Woodside Energy reported a 27 per cent profit increase in the first half of 2026, riding a wave of global volatility to a $2.4 billion half-year net profit result.
But the company is also set to embark on a cost-saving review of its business, targeting annual spending reductions of $US350 million from 2028.
Woodside also revealed it would conduct a strategic review of its $3.35 billion Beaumont new ammonia project, and has retired plans to spend $US5 billion on renewable projects by 2030 as part of its scope three emissions reductions target.
CEO Liz Westcott told investors that Beaumont was acquired in a "different global environment" and that all measures were on the table for the asset, including an asset sale.
Woodside’s half-year bottom line was heavily boosted by higher average realised prices for its products between the first halves of 2025 and 2026, a metric which gave it a $US755 million ($1.05 billion) uplift between the two periods.
Woodside sold its product for an average realised price of $US74 per barrel of oil equivalent in the first half of this year, up 20 per cent from the $US61.7/boe reported in the first half of 2025.
While much of its supply is contracted long-term, the Perth-headquartered company was able to lift the amount of gas it sold into spot markets or on short-term contracts through global gas hubs from 24.2 per cent of all gas sold in H1 2025, to 38.7 per cent.
Its profit came despite disruptions as a result of Tropical Cyclone Narelle and a planned shutdown at the Pluto facility in WA which impacted supply.
“During the half, the Middle East conflict disrupted the global supply of LNG and oil resulting in strengthening commodity prices and an increase in customer demand for products,” Woodside said in its half-year results release.
“Woodside’s Marketing and Trading division continued to optimise the portfolio to manage risk and maximise value while fulfilling customer commitments.”
Woodside’s operating revenue was up 13 per cent year-on-year, to $US7.4 billion.
Chief executive Liz Westcott said the result demonstrated Woodside’s resilience across its global portfolio.
Ms Westcott said the Scarborough project – next in line to supply LNG into the WA market – was now 98 per cent complete and expected to deliver first LNG in the final quarter of 2026.
“During the half, we completed all upstream infrastructure, and subsequent to the period, achieved ready for start-up and first gas at the floating production unit,” she said.
“Our focus remains on disciplined commissioning and start-up of all facilities to ensure safe and reliable operations from day one.”
Despite the strong half, Ms Westcott flagged the company would be looking to cut costs going forward.
“As we focus on Woodside’s next phase of disciplined delivery, we have announced a series of actions to lift performance and sharpen our focus on value,” she said.
“We have set an annual cost savings target of $[US]350 million from 2028 to be delivered through the structured review of our business.”
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