Australian LNG player Woodside has priced $3.5 billion of senior unsecured bonds in the US market.
Woodside said in a statement the bonds will be issued by its unit Woodside Finance under the registration statement which was filed with the US Securities and Exchange Commission in February 2024.
Moreover, the bond offering consists of $0.5 billion of three-year bonds with a coupon of 4.9 percent, $1.25 billion of five-year bonds with a coupon of 5.4 percent, $0.5 billion of seven-year bonds with a coupon of 5.7 percent, and $1.25 billion of ten-year bonds with a coupon of 6 percent.
According to Woodside, the firm will use the funds for general corporate purposes.
Woodside expects settlement of the bonds to take place on May 19, 2025, subject to customary closing conditions.
The Australian LNG player recently made a final investment decision to develop the three-train, 16.5 mtpa Louisiana LNG project, which it acquired from Tellurian last year.
The total capital expenditure for the LNG project, pipeline, and management reserve is $17.5 billion.
US private equity firm Stonepeak, as an investor in Louisiana LNG, will provide $5.7 billion towards the expected capital expenditure for the LNG project on an accelerated basis.
In addition to Stonepeak, Woodside just signed a non-binding collaboration agreement with Saudi Arabia’s energy behemoth Aramco to explore global opportunities.
This includes Aramco’s potential acquisition of an equity interest in and LNG offtake from the Louisiana LNG project.
