Woodside Energy expects 2025 oil and gas production at 186 mil-196 mil boe amid growth pursuits

Australia-based global oil and gas producer Woodside Energy said Jan. 22 its 2025 production guidance stands at 186 million-196 million barrels of oil equivalent, with LNG's share set to be about 40% and pipeline gas to be around 20%.

The latest guidance excludes volumes from the Beaumont New Ammonia project as the company simplifies part of its Australian portfolio and sharpens its focus on high-value core assets, Woodside Energy said in its fourth quarter ended Dec. 31 statement.

The forecast compares to the company's 2024 production of 142.4 million boe, according to previous quarterly releases.

The company expects around 28%-35% of its 2025 produced LNG to be sold at prices linked to gas hub indexes. Its total LNG production in Q4 was 51.4 million boe, up 7% year over year but 3% lower compared to the third quarter.

"We made important progress with our growth projects, including the arrival of the final Pluto Train 2 modules for our Scarborough Energy Project, which remains on track for first LNG in 2026," CEO Meg O'Neill said.

The Scarborough Energy project was 78% complete at the end of the quarter, it said. Woodside has completed the sale of a 15.1% non-operating participating interest in the Scarborough Joint Venture to Japan's JERA.

The company achieved the highest quarterly production of 3.1 million boe at Pluto LNG through the Pluto-KGP Interconnector for the year, it said.

The company has also received environmental approvals from the Western Australian government for the North West Shelf Project Extension.

"The extension is an important step in enabling the long-term processing of North West Shelf Joint Venture (NWS JV) field resources and third-party resources through the Karratha Gas Plant," Woodside Energy said, adding that the federal government approvals process is ongoing.

As part of the approval, the NWS JV committed to a range of environmental management measures, including a drastic curb in air emissions and greenhouse gas emissions management measures.

LNG Train 2 was taken offline as preparations for permanent retirement are underway, with the train retirement expected to cut emissions by about 300,000 mt/year of CO2 equivalent, it added.

The company has "progressed sell-down opportunities for Louisiana LNG" and received "strong interest" from potential project partners, targeting final investment decision readiness from the first quarter, it said.

Woodside has also simplified its Australian portfolio and consolidated its focus on operated LNG assets, by entering an asset swap with Chevron.

Woodside and Chevron agreed in December to an asset swap under which Woodside will acquire Chevron's interest in the North West Shelf Project, the NWS Oil Project and the Angel Carbon Capture and Storage Project and transfer all its interest in both the Wheatstone and Julimar Brunello Projects to Chevron.

Other projects

For Woodside, Sangomar produced 75,000 boe/d at 95% reliability, driving record annual production of 194 million boe. The company continued to expand the market for Sangomar crude, with the grade being supplied into the US for the first time in Q4, it said.

Mad Dog in the Gulf of Mexico also contributed strongly with a full year of Argos production at peak rates.

"The Trion Project has also transitioned into the construction phase, with the first steel cut for the floating production unit, and we remain on track for 2028 first oil," it added. The project is presently 20% complete.

"Preliminary data shows a 14% reduction in our net equity Scope 1 and 2 emissions in 2024, from our stated starting base," the company also said.

Woodside has decided to take a "disciplined approach to H2OK and has made a strategic decision to delay FID," prioritizing the Beaumont New Ammonia project. Phase 1 of Beaumont New Ammonia project is on track for startup in the second half of the year, it said.

Woodside concluded its collaboration with Heliogen on Project Capella and it continues to evaluate opportunities for further collaboration in deploying concentrated solar power technology, it said.

It completed the appraisal campaign for the proposed Bonaparte carbon capture and storage project, with the successful drilling of two appraisal wells and the acquisition of West Peron Marine 3D Seismic Survey.