Woodside to sell $1.4bn stake in key gas project to Jera
Woodside Energy Group to a $1.4-billion deal to sell a 15.1% stake in its flagship Scarborough liquefied natural gas project to Jera Co., Japan’s biggest power producer, as consumers aim to secure long-term supply.
The accord includes a $740-million purchase price and reimbursement for expenditure on the project off the coast of Western Australia, the Perth-based supplier said Friday in a statement. It follows the sale last year of a 10% stake in the controversial development to LNG Japan, owned by trading houses Sumitomo and Sojitz.
Jera’s purchase “is a further demonstration of the importance of the project to Japanese customers and confidence in long-term demand,” Woodside CEO Meg O’Neill said in the statement.
Woodside rose 0.8% as of 12:48 p.m. in Sydney, reversing an earlier decline of as much as 1.7%.
Scarborough, which is scheduled to deliver first LNG shipments in 2026, is forecast to produce as much as 8 million tons of the fuel a year. The project has become a major focus for climate activists opposed to the development of new fossil fuels projects.
Woodside also entered a non-binding agreement for Jera to purchase six LNG shipments a year from its portfolio for 10 years from 2026, according to Friday’s statement.
Japan, the world’s second-biggest LNG buyer, is moving to secure more gas after the 2022 energy crisis pushed the government to press companies to lock in supply and invest in projects.
A recent decision by the US to pause approvals for future export projects also prompted some Japanese buyers to begin looking for alternative sources. Jera, one of the world’s biggest LNG importers, has said that the move could cause concerns for global energy security.
Comments
Research Reports
Projects
Latest News
Showroom
Our Easy Access Chute concept was developed to reduce the risks related to liner maintenance. Currently, replacing wear liners require that...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
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?
Receive 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)
➕
Recieve 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
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
