Woodside HQ

Woodside in share sale, acquisition

Australia

MELBOURNE, February 14, 2018 – Woodside Petroleum announced a share sale worth AUD 2.5 billion (USD 1.97 billion) on Wednesday and separately said it had purchased ExxonMobil’s 50% stake in the Scarborough gasfield offshore Australia for USD 744 million.

The development of the field, which holds about 283 bcm (10 tcf) of gas, is estimated to cost up to USD 9.7 billion, Reuters reported.

 

Growing Chinese and other international natural gas demand justifies the acquisition, Woodside CEO Peter Coleman told the agency.

“The difference between supply and demand is opening up very, very quickly,” Coleman said.

After the deal closes, Woodside will own a 75% stake in Scarborough, with BHP Billiton (25%) as a partner. The gasfield is expected to feed the Pluto LNG plant in Western Australia.