Woodside Partners with Stonepeak in $5.7B Louisiana LNG Deal

About Woodside Energy Group Limited

Woodside Energy Group Ltd (ASX: WDS) is a leading Australian oil and gas company engaged in the exploration, development, production, and sale of hydrocarbons. Established in 1954, Woodside has grown to become a significant player in the global energy market, with operations spanning Australia, the United States, and other international locations. The company’s portfolio includes liquefied natural gas (LNG), natural gas, condensate, and crude oil projects.

Strategic Partnership With Stonepeak

In April 2025, Woodside announced a strategic partnership with Stonepeak, a U.S.-based investment firm managing approximately $72 billion in assets. Under this agreement, Stonepeak will acquire a 40% stake in Woodside’s Louisiana LNG project and contribute $5.7 billion towards its development. This partnership aims to enhance the project’s financial viability and accelerate its progress towards a final investment decision. Woodside will retain a 60% stake and continue to seek additional partners to further reduce its equity in the project to around 50%.

Record Production And Financial Performance

Woodside achieved a record annual production of 193.9 MMboe in 2024, driven by outstanding performance from the Sangomar field, which produced 75,000 barrels of oil equivalent per day in the fourth quarter. Despite this production success, the company reported a 13% decline in underlying net profit after tax, amounting to $2.88 billion. This decrease was primarily due to lower realised prices for oil and gas, influenced by significant geopolitical events and reduced demand from key consumers such as China. The average realised price for Woodside’s products was $63.60 per barrel of oil equivalent, down 7% from the previous year

Sustainability Initiatives And Climate Strategy

Woodside has outlined a comprehensive sustainability strategy focused on reducing net equity Scope 1 and 2 greenhouse gas emissions. The company aims to invest in products and services that facilitate the energy transition, integrating climate considerations into its governance and executive remuneration frameworks. This approach seeks to balance ambition with discipline, responding to investor feedback and enhancing transparency in sustainability reporting.

Annual General Meeting And Shareholder Engagement

The company’s Annual General Meeting (AGM) is scheduled for 8 May 2025, to be held at the Crown Ballroom at Crown Towers, Burswood, Western Australia, and online. Shareholders will have the opportunity to discuss key issues, including the company’s climate strategies and director elections. The Australasian Centre for Corporate Responsibility (ACCR) has expressed opposition to the election of certain directors, citing concerns over financial underperformance and management of climate risks.

Outlook And Future Plans

Looking ahead, Woodside’s production guidance for 2025 is set between 186 and 196 MMboe. The company plans to continue its focus on LNG projects, with ongoing developments in the Scarborough and Trion projects, aiming for first LNG production in 2026 and first oil in 2028, respectively. Additionally, Woodside is advancing its Beaumont New Ammonia project, with Phase 1 startup targeted for late 2025

Woodside’s strategic initiatives, including partnerships and sustainability commitments, position the company to navigate the evolving energy landscape. By balancing operational excellence with environmental responsibility, Woodside aims to deliver value to shareholders while contributing to global energy needs.