Woodside Energy has taken over as operator of the Gippsland Basin assets in south-eastern Australia from Esso Australia Resources, including the Gippsland Basin Joint Venture (GBJV) and Kipper Unit Joint Venture (KUJV).
The transition covers operatorship only, with both Woodside and Esso Australia Resources retaining their existing ownership stakes in the assets.
Each company continues to hold a 50% participating interest in the GBJV and a 32.5% interest in the KUJV.
The Gippsland Basin supplies around 40% of the gas demand on Australia's east coast and has been a major source of energy for the region for several decades.
All gas produced by Woodside in the Gippsland Basin is supplied to the Australian domestic market.
The assets include onshore and offshore facilities, with approximately 1,200 personnel supporting operations at locations such as the Longford Gas Plant and the Long Island Point processing facility.
Woodside CEO Liz Westcott said: “Today marks a new chapter for the Gippsland Basin joint ventures as Woodside assumes operatorship of these nationally significant energy assets, which play a critical role in supplying gas to Australian homes and businesses. As operator, Woodside’s focus is on maintaining safe, reliable operations and supporting continued energy security for the east coast.
“Our company was established more than 70 years ago and named after the small town of Woodside in Gippsland, where our founders first began exploring for oil. We are proud to be returning to Victoria as these assets’ operator and look forward to continuing to contribute to eastern Australia’s energy future.”
The transition was structured to ensure continuity of production, with existing Gippsland teams remaining in place.
Woodside has indicated it will apply its operating systems, governance and technical expertise to the assets, supporting ongoing production and future planning, including eventual decommissioning.
The company noted that ongoing investment and potential development opportunities could add up to 200 petajoules of additional gas supply for the east coast market, using existing infrastructure.
Woodside will continue to coordinate with regulators, joint venture (JV) partners, customers and local communities as it moves into the next phase of managing the Gippsland Basin assets.
The eastern Australian market, supplied in part by the Gippsland Basin, covers several states and territories including the Australian Capital Territory, New South Wales, the Northern Territory, Queensland, South Australia, Tasmania and Victoria.
Last month, Woodside exercised its pre-emption right to acquire PetroChina International Investment (Australia)’s 10.67% participating interest in the Browse JV.
