administrative expenses in the Condensed Consolidated Statements of Operations. Additionally, on the Merger Date, the Company issued 90,350 shares of Tellurian common stock to settle a liability assumed in the Merger valued at $1.3 million . In March 2017, the Company’s board of directors approved the issuance of 1 million shares that were purchased at a discount by a commercial development consultant under the Omnibus Plan. The terms of the share purchase agreement did not contain performance obligations or similar vesting provisions; accordingly, the full amount of $11.4 million , representing the aggregate difference between the purchase price of $0.50 per share and the fair value on the date of issuance of $11.88 per share, was recognized on the date of the share purchase and has been included in general and administrative expenses in the Condensed Consolidated Statements of Operations. Also in March 2017, the Company issued 200,000 shares under a management consulting arrangement for specified services from March 2017 through May 2017. The services were valued at $11.34 per share on the date of issuance. The total cost of $2.3 million was amortized to general and administrative expenses on a straight-line basis over the three-month service period in the Condensed Consolidated Statements of Operations.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2017
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES As of September 30, 2017 , the Company has net operating loss (“NOL”) carryforwards for federal, state and international income tax reporting purposes. The Company has established a full valuation allowance against its NOLs and has not recorded a net liability for federal or state income taxes in any of the periods included in the accompanying Condensed Consolidated Financial Statements. The provision for income taxes recorded in the accompanying Condensed Consolidated Financial Statements is for foreign income taxes resulting from disposition proceeds on the Company’s sale of available-for-sale securities. The taxable gain on the disposition will be included in Company’s total profits chargeable to UK corporation income tax with no offsetting deduction for pre-trading expenditures as Tellurian has not yet become active or started trading for UK corporation income tax purposes. Section 382 of the Internal Revenue Code (the “Code”) contains rules that limit the ability of a company that undergoes an ownership change to utilize its NOL carryforwards, tax credits, and certain built-in-losses or deductions existing as of the date of an ownership change. Prior to the Merger, Magellan had NOL carryforwards available to reduce U.S. federal and state taxable income in future tax years. The Company performed a Section 382 ownership change analysis for Magellan to determine if there were any Section 382 limitations on the utilization of Magellan’s pre-merger NOLs. Based on this analysis, the Company has determined that the Magellan pre-merger NOL carryforwards are subject to annual Section 382 limitations. Because of these limitations, it is expected that the vast majority of Magellan’s NOL carryforwards generated prior to the Merger will expire unused. In addition, we experienced an ownership change (as that term is defined within Section 382 of the Code) on April 20, 2017. An analysis of the annual limitation on the utilization of our NOLs was performed in accordance with the Code. It was determined that Section 382 will not materially limit the use of our NOLs over the carryover period. We will continue to monitor activity in the Company’s shares which could cause an ownership change. If the Company experiences a Section 382 ownership change, it could further affect our ability to utilize our existing NOL carryforwards. The Company remains subject to periodic audits and reviews by taxing authorities; however, we do not expect that these audits will have a material effect on the Company’s tax provision. Magellan’s federal tax returns for the years after June 30, 2014, remain open for examination.

