https://www.miningweekly.com
Energy|Export|Gas|LNG|Power|PROJECT|Projects|SECURITY
Energy|Export|Gas|LNG|Power|PROJECT|Projects|SECURITY
energy|export|gas|lng|power|project|projects|security

Woodside to sell $1.4bn stake in key gas project to Jera

23rd February 2024

By: Bloomberg

  

Font size: - +

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.

Edited by Bloomberg

Comments

Showroom

Goodwin Submersible Pumps Africa (Pty) Ltd
Goodwin Submersible Pumps Africa (Pty) Ltd

Goodwin Submersible Pumps Africa is sole distributors for Goodwin electrically driven, submersible, abrasion resistance slurry pumps.

VISIT SHOWROOM 
SABAT
SABAT

From batteries for boats and jet skis, to batteries for cars and quad bikes, SABAT Batteries has positioned itself as the lifestyle battery of...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 19 April 2024
Magazine round up | 19 April 2024
19th April 2024
Resources Watch
Resources Watch
17th April 2024

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:0.207 0.248s - 107pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: