- Woodside Energy has revealed plans to grow its production by 6 per cent over the next decade
- It says production for 2020 will rise to around 100 million barrels of oil equivalent (boe), and is aiming for 150 boe by 2028
- The oil and gas giant is relying on production from the Scarborough, Browse LNG projects and its Segal oil development
- Woodside Petroleum is up slightly on the market today and is selling shares at $34.32 apiece
Petroleum giant, Woodside Energy has revealed plans to grow its production by 6 per cent over the next decade.
The company is relying on production from the Scarborough, Browse LNG projects and its Segal oil development.
In the investor briefing today, Woodside says its production for 2020 will rise to about 100 million barrels of oil equivalent (boe), and is aiming for 150 boe by 2028.
Woodside has narrowed its 2019 production guidance to 89 to 91 million boe.
The WA oil and gas giant says the growth will come from starting its Sangomar project, Scarborough and Browse LNG projects.
Yesterday the company agreed on a tolling price for its processing gas with BHP from the Pluto LNG facility on Western Australia’s Burrup Peninsula.
BHP has agreed not to buy an additional 10 per cent stake in the project, keeping its interest at 25 per cent.
Woodside CEO Peter Coleman said the agreement on the tolling price for Scarborough was another significant step towards the realisation of the proposed Burrup Hub.
“This agreement on tolling price, together with the increase in Scarborough gas resources announced earlier this month, provides a compelling and aligned basis for BHP and Woodside to finalise the required conditional binding agreements by the end of the first quarter of 2020,” Peter said.
“It is a key milestone as we target a go-ahead for the development of the high-quality Scarborough gas resource through an expanded Pluto LNG facility. The joint venture is now in a strong position to proceed to FID (final investment deal) in the first half of next year,” he added.
Scarborough gas would initially be processed on a deep-water floating production unit and transported through an approximately 430-kilometre pipeline to be processed at the Pluto LNG facility.
“Everything we have learned and achieved in progressing the Burrup Hub in the past year has demonstrated that this is a world-class development opportunity and a compelling investment,” Peter told the market.
“Our recent breakthroughs on Scarborough show momentum is building towards final investment. We have unlocked huge potential for this world-class gas resource, using advanced technologies and subsurface expertise to increase the estimated resource volume by 52 per cent,” he added.
The company said its vision of an integrated seven-train LNG processing centre on the Burrup Hub is taking shape and final investment decisions have been made on the Pluto-Karratha Gas Plant Interconnector pipeline
Woodside’s Senegal project is in the finals stages of readiness to take the final investment decision on Phase one development.
“The Woodside team is focused on delivering sustainable growth and is drawing on Australian and global expertise in technology and energy research,” Peter added.
Woodside Petroleum is up slightly on the market today and is selling shares at $34.32 apiece at 2:38 pm AEDT.