Stockholders' Equity

Stockholders' Equity	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Stockholders' Equity	STOCKHOLDERS’ EQUITY At-the-Market Program The Company maintains an at-the-market equity offering program pursuant to which Tellurian may sell shares of its common stock from time to time on the NASDAQ or any other market for the common stock in the U.S., through Credit Suisse Securities (USA) LLC acting as sales agent, for aggregate sales proceeds of up to $200 million . For the nine months ended September 30, 2017 , the Company issued 1.0 million shares of common stock under this program, for proceeds of $10.3 million, net of $0.5 million in fees and commissions. TOTAL Investment In January 2017, pursuant to a common stock purchase agreement dated as of December 19, 2016, between Tellurian Investments and TOTAL Delaware, Inc. (“TOTAL”), TOTAL purchased, and Tellurian Investments sold and issued to TOTAL, approximately 35.4 million shares of Tellurian Investments common stock for an aggregate purchase price of $207 million , net of offering costs. In connection with the Merger, the shares purchased by TOTAL were exchanged for approximately 46 million shares of Tellurian common stock. In May 2017, Tellurian and TOTAL entered into a pre-emptive rights agreement pursuant to which TOTAL was granted a right to purchase its pro rata portion of any new equity securities that Tellurian may issue to a third party on the same terms and conditions as such equity securities are offered and sold to such party, subject to certain excepted offerings (the “Pre-emptive Rights Agreement”). Pursuant to the common stock purchase agreement dated as of December 19, 2016, between Tellurian Investments and TOTAL, the terms and conditions of the Pre-emptive Rights Agreement are similar to those contained in the pre-emptive rights agreement dated as of January 3, 2017, between Tellurian Investments and TOTAL, but the Pre-emptive Rights Agreement is subject to additional excepted offerings. Tellurian Preferred Stock In March 2017, GE Oil & Gas, Inc. (now known as GE Oil & Gas, LLC) (“GE”), as the holder of all 5.5 million outstanding shares of Tellurian Investments Series A convertible preferred stock (the “Tellurian Investments Preferred Shares”), exchanged those shares into an equal number of shares of Tellurian Inc. Series B convertible preferred stock (the “Series B Preferred Stock”) pursuant to the terms of the Tellurian Investments Certificate of Incorporation (the “Preferred Share Exchange”). The terms of the Series B Preferred Stock were substantially similar to those of the Tellurian Investments Preferred Shares. The Series B Preferred Stock were exchangeable at any time into shares of the Company’s common stock on a one -for-one basis, subject to anti-dilution adjustments in certain circumstances. In June 2017, GE, as the holder of all 5.5 million outstanding shares of Series B Preferred Stock exercised its right to convert all such shares of Series B Preferred Stock into 5.5 million shares of Tellurian common stock pursuant to and in accordance with the terms of the Series B Preferred Stock. Embedded Derivative The ability of GE to exchange the Tellurian Investments Preferred Shares into shares of Series B Preferred Stock or into shares of Tellurian common stock following the Merger required the fair value of such features to be bifurcated from the contract and recognized as an embedded derivative until the Merger Date. The fair value of the embedded derivative was determined through the use of a model which utilizes certain observable inputs such as the price of Magellan common stock at various points in time and the volatility of Magellan common stock over an assumed half-year and one-year holding period from February 10, 2017 and December 31, 2016, respectively. At each valuation date, the model also included (i) unobservable inputs related to the weighted probabilities of certain Merger-related scenarios and (ii) a discount for the lack of marketability determined through the use of commonly accepted methods. We have therefore classified the fair value measurements of this embedded derivative as Level 3 inputs. On the Merger Date, the embedded derivative was reclassified to additional paid-in capital in accordance with U.S. GAAP. The following table summarizes the changes in fair value for the embedded derivative (in thousands): February 10, 2017 December 31, 2016 Fair value at the beginning of period and initial fair value, respectively $ 8,753 $ 5,445 (Gain) loss on exchange feature (2,209 ) 3,308 Fair value at the end of the period and year, respectively $ 6,544 $ 8,753

Net Loss Per Share

Net Loss Per Share	9 Months Ended
	Sep. 30, 2017
Earnings Per Share [Abstract]
Net Loss Per Share	NET LOSS PER SHARE The following table summarizes the computation of basic and diluted loss per share (in thousands, except per-share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Net loss $ (22,864 ) $ (44,405 ) $ (196,736 ) $ (67,875 ) Basic weighted average common shares outstanding 192,405 120,128 186,143 83,979 Loss per share: Basic and diluted $ (0.12 ) $ (0.37 ) $ (1.06 ) $ (0.81 ) Basic loss per share is based upon the weighted average number of shares of common stock outstanding during the period. As of September 30, 2017 and 2016, the effect of 19.9 million and 6.6 million , respectively, of unvested restricted stock awards that could potentially dilute basic EPS in the future were not included in the computation of diluted EPS because to do so would have been antidilutive for the periods presented.

Supplemental Cash Flow Informat

Supplemental Cash Flow Information	9 Months Ended
	Sep. 30, 2017
Supplemental Cash Flow Information [Abstract]
Supplemental Cash Flow Information	SUPPLEMENTAL CASH FLOW INFORMATION The following table provides supplemental disclosure of cash flow information (in thousands): As of the Nine Months Ended 2017 2016 Property, plant and equipment non-cash accruals $ — $ 141 Land acquisition non-cash accruals — 1,000 Net cash paid for income taxes — 4

Recent Accounting Standards

Recent Accounting Standards	9 Months Ended
	Sep. 30, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Recent Accounting Standards	RECENT ACCOUNTING STANDARDS The following table provides a description of recent accounting standards that had not been adopted by the Company as of September 30, 2017 : Standard Description Expected Date of Adoption Effect on our Condensed Consolidated Financial Statements or Other Significant Matters ASU 2014-09, Revenue from Contracts with Customers (Topic 606), and subsequent amendments thereto This standard amends existing revenue recognition guidance and requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This standard may be early adopted beginning January 1, 2017, and may be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. January 1, 2018 The adoption of this new standard will not affect the amounts shown in our Condensed Consolidated Financial Statements and related disclosures as the Company currently has no revenues. ASU 2016-02, Leases (Topic 842) This standard requires a lessee to recognize leases on its balance sheet by recording a liability representing the obligation to make future lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term. A lessee is permitted to make an election not to recognize lease assets and liabilities for leases with a term of 12 months or less. The standard also modifies the definition of a lease and requires expanded disclosures. This standard may be early adopted and must be adopted using a modified retrospective approach with certain available practical expedients. January 1, 2019 We are currently evaluating the impact of the provisions of this guidance on our Condensed Consolidated Financial Statements and related disclosures. Additionally, the following table provides a description of recent accounting standards that were adopted by the Company during the reporting period: Standard Description Date of Adoption Effect on our Condensed Consolidated Financial Statements or Other Significant Matters ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business This update clarifies the definition of a business to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses by providing a screen to determine when an integrated set of assets or activities is not a business. January 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures. ASU 2017-04, Intangibles — Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment This update eliminated Step 2 from the goodwill impairment test. Step 2 required entities to compute the implied fair value of goodwill if it was determined that the carrying amount of a reporting unit exceed its fair value. The goodwill impairment test now consists of comparing the fair value of a reporting unit with its carrying amount, and a company should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value. January 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures. ASU 2017-09, Compensation — Stock Compensation (Topic 718): Scope of Modification Accounting This update clarifies what changes to the terms and conditions of share-based awards require an entity to apply modification accounting. Modification accounting is required only if the fair value, the vesting conditions, or the classification of the award (as equity or liability) changes as a result of the change in terms or conditions. April 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures. ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash This update requires that restricted cash be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. April 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures.

Merger and Acquisition (Tables)

Merger and Acquisition (Tables)	9 Months Ended
	Sep. 30, 2017
Business Combinations [Abstract]
Schedule of Total Consideration Exchanged	The total consideration exchanged was as follows (in thousands, except share and per-share amounts): Number of shares of Magellan common stock outstanding (1) 5,985,042 Price per share of Magellan common stock (2) $ 14.21 Aggregate value of Tellurian common stock issued $ 85,048 Fair value of stock options (3) 2,821 Net purchase consideration to be allocated $ 87,869 (1) The number of shares of Magellan common stock issued and outstanding as of February 9, 2017. (2) The closing price of Magellan common stock on the NASDAQ on February 9, 2017. (3) The estimated fair value of Magellan stock options for pre-Merger services rendered.
Schedule of Preliminary Purchase Price Allocation to Assets Acquired and Liabilities Assumed in Transaction	The preliminary purchase price allocation to assets acquired and liabilities assumed in the transaction was as follows (in thousands): Fair Value of Assets Acquired: Cash $ 56 Securities available-for-sale 1,111 Other current assets 93 Unproved properties 13,000 Wells in progress 332 Land, buildings and equipment, net 67 Other long-term assets 19 Total assets acquired 14,678 Fair Value of Liabilities Assumed: Accounts payable and other liabilities 4,393 Notes payable 8 Total liabilities assumed 4,401 Total net assets acquired 10,277 Goodwill as a result of the Merger $ 77,592
Schedule of Unaudited Pro Forma Results	The following table provides unaudited pro forma results for the three and nine months ended September 30, 2017 and 2016, as if the Merger occurred and Parallax Services had been acquired as of January 1, 2016 (in thousands, except per-share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Pro forma net loss $ (22,864 ) $ (45,874 ) $ (200,478 ) $ (80,086 ) Pro forma net loss per basic share $ (0.12 ) $ (0.36 ) $ (1.07 ) $ (0.89 ) Pro forma basic and diluted weighted average common shares outstanding 192,411 126,641 187,127 90,492

