Woodside Vitality Group Ltd. has accomplished the farm-down of a 40 p.c stake in its under-construction Louisiana LNG mission in Calcasieu Parish to Stonepeak Companions LP.
“Underneath the transaction, Stonepeak will present US$5.7 billion in direction of the anticipated capital expenditure for the inspiration growth of Louisiana LNG on an accelerated foundation, contributing 75 p.c of mission capital expenditure in each 2025 and 2026”, a joint assertion stated Tuesday.
Woodside made a closing funding resolution (FID) final April, estimating the gross capital expenditure to be $17.5 billion. The FID accredited part 1, which entails three liquefaction trains with a mixed capability of 16.5 million metric tons each year (MMtpa).
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Louisiana LNG holds an Vitality Division allow to export a cumulative 1.42 trillion cubic ft a 12 months of pure fuel equal, or 27.6 MMtpa of LNG in keeping with Woodside, to each FTA and non-FTA international locations.
“The closing fee of roughly US$1.9 billion acquired by Woodside displays Stonepeak’s 75 p.c share of capex funding incurred because the efficient date of 1 January 2025”, Tuesday’s assertion stated.
Woodside chief govt Meg O’Neill commented, “Our partnership with Stonepeak displays the attractiveness of Louisiana LNG and was a key milestone in direction of attaining a profitable closing funding resolution”.
“The accelerated capital contribution from Stonepeak enhances Louisiana LNG mission returns and strengthens our capability for shareholder returns forward of first cargo from the Scarborough Vitality Mission in Western Australia, focused for the second half of 2026”, O’Neill added.
“We proceed to see sturdy curiosity from further potential companions in Louisiana LNG”.
Days earlier Woodside introduced offtakes for Louisiana LNG and the Scarborough Vitality Mission. Within the latter, fuel from the Scarborough subject shall be processed at Pluto LNG, the place Woodside is constructing a second prepare. Pluto prepare 2 is designed to supply round 5 MMtpa of LNG. It’s anticipated to start out LNG manufacturing 2026. It’s going to additionally embrace home fuel infrastructure in a position to provide as much as 225 terajoules a day to Western Australia, in keeping with Woodside.
On Monday Woodside introduced a heads of settlement to produce LNG to Japanese energy utility JERA Co. Inc. within the winter months for at the very least 5 years. The provision will come from Woodside’s LNG portfolio together with the Scarborough-Pluto LNG mission.
Underneath the deal, Woodside will ship LNG to Japan between the months of December and February from 2027. Three cargoes totaling about 200,000 metric tons shall be delivered per 12 months.
Earlier this month Woodside and Malaysia’s Petroliam Nasional Bhd. signed a head of agreements for one MMtpa of LNG from Woodside’s international portfolio, together with Louisiana LNG, for 15 years. Supply is ready to start out 2028.
To contact the writer, e-mail jov.onsat@rigzone.com
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