https://www.miningweekly.com

Woodside buys BHP gas assets

5th September 2016

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

Font size: - +

PERTH (miningweekly.com) – Australian oil and gas major Woodside will acquire half of mining giant BHP Billiton’s Scarborough gas assets, offshore Western Australia.

The two companies on Monday announced the signing of a sale and purchase agreement under which Woodside would pay BHP $250-million and a contingent payment of $150-million upon a positive final investment decision to develop the Scarborough field.

The Scarborough area assets include the Scarborough, Thebe and Jupiter fields, which are estimated to contain about 8.7-trillion cubic feet of gas resource, with Woodside’s net share of the resource estimated to be 2.6-trillion cubic feet of gas.

Woodside CEO Peter Coleman said that adding the Carnarvon basin volumes to the Australian portfolio would complement the company’s growth strategy and leverage Woodside’s deep-water and liquefied natural gas (LNG) capabilities.

BHP president for petroleum operations Steve Pastor said that the company considered the proposed sale to be a positive outcome for all parties.

“Woodside is a strong partner with substantial LNG experience in Western Australia, and we believe they will contribute positively to the future development of the Scarborough resource.”

Under the proposed transaction, ExxonMobil, which holds a 50% stake in the area, will remain operator of Scarborough, while operatorship of North Scarborough will transfer from BHP to Woodside.

The transaction is subject to a number of conditions, including joint partner pre-emption rights and regulatory approvals.

Edited by Creamer Media Reporter

Comments

Projects

Image of lithium ore stockpile
Lithium conversion plant, Australia
Updated 2 hours 7 minutes ago By: Sheila Barradas
Aerial view of the Amapá mine
Amapá iron-ore project, Brazil
Updated 2 hours 7 minutes ago By: Sheila Barradas

Showroom

SAIMC (Society for Automation, Instrumentation, Mechatronics and Control)
SAIMC (Society for Automation, Instrumentation, Mechatronics and Control)

Education: Consulting with member companies to obtain the optimal benefits from their B-BBEE spending, skills resources as well as B-BBEE points

VISIT SHOWROOM 
Rio-Carb
Rio-Carb

Our Easy Access Chute concept was developed to reduce the risks related to liner maintenance. Currently, replacing wear liners require that...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.13 0.168s - 106pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: