Woodside Secures Up To 2 Mtpa LNG Offtake With Uniper Ahead of Final Louisiana FID

Woodside Energy Group Limited (NYSE:WDS) on Thursday disclosed that it penned LNG sale and purchase agreements with Uniper SE (OTC:UNPRF).

Under the agreements, Louisiana LNG LLC will provide 1.0 Mtpa of LNG on a free-on-board (FOB) basis for up to 13 years starting from the commercial operations date (COD) of the Louisiana LNG project.

Additionally, Woodside Energy Trading Singapore Pty. Ltd. will deliver up to 1.0 Mtpa of LNG into Europe on a delivered ex-ship (DES) basis, beginning with Louisiana LNG's COD and continuing through 2039, drawing from Woodside's global portfolio.

Also Read: Chart Industries Lands LNG Deal: Powering Woodside Energy's Louisiana Expansion

Woodside CEO Meg O'Neill described the deals as a significant step forward in advancing the Louisiana LNG project toward a final investment decision (FID).

These agreements remain subject to Woodside's FID on the proposed three-train, 16.5 Mtpa foundation development of Louisiana LNG.

O'Neill added, "Louisiana LNG is Woodside's largest growth project. It leverages the robust US gas resource, an outstanding site, best-in-class EPC 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."

Michael Lewis, Uniper CEO, added, "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."

This month, Woodside inked a binding deal to sell a 40% stake in Louisiana LNG Infrastructure LLC to Stonepeak. As per the deal, Stonepeak plans to invest $5.7 billion in the development of the three-train, 16.5 mtpa foundation phase of Louisiana LNG.

Price Action: WDS claims are up 3.62% to $12.89% at the last check on Thursday.

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