Prepaid and Other Current and23

Prepaid and Other Current and Non-Current Assets (Tables)	9 Months Ended
	Sep. 30, 2017
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Components of Prepaid Expenses and Other Current Assets	The components of prepaid expenses and other current assets consist of the following (in thousands): September 30, 2017 December 31, 2016 Subscriptions and deposits $ 1,018 $ 968 Insurance 401 67 Prepaid rent 148 315 LNG vessel charges 651 — Other 619 614 Total prepaid expenses and other current assets $ 2,837 $ 1,964
Schedule of Components of Other Non-current Assets	The components of other non-current assets consist of the following (in thousands): September 30, 2017 December 31, 2016 Deposit for acquisition $ 8,515 $ — Lease and purchase options 2,264 1,345 Other 434 556 Total other non-current assets $ 11,213 $ 1,901

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)	9 Months Ended
	Sep. 30, 2017
Property, Plant and Equipment [Abstract]
Summary of Property, Plant and Equipment Comprised of Fixed Assets and Oil and Gas Properties	Property, plant and equipment is comprised of fixed assets and oil and gas properties, as shown below (in thousands): September 30, 2017 December 31, 2016 Fixed Assets Land $ 9,491 $ 9,491 Buildings 549 549 Leasehold improvements 1,707 602 Computer, office equipment and fixtures 437 420 Accumulated depreciation (300 ) (69 ) Total fixed assets, net 11,884 10,993 Oil and Gas Properties Unproved 13,000 — Wells in progress 332 — Total oil and gas properties 13,332 — Total property, plant and equipment, net $ 25,216 $ 10,993

Accounts Payable and Accrued 25

Accounts Payable and Accrued Liabilities (Tables)	9 Months Ended
	Sep. 30, 2017
Payables and Accruals [Abstract]
Schedule of Components of Accounts Payable and Accrued Liabilities	The components of accounts payable and accrued liabilities consist of the following (in thousands): September 30, 2017 December 31, 2016 Project development activities $ 1,970 $ — Front-end engineering and design — 12,549 Payroll and compensation 16,043 6,311 Seismic survey cancellation 1,343 — Accrued taxes 2,394 — Professional services (e.g., legal, audit) 2,869 2,323 Other 2,570 3,220 Total accounts payable and accrued liabilities $ 27,189 $ 24,403

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2017
Equity [Abstract]
Summary of Changes in Fair Value for Embedded Derivative	The following table summarizes the changes in fair value for the embedded derivative (in thousands): February 10, 2017 December 31, 2016 Fair value at the beginning of period and initial fair value, respectively $ 8,753 $ 5,445 (Gain) loss on exchange feature (2,209 ) 3,308 Fair value at the end of the period and year, respectively $ 6,544 $ 8,753

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	9 Months Ended
	Sep. 30, 2017
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table summarizes the computation of basic and diluted loss per share (in thousands, except per-share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Net loss $ (22,864 ) $ (44,405 ) $ (196,736 ) $ (67,875 ) Basic weighted average common shares outstanding 192,405 120,128 186,143 83,979 Loss per share: Basic and diluted $ (0.12 ) $ (0.37 ) $ (1.06 ) $ (0.81 )

Supplemental Cash Flow Inform28

Supplemental Cash Flow Information (Tables)	9 Months Ended
	Sep. 30, 2017
Supplemental Cash Flow Information [Abstract]
Supplemental Disclosure of Cash Flow Information	The following table provides supplemental disclosure of cash flow information (in thousands): As of the Nine Months Ended 2017 2016 Property, plant and equipment non-cash accruals $ — $ 141 Land acquisition non-cash accruals — 1,000 Net cash paid for income taxes — 4

Recent Accounting Standards (Ta

Recent Accounting Standards (Tables)	9 Months Ended
	Sep. 30, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Description of Recent Accounting Standards, Not been Adopted	The following table provides a description of recent accounting standards that had not been adopted by the Company as of September 30, 2017 : Standard Description Expected Date of Adoption Effect on our Condensed Consolidated Financial Statements or Other Significant Matters ASU 2014-09, Revenue from Contracts with Customers (Topic 606), and subsequent amendments thereto This standard amends existing revenue recognition guidance and requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This standard may be early adopted beginning January 1, 2017, and may be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. January 1, 2018 The adoption of this new standard will not affect the amounts shown in our Condensed Consolidated Financial Statements and related disclosures as the Company currently has no revenues. ASU 2016-02, Leases (Topic 842) This standard requires a lessee to recognize leases on its balance sheet by recording a liability representing the obligation to make future lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term. A lessee is permitted to make an election not to recognize lease assets and liabilities for leases with a term of 12 months or less. The standard also modifies the definition of a lease and requires expanded disclosures. This standard may be early adopted and must be adopted using a modified retrospective approach with certain available practical expedients. January 1, 2019 We are currently evaluating the impact of the provisions of this guidance on our Condensed Consolidated Financial Statements and related disclosures.
Description of Recent Accounting Standards Adopted During Reporting Period	Additionally, the following table provides a description of recent accounting standards that were adopted by the Company during the reporting period: Standard Description Date of Adoption Effect on our Condensed Consolidated Financial Statements or Other Significant Matters ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business This update clarifies the definition of a business to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses by providing a screen to determine when an integrated set of assets or activities is not a business. January 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures. ASU 2017-04, Intangibles — Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment This update eliminated Step 2 from the goodwill impairment test. Step 2 required entities to compute the implied fair value of goodwill if it was determined that the carrying amount of a reporting unit exceed its fair value. The goodwill impairment test now consists of comparing the fair value of a reporting unit with its carrying amount, and a company should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value. January 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures. ASU 2017-09, Compensation — Stock Compensation (Topic 718): Scope of Modification Accounting This update clarifies what changes to the terms and conditions of share-based awards require an entity to apply modification accounting. Modification accounting is required only if the fair value, the vesting conditions, or the classification of the award (as equity or liability) changes as a result of the change in terms or conditions. April 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures. ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash This update requires that restricted cash be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. April 1, 2017 The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures.

Background and Basis of Prese30

Background and Basis of Presentation - Additional Information (Detail)	9 Months Ended
	Sep. 30, 2017Segment
Business Description And Basis Of Presentation [Line Items]
Number of operating segments	1
Merger Agreement
Business Description And Basis Of Presentation [Line Items]
Exchange of shares, conversion ratio	1.3

Merger and Acquisition - Schedu

Merger and Acquisition - Schedule of Total Consideration Exchanged (Detail) - USD ($) $ / shares in Units, $ in Thousands	Feb. 10, 2017	Apr. 09, 2016
Business Combinations [Abstract]
Number of shares of Magellan common stock outstanding	5,985,042,000
Price per share of Magellan common stock	$ 14.21
Aggregate value of Tellurian common stock issued	$ 85,048
Fair value of stock options	2,821
Net purchase consideration to be allocated	$ 87,869	$ 1,000

Merger And Acquisition - Sche32

Merger And Acquisition - Schedule of Preliminary Purchase Price Allocation to Assets Acquired and Liabilities Assumed in Transaction (Detail) - USD ($) $ in Thousands	Sep. 30, 2017	Feb. 10, 2017	Dec. 31, 2016
Fair Value of Assets Acquired:
Cash		$ 56
Securities available-for-sale		1,111
Other current assets		93
Unproved properties		13,000
Wells in progress	$ 332	332	$ 0
Land, buildings and equipment, net		67
Other long-term assets		19
Total assets acquired		14,678
Fair Value of Liabilities Assumed:
Accounts payable and other liabilities		4,393
Notes payable		8
Total liabilities assumed		4,401
Total net assets acquired		10,277
Goodwill as a result of the Merger	$ 1,190	$ 77,592	$ 1,190

Merger and Acquisition - Additi

Merger and Acquisition - Additional Information (Detail) - USD ($) $ in Thousands	Feb. 10, 2017	Apr. 09, 2016	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Business Acquisition [Line Items]
Goodwill	$ 77,592		$ 1,190		$ 1,190		$ 1,190
Equity consideration valued	$ 87,869	$ 1,000
Net loss			$ (22,864)	$ (44,405)	(196,736)	$ (67,875)
Parallax Services
Business Acquisition [Line Items]
Net loss					$ 600

