Woodside’s triple LNG trial
01 February 2012
With three LNG-export projects in the pipeline, Australia’s Woodside faces some tough decisions as costs and complications escalate, reports Damon Evans
IT’S CRUNCH time for a string of liquefied natural gas (LNG) developments in Australia, as local firm Woodside seeks solutions for its overflowing project book. The Perth-based company faces three LNG conundrums: new chief executive Peter Coleman must solve how to expand the delayed Pluto project; develop the proposed Browse LNG scheme; and advance the stalled Greater Sunrise development.
Woodside has hinted that expanding the 4.3 million tonnes a year (t/y) Pluto development will be tricky without sourcing third-party gas supply. Pluto remains in orbit, with the focus on building the first stage and shipping the first cargo before evaluating what gas is available to double the project’s production capacity, either with Woodside’s own gas, or, more likely, supplies sourced from elsewhere – possibly involving an equity sell-down in exchange for reliable gas supplies.
More recently, the firm has forged ahead with its proposal to sell...