RCS - Woodside Petroleum - First Quarter 2022 Report
26/04/2022 09:00
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220426:nRSZ3462Ja&default-theme=true
RNS Number : 3462J Woodside Petroleum Ltd 26 April 2022
Announcement
Woodside Petroleum Ltd.
Tuesday, 26 April 2022 ACN 004 898 962
Mia Yellagonga
ASX: WPL 11 Mount Street
OTC: WOPEY Perth WA 6000
Australia
T +61 8 9348 4000
www.woodside.com.au
FIRST QUARTER REPORT FOR PERIOD ENDED 31 MARCH 2022
Performance
· Delivered production of 22.3 MMboe, down 1% from Q4 2021.
· Delivered sales volume of 25.5 MMboe, including a 2% increase in
produced LNG sales volume from Q4 2021.
· Average realised price increased to $93 per barrel of oil
equivalent, up 3% from Q4 2021.
· Delivered sales revenue of $2,355 million, down 17% from Q4 2021
on lower trading activity.
Highlights
· Commenced processing of Pluto gas at the Karratha Gas Plant (KGP)
following the start-up of the Pluto-KGP Interconnector pipeline.
· Achieved steady state operations for Julimar-Brunello Phase 2,
and in April Greater Western Flank Phase 3 achieved ready for start-up.
· Signed binding agreements for long-term charter hire of three
new-build LNG carriers to be delivered ahead of Scarborough's first cargo
targeted in 2026.
· Released shareholder materials in April, ahead of the shareholder
vote on 19 May to approve the proposed merger with BHP's petroleum business.
Filed regulatory documentation in April for listings with the London Stock
Exchange and the New York Stock Exchange.
Woodside CEO Meg O'Neill said the first quarter continued strong revenue
performance with an increase in produced LNG sales volumes and $2.36 billion
of sales revenue.
"The implications of Russia's invasion of Ukraine have reverberated globally,
exacerbating already tight energy markets, particularly for LNG. This has
resulted in unprecedented volatility and price spikes to levels not seen since
the early part of last decade.
"Revenue was buoyed by a strong average realised portfolio price of $93 per
barrel of oil equivalent, despite overall lower sales volume due to reduced
trading activity in the currently volatile global energy market.
"We expect in the second quarter to see the continued benefit of stronger
pricing, reflecting the oil price lag in many of our LNG contracts.
"In April, significant milestones were achieved in the lead up to the
shareholder vote on Woodside's proposed merger with BHP Petroleum.
"We believe the case for the proposed merger with BHP Petroleum is compelling.
It will bring together the best of two successful organisations and deliver
the increased scale, diversity and resilience to provide value to shareholders
and ensure Woodside better navigates the energy transition.
"The Woodside Board unanimously recommends shareholders vote in favour of the
merger.
"The Explanatory Memorandum and Independent Expert Report, which concluded
that the proposed merger is in the best interests of Woodside shareholders,
were issued earlier this month ahead of the vote, scheduled for our Annual
General Meeting on 19 May. Also in April, Woodside filed the required
regulatory documents for our secondary listings in New York and London, which
are expected to become active on completion of the proposed merger, targeted
for 1 June 2022.
"Work on our Scarborough and Pluto Train 2 projects began to ramp up during
the first quarter with Bechtel, the engineering, procurement, construction and
commissioning contractor for Pluto Train 2, beginning major civil works for
the construction accommodation village in Karratha.
"Manufacture of the Scarborough pipeline commenced, and we also exercised a
contractual option to fabricate the Scarborough subsea structures in Western
Australia.
"Looking ahead, Woodside has signed binding agreements for the long-term
charter of three new-build LNG carriers to be delivered prior to the start-up
of Scarborough. The new vessels will improve the cost-competitiveness and fuel
efficiency of the Woodside fleet.
"In Senegal, the Sangomar Field Development Phase 1 is now more than 50%
complete and remains on track for targeted first oil in 2023. Subsea equipment
fabrication is progressing, and the second drillship, the Ocean BlackHawk, is
scheduled to commence activities in mid-2022.
"An important transition point in the history of the North West Shelf Project
was realised in March with the start-up of the Pluto-Karratha Gas Plant (KGP)
Interconnector pipeline, for the first time enabling processing of third-party
gas at Australia's largest LNG production facility.
"The start-up of the Pluto-KGP Interconnector supports the accelerated
production of gas from the first phase of Pluto's Pyxis Hub, which is now
operating and achieving targeted gas flow rates and in recent days the first
LNG cargo produced through the Interconnector was loaded.
"Julimar-Brunello Phase 2 is now in steady state operations and in April, the
North West Shelf's Greater Western Flank Phase 3 project achieved ready for
start-up ahead of schedule.
"During the quarter we released our Climate Report 2021 which outlines our
response to climate change and our strategy to thrive through the energy
transition as a low-cost, lower-carbon energy provider.
"Work has also continued on Woodside's new energy opportunities. Our
collaboration with Heliogen has also deepened with our agreement to deploy a 5
megawatt electric module of the US company's AI-enabled concentrated solar
energy technology in California, as well as jointly market Heliogen's
renewable energy technology in Australia.
"We have launched a carbon capture and utilisation (CCU) collaboration with
US-based technology developers ReCarbon and LanzaTech to investigate the
viability of a proposed CCU pilot facility in Perth," she said.
The First Quarter 2022 Report is attached to this announcement and will be
available on Woodside's website at
https://www.woodside.com.au/media-centre/announcements
(https://www.woodside.com.au/media-centre/announcements) and on the National
Storage Mechanism at https://data.fca.org.uk/#/nsm/nationalstoragemechanism
(https://data.fca.org.uk/#/nsm/nationalstoragemechanism) .
http://www.rns-pdf.londonstockexchange.com/rns/3462J_1-2022-4-26.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/3462J_1-2022-4-26.pdf)
Contacts:
INVESTORS MEDIA
Damien Gare Christine Forster
W: +61 8 9348 4421 M: +61 484 112 469
M: +61 417 111 697 E: christine.forster@woodside.com.au
E: investor@woodside.com.au
This ASX announcement was approved and authorised for release by Woodside's
Disclosure Committee.
This information is provided by Reach, the non-regulatory press release distribution service of RNS, part of the London Stock Exchange. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
Reach is a non-regulatory news service. By using this service an issuer is confirming that the information contained within this announcement is of a non-regulatory nature. Reach announcements are identified with an orange label and the word “Reach” in the source column of the News Explorer pages of London Stock Exchange’s website so that they are distinguished from the RNS UK regulatory service. Other vendors subscribing for Reach press releases may use a different method to distinguish Reach announcements from UK regulatory news.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END NRAFIFVRSDIRFIF