Woodside and BP Sign Gas Supply Deal for Louisiana LNG

Woodside has signed an agreement with BP for the supply natural gas to the Louisiana LNG project.

The agreement represents the first tranche of a diversified portfolio of feedgas that will support the Louisiana LNG project, enabled by the project’s extensive interconnectivity to multiple producing basins and interconnecting pipelines.

Under the agreement, Louisiana LNG Gas Management LLC (GasCo), a wholly owned subsidiary of Louisiana LNG, has committed to purchase on a long-term basis up to 640 billion cubic feet of gas from BP for an ultimate delivery to Line 200 beginning in 2029.

GasCo will be responsible for implementing the gas sourcing strategy to support the Louisiana LNG project, according to Woodisde.

On April 29, Woodside made final investment decision (FID) to the three-train, 16.5 million tonne per annum (Mtpa) Louisiana LNG project, targeting the first LNG in 2029.

“Louisiana LNG is a compelling investment, expected to deliver significant cash generation and create long term shareholder value. Securing this gas supply agreement is an important step for the project.

“Woodside has a long history of successful collaboration with BP. By drawing upon BP’s experience with MiQ certificates, we can access verifiably low methane intensity molecules for the Louisiana LNG project. This supports Woodside’s goals as a member in the UN Environment Programme’s OGMP 2.0 initiative,” said Meg O’Neill, Woodside’s CEO.