Woodside Australia and Saudi Aramco Sign Deal for Potential Louisiana LNG Share Buy

Woodside Energy, a company based in Australia, announced on Wednesday that it had signed a non-binding deal with Aramco for the exploration of opportunities. This included the possibility of the Saudi Arabian firm acquiring a stake in the Louisiana LNG Project.

Woodside, Australia’s largest gas producer, has given the final approval to build the $17.5-billion liquefied gas project in Louisiana. The company was confident that a fossil fuel-friendly U.S. government and strong demand from Europe and Asia will give it competitive returns.

Woodside had agreed to sell 40% of the project to Stonepeak, a U.S. infrastructure investment company that would contribute $5.7billion towards the capital cost.

The company wants to sell an additional 20%-30% stake of Louisiana LNG.

Woodside CEO Meg O'Neill stated in a press release that the Aramco deal is yet another example of the interest Louisiana LNG continues to generate amongst high-quality investors.

The LNG project will deliver its first gas by 2029.

Woodside also said that both companies were exploring the possibility of collaborating on ammonia with lower carbon emissions. (Reporting and editing by Rashmi Akich in Bengaluru, Himanshi Aich in Bengaluru)

(source: Reuters)