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

PTTEP Orders OneSubsea Systems for Two Deepwater Projects off Malaysia

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

Brownfield Output Decline Accelerates, says IEA

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

Technip Energies Gets FEED Job for Inpex’ Abadi LNG Project in Indonesia

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

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

CNOOC Finds Oil and Gas in South China Sea

Santos and QatarEnergy Agree Mid-Term LNG Supply

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

Current News

ABL to Support Platform Installations, Rig Moves for Chevron in Gulf of Thailand

PTTEP Orders OneSubsea Systems for Two Deepwater Projects off Malaysia

Russia's Lukoil Takes Up Gunvor’s Offer for Foreign Assets

How Hot Is Your Cable? Understanding Subsea Cable Thermal Performance

Sponsored: UAE Breaks Ground on GW-Scale Renewable Energy Hybrid

Pertamina Joins Petronas in Ultra-Deepwater Asset off Indonesia

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

Southeast Asia’s 2GW Cross-Border Offshore Wind Scheme Targets 2034 Buildout

Pharos Energy Kicks Off Drilling Campaign Offshore Vietnam

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

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