Woodside's new CEO must navigate LNG projects with high costs through glut risk
Woodside Energy is facing a leadership shake up after Meg O'Neill's unexpected departure for the top position at?BP. This comes at a time when the Australian company is trying to deliver on key projects in a?braced?for a glut of supply. Analysts say that the oil and gas company will continue to pursue its global growth strategy. This requires continued investment in new assets as well as continuity in mature fields. After project delays and rising costs, it will be important to advance the Louisiana LNG project.
Woodside's new CEO must navigate LNG projects with high costs through glut risk
Woodside Energy is facing a leadership shake up after BP's?chief executive Meg O'Neill's unexpected departure for the top position at BP. This comes as the Australian 'firm' is trying to deliver key projects on a market that's braced for an oversupply. Analysts say that the oil and gas "producer" is expected to continue with its global strategy of growth, which requires sustained investment in both new assets and continuity within mature fields. After project delays and rising costs, it will be important to advance the Louisiana LNG project.
Australia's Waitsia Project begins sending gas to LNG export
Beach Energy, an Australian company, announced on Monday that the Waitsia onshore project located north of Perth has begun sending natural gas to Woodside Energy's liquidified natural gas export facility. Mitsui, a Japanese company, operates the Waitsia Project and shares it with Beach. Mitsui and Beach have signed a contract with the North West Shelf partners Woodside, BP Shell and Japan LNG for the supply of the facility in 2020. Japan LNG, a partnership between Mitsui & Mitsubishi, holds a sixth of the facility.
Chevron's Gorgon project receives $2 billion investment approval
The Australian unit, owned by the U.S. oil company Chevron, announced on Friday that partners in the Gorgon Joint Venture had sanctioned the A$3 Billion ($1,98 Billion) Gorgon Stage 3 Development off the northwest coast of Western Australia. The project will serve as a backfill to the LNG export concern, and will connect the offshore Geryon & Eurytion gas fields with Gorgon's infrastructure on Barrow Island. Chevron plans to drill up to 40 wells in seven fields, with a field life of 2070.
INSIGHT- West scrambles fill the heavy rare earth gap, as China rivalry intensifies
Western efforts to create a domestic magnets supply chain in order to reduce their reliance on China, led by the massive U.S. support for Nevada-based MP Materials, are running into a major problem: a scarcity of heavy rare earth elements. United States and its allies are scrambling to find an alternative supply chain for super-strong rare earth magnetic components, which are essential in everything from electric vehicles and defence technology to electronics and windmills.
Woodside Energy reaches two-week peak after increasing 2025 production forecast
Woodside Energy shares rose to their highest level in two weeks on Wednesday, despite a 9.4% drop in revenue for the third quarter due to lower average realized prices. The largest independent energy company in the country expects its fiscal 2025 production will be between 192 and 197 millions barrels of oil-equivalent, higher than their previous forecast of 188 to195 mmboe. The company's shares rose up to 4.1%, reaching A$23.31 at 2316 GMT.
Russell: The US-Australian critical minerals deal highlights the gap with China
It is not the game changer needed to reduce Western dependence on China. But it is a first important step. U.S. president Donald Trump and Australian prime minister Anthony Albanese signed a deal in Washington on Monday that could see up to $8 billion invested in projects for the development and refinement of metals essential to industries such as defence, advanced manufacturing, and energy transition. You can dismiss this as political hyperbole and spin, given China's dominance in the majority of global supply chains for critical minerals.
Russell: The US-Australian critical minerals deal highlights the gap with China
It is not the game changer needed to reduce Western dependence on China. But it is a first important step. U.S. president Donald Trump and Australian prime minister Anthony Albanese signed a deal in Washington on Monday that could see up to $8 billion invested in projects for the development and refinement of metals essential to industries such as defence, advanced manufacturing, and energy transition. You can dismiss this as political hyperbole and spin, given China's dominance in the majority of global supply chains for critical minerals.
Australia approves the North West Shelf Gas Plant to operate until 2070
Australia approved Woodside's application to operate Australia's second largest and oldest liquefied gas plant, the LibNaGa Plant, until 2070. The new emission rules were imposed to reduce its environmental impact. North West Shelf, a plant in Western Australia, is expected to emit up to 4.3 million metric tons carbon dioxide over its lifetime. Critics say this will endanger nearby ancient rock art as well as set back climate change efforts.