Merger and Acquisition - Sche34

Merger and Acquisition - Schedule of Unaudited Pro Forma Results (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Business Combinations [Abstract]
Pro forma net loss	$ (22,864)	$ (45,874)	$ (200,478)	$ (80,086)
Pro forma net loss per basic share	$ (0.12)	$ (0.36)	$ (1.07)	$ (0.89)
Pro forma basic and diluted weighted average common shares outstanding	192,411	126,641	187,127	90,492

Prepaid and Other Current and35

Prepaid and Other Current and Non-current Assets - Schedule of Components of Prepaid Expenses and Other Current Assets (Detail) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Prepaid Expense and Other Assets, Current [Abstract]
Subscriptions and deposits	$ 1,018	$ 968
Insurance	401	67
Prepaid rent	148	315
LNG vessel charges	651	0
Other	619	614
Total prepaid expenses and current assets	$ 2,837	$ 1,964

Prepaid and Other Current and36

Prepaid and Other Current and Non-current Assets - Schedule of Components of Other Non-current Assets (Detail) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Other Assets, Noncurrent [Abstract]
Deposit for acquisition	$ 8,515	$ 0
Lease and purchase options	2,264	1,345
Other	434	556
Total other non-current assets	$ 11,213	$ 1,901

Prepaid and Other Current and37

Prepaid and Other Current and Non-current Assets - Additional Information (Detail)	9 Months Ended
	Sep. 30, 2017option
Operating Leased Assets [Line Items]
Term of lease (in years)	4 years
Term of lease extension (in years)	20 years
Term of lease renewals (in years)	5 years
Number of renewal options for operating leases	6
Texas
Operating Leased Assets [Line Items]
Term of lease (in years)	10 years
Maximum
Operating Leased Assets [Line Items]
Term of lease (in years)	60 years

Deferred Engineering Costs - Ad

Deferred Engineering Costs - Additional Information (Detail) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Deferred Costs [Abstract]
Deferred engineering costs	$ 9,000	$ 0

Related Parties - Additional In

Related Parties - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017	Jul. 28, 2017	Dec. 31, 2016
Related Party Transaction [Line Items]
Note receivable due from related party	$ 0	$ 0		$ 251
Houston
Related Party Transaction [Line Items]
Note receivable due from related party			$ 251
Law Firm
Related Party Transaction [Line Items]
Legal fees	$ 0	$ 651

Property, Plant and Equipment -

Property, Plant and Equipment - Summary of Property, Plant and Equipment Comprised of Fixed Assets and Oil and Gas Properties (Detail) - USD ($) $ in Thousands	Sep. 30, 2017	Feb. 10, 2017	Dec. 31, 2016
Fixed Assets
Accumulated depreciation	$ (300)		$ (69)
Total fixed assets, net	11,884		10,993
Oil and Gas Properties
Unproved	13,000		0
Wells in progress	332	$ 332	0
Total oil and gas properties	13,332		0
Total property, plant and equipment, net	25,216		10,993
Land
Fixed Assets
Fixed assets, gross	9,491		9,491
Buildings
Fixed Assets
Fixed assets, gross	549		549
Leasehold improvements
Fixed Assets
Fixed assets, gross	1,707		602
Computer, office equipment and fixtures
Fixed Assets
Fixed assets, gross	$ 437		$ 420

Property, Plant and Equipment41

Property, Plant and Equipment - Additional Information (Detail)	1 Months Ended	3 Months Ended		9 Months Ended
	Feb. 28, 2017USD ($)License	Sep. 30, 2017USD ($)	Sep. 30, 2016USD ($)	Sep. 30, 2017USD ($)	Sep. 30, 2016USD ($)
Property, Plant and Equipment [Line Items]
Depletion		$ 0		$ 0
Asset purchase	$ 85,100,000
Number of operated producing wells	19
Development Expenses
Property, Plant and Equipment [Line Items]
Depreciation expense		92,000	$ 31,000	231,000	$ 55,000
Australia
Property, Plant and Equipment [Line Items]
Reserves		$ 0		$ 0
United Kingdom
Property, Plant and Equipment [Line Items]
Number of non-operating interest in licenses | License	2

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) $ in Millions	Sep. 29, 2017USD ($)
LNG Vessel Charter
Other Commitments [Line Items]
Expected commitment	$ 5

Accounts Payable and Accrued 43

Accounts Payable and Accrued Liabilities - Schedule of Components of Accounts Payable and Accrued Liabilities (Detail) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Project development activities	$ 1,970	$ 0
Front-end engineering and design	0	12,549
Payroll and compensation	16,043	6,311
Seismic survey cancellation	1,343	0
Accrued taxes	2,394	0
Professional services (e.g., legal, audit)	2,869	2,323
Other	2,570	3,220
Total accounts payable and accrued liabilities	$ 27,189	$ 24,403

Accounts Payable and Accrued 44

Accounts Payable and Accrued Liabilities - Additional Information (Details) - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Seismic survey cancellation	$ 1,343	$ 0

Share-Based Compensation - Addi

Share-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016	Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total grant date fair value			$ 21,165
Share-based compensation expense for vested shares employees and directors	$ 4,000	$ 19,100	$ 22,000	$ 24,200
Settlement of Bonuses Accrued at December 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense for vested shares employees and directors					$ 2,000
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average grant date fair value per share	$ 10.68
Final Investment Decision (FID Awards)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total grant date fair value	$ 17,400
2016 Omnibus Compensation Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock authorized for issuance	40,000,000		40,000,000
Maximum number of common shares granted to an employee			10,000,000
Awards per share granted	40.00%		40.00%
2016 Omnibus Compensation Incentive Plan | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted			7,500,000
2016 Omnibus Incentive Plan (Legacy Plan) | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted			14,900,000

Share-Based Payments - Addition

Share-Based Payments - Additional Information (Detail) - USD ($)	Feb. 10, 2017	Mar. 31, 2017	Feb. 28, 2017	May 31, 2017	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense for vendors					$ 4,000,000	$ 19,100,000	$ 22,000,000	$ 24,200,000
Common stock shares issued on merger, value							87,923,000	$ 1,000,000
Shares issued for specified services		200,000
Share issued for services, price per share		$ 11.34
Cost of shares issued for specified services				$ 2,300,000
Vendors
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense for vendors					$ 0		$ 19,400,000
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock shares issued on merger	90,350		409,800				51,540,000	500,000
Common stock shares issued on merger, value	$ 1,300,000		$ 5,800,000				$ 1,390,000	$ 1,000
2016 Omnibus Compensation Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares available for grant		1,000,000
Aggregate difference between purchase price and fair value		$ 11,400,000
Purchase price per share		$ 0.50
Closing share price on the date of issuance per share		$ 11.88

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail)	9 Months Ended
	Sep. 30, 2017USD ($)shares	Sep. 30, 2016USD ($)	Jun. 30, 2017shares	Mar. 31, 2017shares	Jan. 31, 2017USD ($)shares	Dec. 31, 2016USD ($)shares
Class of Stock [Line Items]
Proceeds from the issuance of common stock | $	$ 218,195,000	$ 58,886,000
Shares issued value | $	$ 217,088,000	$ 57,374,000
Common stock, shares issued | shares	214,000,000					109,600,000
Shares issued value | $	$ 1,943,000					$ 101,000
Conversion ratio	1
At-the-Market Program
Class of Stock [Line Items]
Number of shares issued | shares	1,000,000
Shares issued value | $	$ 10,300,000
Fees and commissions | $	500,000
Maximum | At-the-Market Program
Class of Stock [Line Items]
Proceeds from the issuance of common stock | $	$ 200,000,000
TOTAL Delaware Inc
Class of Stock [Line Items]
Common stock, shares issued | shares					35,400,000
Shares issued value | $					$ 207,000,000
Shares exchanged for issue of common stock | shares					46,000,000
GE Oil & Gas, Inc.
Class of Stock [Line Items]
Number of shares converted | shares			5,500,000
GE Oil & Gas, Inc. | Series A Preferred Stock
Class of Stock [Line Items]
Number of shares converted | shares				5,500,000
GE Oil & Gas, Inc. | Series B Preferred Stock
Class of Stock [Line Items]
Number of shares converted | shares			5,500,000

