2023-08-08 07:27:05 ET
Woodside Energy ( NYSE: WDS ) said Tuesday it agreed to sell a 10% participating interest in the Scarborough liquefied natural gas project in Australia to Japan LNG in a deal worth an estimated US$880M.
Woodside ( WDS ) said the purchase price for the Scarborough interest is $500M, and LNG Japan will reimburse the company for its share of expenditure on the project since the start of last year, which brings the total consideration to $880M.
The two companies also entered an agreement for the sale and purchase of 12 LNG cargoes per year for 10 years starting in 2026; LNG Japan is a 50-50 joint venture between Sumitomo and Sojitz Corp.
Woodside ( WDS ) will continue to hold a 90% interest in the venture and remain its operator after the deal's completion, which is expected in Q1 2024.
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Woodside Energy sells 10% Scarborough stake to LNG Japan in $880M deal