Woodside Energy enjoyed a 28 per cent revenue bump last quarter, as global energy market turmoil pushed prices for its uncontracted products higher.
Meanwhile, a new phase of drilling at the North West Shelf project is expected to add new supply to Woodside’s WA assets from 2028, while the Scarborough project is closing in on production.
The average realised price of Woodside’s product was up 35 per cent over the three months to the end of June, coming in at US$85 per barrel of oil equivalent.
That pushed Woodside’s three-month operating revenue to US$4.18 billion ($6 billion), leveraging its 30 per cent exposure to global gas hubs where fuel is traded at spot prices.
The remaining proportion of Woodside’s oil and gas portfolio is sold through longer-term contracts.
Woodside chief executive Liz Westcott said the company had sustained its operational portfolio through the period and reaped the benefit.
“Strong realised prices supported earnings and cash generation, highlighting the resilience of our diversified portfolio amid ongoing macroeconomic and commodity price volatility,” she said.
Woodside also narrowed its full-year guidance range, from between 172 and 186 million barrels of oil equivalent to 174-185MMboe.
Performance across the Woodside asset portfolio was driven by the Sangomar project in Senegal, which achieved 99 per cent operational availability and produced at near nameplate capacity.
The Scarborough project off the WA coast was reported to be 98 per cent complete, while the North West Shelf and Pluto LNG projects performed at more than 97 per cent reliability.
The contract for the $700 million North West Shelf’s Greater Western Flank phase 4 project was awarded during the quarter, with drilling to begin in the second quarter of next calendar year and production targeted in 2028.
Subsea construction was completed on the Julimar development phase 3 project, and decommissioning of the Julimar-Brunello exploration wells – a condition precedent to Woodside’s plan to swap assets with Chevron – is now underway.
US progress
A lack of feedstock at the $3.3 billion Beaumont new ammonia project hampered output during the quarter.
Beaumont, which was a development asset when it was acquired by Woodside from OCI in 2024, is dependent on third party feedstock availability.
Beaumont planned to source feed from a facility being built by Linde, and Woodside has previously pushed back blue hydrogen targets at the project because of carbon capture development delays at an ExxonMobil facility.
“Interim feedstock arrangements are expected to remain in place into 2027, pending progress on long-term third-party feedstock infrastructure,” Woodside said.
Beaumont’s production was constrained to 69 per cent of its nameplate capacity as a result.
Its blue hydrogen target – originally slated for 2026 – is still set for next year pending progress on the Linde and ExxonMobil projects.
The Louisiana LNG project is now 28 per cent complete, with its first train 35 per cent complete.
The company revealed contractor Bechtel had been impacted by geopolitical turmoil during the period, with structural steel deliveries hit from disruption in the Strait of Hormuz.
“Mitigation measures are being implemented, including alternative logistics routes and fabrication sources, to support continuity of steel supply and maintain planned construction schedules beyond 2026,” it wrote.
Woodside said it remained in discussions with “high-quality counterparties” for both equity participation and LNG offtake at Louisiana.
First LNG is slated for 2029.