Stockholders' Equity - Summary

Stockholders' Equity - Summary of Changes in Fair Value for Embedded Derivative (Detail) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	Feb. 10, 2017	Dec. 31, 2016
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Fair value at the beginning of period and initial fair value, respectively	$ 8,753	$ 5,445
(Gain) loss on exchange feature	(2,209)	3,308
Fair value at the end of the period and year, respectively	$ 6,544	$ 8,753

Net Loss Per Share - Schedule o

Net Loss Per Share - Schedule of Earnings Per Share, Basic and Diluted (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016	Sep. 30, 2017	Sep. 30, 2016
Earnings Per Share [Abstract]
Net loss	$ (22,864)	$ (44,405)	$ (196,736)	$ (67,875)
Basic and diluted weighted average shares outstanding	192,405	120,128	186,143	83,979
Loss per share:
Basic and diluted	$ (0.12)	$ (0.37)	$ (1.06)	$ (0.81)

Net Loss Per Share - Additional

Net Loss Per Share - Additional Information (Detail) - shares shares in Millions	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Restricted Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share amount	19.9	6.6

Supplemental Cash Flow Inform51

Supplemental Cash Flow Information (Detail) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Supplemental Cash Flow Information [Abstract]
Property, plant and equipment non-cash accruals	$ 0	$ 141
Land acquisition non-cash accruals	0	1,000
Net cash paid for income taxes	$ 0	$ 4

Recent Accounting Standards - D

Recent Accounting Standards - Description of Recent Accounting Standards, Not been Adopted (Detail)	9 Months Ended
	Sep. 30, 2017
Accounting Standards Update 2014-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Description	This standard amends existing revenue recognition guidance and requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This standard may be early adopted beginning January 1, 2017, and may be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption.
Expected Date of Adoption	Jan. 1, 2018
Effect on our Condensed Consolidated Financial Statements or Other Significant Matters	The adoption of this new standard will not affect the amounts shown in our Condensed Consolidated Financial Statements and related disclosures as the Company currently has no revenues.
Accounting Standards Update 2016-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Description	This standard requires a lessee to recognize leases on its balance sheet by recording a liability representing the obligation to make future lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term. A lessee is permitted to make an election not to recognize lease assets and liabilities for leases with a term of 12 months or less. The standard also modifies the definition of a lease and requires expanded disclosures. This standard may be early adopted and must be adopted using a modified retrospective approach with certain available practical expedients.
Expected Date of Adoption	Jan. 1, 2019
Effect on our Condensed Consolidated Financial Statements or Other Significant Matters	We are currently evaluating the impact of the provisions of this guidance on our Condensed Consolidated Financial Statements and related disclosures.

Recent Accounting Standards -53

Recent Accounting Standards - Description of Recent Accounting Standards Adopted During Reporting Period (Detail) - New Accounting Pronouncement, Early Adoption, Effect	9 Months Ended
	Sep. 30, 2017
Accounting Standards Update 2017-01
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Description	This update clarifies the definition of a business to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses by providing a screen to determine when an integrated set of assets or activities is not a business.
Date of Adoption	Jan. 1, 2017
Effect on our Condensed Consolidated Financial Statements or Other Significant Matters	The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures.
Accounting Standards Update 2017-04
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Description	This update eliminated Step 2 from the goodwill impairment test. Step 2 required entities to compute the implied fair value of goodwill if it was determined that the carrying amount of a reporting unit exceed its fair value. The goodwill impairment test now consists of comparing the fair value of a reporting unit with its carrying amount, and a company should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value.
Date of Adoption	Jan. 1, 2017
Effect on our Condensed Consolidated Financial Statements or Other Significant Matters	The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures.
Accounting Standards Update 2017-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Description	This update clarifies what changes to the terms and conditions of share-based awards require an entity to apply modification accounting. Modification accounting is required only if the fair value, the vesting conditions, or the classification of the award (as equity or liability) changes as a result of the change in terms or conditions.
Date of Adoption	Apr. 1, 2017
Effect on our Condensed Consolidated Financial Statements or Other Significant Matters	The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures.
Accounting Standards Update 2016-18
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Description	This update requires that restricted cash be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows.
Date of Adoption	Apr. 1, 2017
Effect on our Condensed Consolidated Financial Statements or Other Significant Matters	The adoption of this guidance did not have a material impact on our Condensed Consolidated Financial Statements or disclosures.