Woodside, Jera wrap up Scarborough stake sale

The completion follows Woodside’s announcement in February that it had broadened its strategic relationship with JERA through a transaction that included equity in the Scarborough JV and LNG offtake.

Woodside said on Thursday that the company’s sale proceeds of about $1.4 billion for equity in the JV comprise the purchase price and reimbursed expenditure.

The company holds a 74.9 percent interest in the JV and will remain as operator.

Earlier this year, Woodside also completed the sale of a 10 percent non-operating participating interest in the JV to LNG Japan.

Woodside CEO Meg O’Neill welcomed Jera to the JV.

“This latest sale of equity in Scarborough again underlines the long-term value Japanese customers like Jera are placing on gas and the significance of LNG in Japan and the region’s energy security.

In addition to supplying markets in north Asia the project will also deliver gas to the
domestic market in Western Australia.

“The team is delivering the Scarborough energy project to plan and work is now almost three-quarters complete. We remain on track for targeted first LNG cargo in 2026,” O’Neill said.

$12.5 billion

In November 2021, Woodside took a final investment decision on the Scarborough and Pluto LNG Train 2 developments.

The projects also include new domestic gas facilities and modifications to the first train.

Woodside’s Pluto LNG terminal currently has one train with a capacity of 4.9 mtpa and Woodside and US engineer Bechtel started building the second Pluto train last year.

Pluto Train 2 will get gas from the Scarborough gas field, located about 375 km off the coast of Western Australia, through a new trunkline long about 430 km.

At the end of the third quarter, Woodside’s Scarborough and the second Pluto LNG train project were 73 percent complete.

Woodside also said the project’s price tag rose 4 percent to $12.5 billion from $12 billion.