Quick Take: Woodside 2Q26 - Scarborough LNG approaches the finishing line

Research evidence excerpt

Quick Take: Woodside 2Q26 - Scarborough LNG approaches the finishing line

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or around 0.75MTPA. The interconnector contributed 5.4MMboe of Pluto gas processed in 1H23.

• Calypso: Calypso which is an offshore gas development in Trinidad. The project has sizable gas resources with option to

sell gas to backfill Atlantic LNG or to nearby petrochemical facilities. No FID date has been determined although it is close

to ready.

• New Energy: Woodside will invest US$5bn in low carbon projects through to the end of the decade (20% of capex over

next 7 years). This includes the $2.3bn for OCI Ammonia plant. H2OK is the first commercial project located to serve

heavy-duty trucking customers along key US transport corridors. With government incentives, Woodside expects the

project to be close to diesel parity. The project will cost US$0.8-1.0bn in the US which is targeting 60TPD or 21.9M

KG per year of H2. With a US$3/kg green hydrogen tax credit, this could generate US$65M p.a. alone. Woodside has

completed FEED and has awarded contracts for alkaline electrolyser equipment and liquefaction units. The project will

require 200MW of power. The company continues to progress regulatory approvals, costs, advancing customer offtakes.

Decision to take FID is currently pending clarity on government incentives and finalization of offtake agreements.

• CCS: Woodside is looking at a number of CCS portfolio options. CCS will be included in the Browse development concept

before taking FID. Other options include South East Australia CCS, Northern Carnarvon CCS and Bonaparte CCS will

provide CCS as sequestration services for industrial users.

• Net debt is expected to rise with net gearing targeted to peak in 2027

ASIA-PACIFIC OIL & GAS 3