Woodside Aims to Play Decisive Role in Sale of Chevron Australian LNG Stake

Sonali Paul
Tuesday, June 23, 2020

Woodside Petroleum's Chief Executive Peter Coleman said the Australian firm aims to play a decisive role in Chevron Corp's plan to sell a stake in the North West Shelf (NWS) project, operated and co-owned by Woodside.

Chevron last week put its one-sixth stake up for sale in Australia's oldest and biggest liquefied natural gas (LNG) project. Woodside has a pre-emptive right to match any offer for a stake in what Coleman called his firm's crown jewel.

Speaking on Tuesday at Credit Suisse's annual Australian energy conference, Coleman said it was unlikely any oil and gas company would bid for the stake, which analysts have estimated could fetch about $3 billion.

Instead, Coleman said, infrastructure players would be attracted as the NWS project's gas fields are drying up and the associated LNG plant is going to become a facility that processes gas for third parties, charging a toll.

Whatever the outcome, Coleman said Woodside aims to ensure it aligns with its interests in developing its biggest undeveloped gas assets, Browse and Scarborough.

"If there's a way we can participate in that and get a better outcome for Woodside, then we'll be at the table to participate," Coleman said.

Price would be the main factor in determining whether Woodside itself bids, Coleman said, without disclosing how much his firm would be prepared to pay.

Coleman said if the company had to raise money to fund an acquisition, which could overlap with the go-ahead for its $11 billion Scarborough gas project in 2021, it could find ways to ease the funding requirement, without specifying how.

"This has been the jewel in Woodside's crown for a long period of time ... You don't want your neighbors to put up a for-sale sign and then you get the wrong people moving in next door," he said.

 (Reporting by Sonali Paul; Editing by Kenneth Maxwell)


Categories: Energy LNG Industry News Activity Gas Australia/NZ

Related Stories

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

RINA Wins FEED Contract for Petronas’ Flagship CCS Project in Malaysia

ABL Secures Rig Moving Assignment with India's ONGC

MDL Secures Cable Laying Job in Asia Pacific

Hanwha Ocean Enlists ABB for Singapore’s First Floating LNG Terminal

Synergy Marine Group Completes Conversion of LNG Vessel to FSRU

TotalEnergies Inks 10-Year LNG Supply Deal with South Korea’s KOGAS

Inpex Picks FEED Contractors for Abadi LNG Onshore Plant

Inpex Kicks Off FEED Work for Abadi LNG Scheme Offshore Indonesia

Thailand's PTT to Buy LNG from Glenfarne's Alaska LNG Project

Current News

Pharos Energy Kicks Off Drilling Campaign Offshore Vietnam

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

US Pressure on India Could Propel Russia's Shadow Oil Exports

Energy Drilling’s EDrill-2 Rig Starts Ops for PTTEP in Gulf of Thailand

RINA Wins FEED Contract for Petronas’ Flagship CCS Project in Malaysia

ABL Secures Rig Moving Assignment with India's ONGC

Pakistan, Türkiye Deepen Oil and Gas Ties with Offshore Indus-C Block Deal

Eni-Petronas Gas Joint Venture Up for Launch in 2026

Vietsovpetro Brings BK-24 Oil Platform Online Two Months Early

Propane’s Economic Edge for Ports During Trade Uncertainty

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com