Mining giants squeeze their dividends to fund growth
This earnings season has seen large miners pay out the lowest dividends they have paid in years. Mineral prices are falling and they must retain cash to fund their massive development plans, all while keeping costs down. BHP is expected to continue this trend when it releases its earnings on August 19, along with Anglo American, Rio Tinto and Glencore. After years of high profits driven by China, backed up by supply problems linked to COVID-19 and Russia…
Fortescue iron ore shipments rise; scraps US, Aussie green hydrogen projects
Fortescue, a miner in Australia, announced record fourth-quarter shipment numbers on Thursday. This helped Fortescue meet its top-end full-year guidance. It also said that it will scrap its U.S. green hydrogen project and its Australian green hydrogen project. After a review, the Perth-based company announced that it would not be moving forward with the Arizona Hydrogen Project, in the U.S., and the PEM50 Project, in Gladstone in Australia. The company is currently evaluating options for repurposing the land and assets.
Santos adjusts its 2025 production forecast in response to the Cooper Basin Floods
Santos, Australia's largest oil and gas company, tightened its production forecast for the full year on Thursday in order to take into account flood-related disruptions. It also reported a decline of more than 2% in its second-quarter revenue. In 2025, the country's second largest gas producer is expected to produce 90 million to 95 million barrels equivalent oil (mmboe), compared with an earlier forecast of 90-97 million mmboe. Kevin Gallagher…
Australia declares World Heritage Listing to Protect Indigenous Carvings
The government announced on Saturday that securing World Heritage status for Australia’s Murujuga Rock art will help to protect the ancient Indigenous carvings located in an industry hub. The art is thought to be at least 50,000 years old and lies on a peninsula with gas and explosives factories, which highlights the delicate relationship between the nation’s Indigenous culture, and its vital resource industries. UNESCO awarded World Heritage…
Analysts say that 'deep pockets' may help Abu Dhabi gain regulatory approval for Santos' bid.
Analysts say that the Australian regulators who are concerned about gas supplies in Australia will be closely monitoring Abu Dhabi National Oil Company's bid of $18,7 billion for Santos. However, they could be won over by promises to accelerate new projects. Analysts say that Santos' shares closed Tuesday at A$7.73, a far cry from the $5.76 per share (A$8.89), which was the proposed takeover bid for Australia's 2nd largest gas producer, announced on Monday. This indicates investors believe that the deal will be rejected by regulators.
Experts say that Australia's investment in natural gas threatens its climate credentials
Experts and two Pacific Climate Ministers say that Australia's approval for a 40-year project extension has undermined its bid to be the host of a United Nations Climate Summit next year, and its green credentials. The centre-left government that came to power in 2022, with a mandate to reform climate policy, has approved Woodside Energy’s North West Shelf Project to continue until 2070. This is subject to a review. The company and energy industry hailed the move, citing the continued operation of LNG plants as an alternative fuel to coal.
Australia's bid to be listed as a World Heritage Site for ancient rock art is stalled over pollution
The U.N. advisory panel warned that industrial pollution near the site could threaten its World Heritage status. The International Council on Monuments and Sites recommended that UNESCO refer the nomination to the Australian Government so it can "prevent further industrial development adjacent and within the Murujuga Culture Landscape". The Murujuga Rock Art, located on the Burrup Peninsula, in the Western Australia State, is culturally and spiritually significant to the local Indigenous Australians. It was nominated in 2023 for a heritage listing.
Australia approves Woodside's North West Shelf LNG Plant to operate until 2070
Australia approved Woodside Energy’s request on Wednesday to extend the lifespan of its North West Shelf Gas Plant until 2070. This follows a six-year process that was plagued by delays, complaints and criticism from environmental groups. North West Shelf, located in Western Australia on the Burrup Peninsula, is Australia's largest and oldest liquefied gas plant. It also serves as a major supplier of LNG to Asian markets. In a press release…
Santos Australia reports 7% decline in first-quarter revenue
Santos, an Australian oil and natural gas company, reported a 7% drop in its first-quarter revenue on Thursday. The fall was attributed to lower crude oil sales and weaker realised prices of domestic gas and LNG contracts linked to oil. Since China's first 15% retaliatory tax shut down U.S. imports, in February, global LNG prices have fallen. Meanwhile, mounting trade tensions are causing concern about demand erosion on major gas markets that could face economic contraction.
Shell reduces its first-quarter LNG Production Outlook
Shell has lowered its outlook for first-quarter LNG production in a trading report on Monday. It cited the impact of bad Australian weather, before publishing results on May 2nd. The British company forecasted that the LNG production would be between 6.4 and 6.8 millions metric tons. This is a decrease from its previous forecasts of 6.6 to 7.2 tons. In the fourth quarter last year, it produced 7.1 millions tons of LNG. The company stated that the downward revision was due to cyclones in Australia and unplanned maintenance.
Gas giants claim that Australia's opposition plan to reserve supplies may worsen the shortage
Gas giants around the world said that a proposal made by Australia's coalition of opposition to force producers to divert more gas from exports into the domestic market in an attempt to win votes would discourage investment and not solve the looming gas shortages. The conservative Liberal-National Coalition has pledged to lower power bills by implementing a gas reservations scheme. The center-left Labor government led by Prime Minister Anthony…