Woodside has inked deals with Uniper to supply one million tonnes per annum (mtpa) of liquefied natural gas (LNG) from Louisiana and up to 1mtpa from its worldwide portfolio, Woodside Energy Trading Singapore, signalling robust global LNG demand.
Woodside CEO Meg O’Neill said the deals mark an important step towards the final investment decision (FID) for the Louisiana LNG project.
Louisiana LNG will provide 1mtpa of LNG on a free-on-board basis for up to 13 years following the commencement of its commercial operations.
Neill added: “We are delighted to advance our long-standing relationship with Uniper through these milestone supply agreements. Uniper’s commitment speaks volumes about Woodside’s track record as a trusted LNG provider, built on decades of delivering reliable and flexible supply solutions for our global partners.
“Louisiana LNG is Woodside’s largest growth project. It leverages the robust US gas resource, an outstanding site, best-in-class EPC [engineering, procurement and construction] and technology partners, and Woodside’s track record of successful project delivery.
"The addition of Atlantic Basin LNG supply to our established position in the Pacific strengthens Woodside’s portfolio and allows us to tailor contract structures based on various price indices and tenures to better meet our customers’ diverse needs.”
Furthermore, Woodside Energy Trading Singapore will deliver up to 1mtpa of LNG from Woodside’s international portfolio into Europe, starting from the operational date of Louisiana LNG and extending until 2039.
The execution of these sale and purchase agreements is contingent upon Woodside's FID regarding the proposed 16.5mtpa foundation project of Louisiana LNG, which comprises three production trains.
Uniper CEO Michael Lewis said: “We are very pleased to secure additional LNG supplies for our customers in Europe from a reliable LNG supplier like Woodside. This deal will support our security of supply and flexible generation strategy together with the potential development of additional gas-fired power plants in Germany to complement the renewable build-up.
"Woodside is one of our biggest LNG suppliers globally with a solid track record of deliveries of LNG to us from their existing projects.”
Woodside has also entered into a binding agreement to divest a 40% interest in the Louisiana LNG infrastructure in the Gulf Coast LNG corridor to Stonepeak.
