Australia Shares Rise on BHP-Woodside's Final Nod on $12B Scarborough Project

Harshita Swaminathan
Tuesday, November 23, 2021

 Australian shares ended higher on Tuesday, buoyed by gains in the mining and energy sectors, a day after BHP Group and Woodside Petroleum gave the final sign-off on their $12 billion Scarborough LNG project.

The S&P/ASX 200 rose 0.78% to close at 7,410.6, marking its best session since Nov. 12, after a 0.59% fall in the previous session.

The mining index climbed 2.5%, boosted by BHP's 4% jump after the mining giant and Woodside late on Monday gave their final go-ahead to develop the Scarborough gas field and inked an agreement to merge BHP's petroleum assets into Woodside.

A sharp rise in the price of iron ore also supported the sector. Iron ore miner Fortescue climbed 9.8%, its biggest single-day gain in almost a year. Rio Tinto gained 3.6%.



"The iron ore strength helps, with the BHP-Woodside (merger), more details on that merger also helped and we are seeing a little bit of a bounce back in the banks, of course, which has helped as well," said Henry Jennings, senior analyst and portfolio manager at Marcustoday Financial Newsletter.

Woodside led the way for energy stocks as it rose 3.5% to record its best session in almost a month. The sub-index gained 2.5%.

Smaller rivals Santos and Oil Search also rose 2.1% and 1.5%, respectively.

Tracking overnight Wall Street losses, tech stocks, plunged 3.5% in their worst session in more than six months.

Jennings attributed Afterpay's 5.4% fall to Square Inc's 6.1% drop overnight, adding that since Afterpay was almost a derivative of Square, the two often moved in tandem.

Xero and Wisetech Global also dropped 3.5% and 5.6%, respectively.

Across the Tasman Sea, New Zealand's benchmark S&P/NZX 50 rose 0.64% to end at 12,688.53. 

(Reporting by Harshita Swaminathan; Editing by Rashmi Aich)

Categories: Energy LNG Industry News Activity Australia/NZ

Related Stories

Saipem Wins FEED Contract For Abadi LNG Project FPSO Module In Indonesia

Shelf Drilling Lands New Jack-Up Contract in Vietnam, Extends Egypt Deal

Sapura Energy Rebrands to Vantris Energy

Woodside Finds South Korean Partners to Advance LNG Value Chain

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Woodside and Jera Agree LNG Cargoes Supply for Japan’s Winter Period

Fugro Expands Geotechnical Testing Capabilities in Indonesia

CDWE Wraps Up Pin Pile Installation Job for Taiwanese Offshore Wind Farm

Fugro Lands Deepwater Gas Field Job in Southeast Asia

Scarborough FPU's Topsides and Hull Come Together in Major Engineering Feat (Video)

Current News

Norwegian Oil Investment Will Peak in '25

Saipem Marks First Steel Cut for Tangguh UCC Project at Karimun Yard

Saipem Wins FEED Contract For Abadi LNG Project FPSO Module In Indonesia

Cheniere, JERA Ink Long-Term LNG Sale and Purchase Agreement

Shelf Drilling Lands New Jack-Up Contract in Vietnam, Extends Egypt Deal

Seatrium Engages Axess Group to Clear FPSOs for Brazil Deployment

Inpex Picks FEED Contractors for Abadi LNG Onshore Plant

Inpex Kicks Off FEED Work for Abadi LNG Scheme Offshore Indonesia

ADNOC Signs Long-Term LNG Deal with Hindustan Petroleum Corporation

Sapura Energy Rebrands to Vantris Energy

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