Woodside has finalised gasoline provide from the US and a gross sales deal to Germany in main strikes from its base enterprise of promoting WA gasoline to East Asia.
The Perth-based gasoline exporter will purchase 2.5 million tonnes of liquified pure gasoline a yr from an export terminal Commonwealth LNG is constructing on the Louisiana coast within the Gulf of Mexico.
The phrases of the 20-year deal beginning in mid-2026 are in keeping with a preliminary settlement signed in January.
Woodside CEO Meg O’Neill stated the settlement introduced on Monday offered the idea for a long-term partnership with Commonwealth LNG.
“The agreements safe for Woodside low-cost LNG volumes within the Atlantic Basin in a interval of anticipated robust demand as Europe seeks alternate options to Russian pipeline gasoline,” she stated.
Woodside will begin assembly that demand in January 2023 after its Singapore-based buying and selling arm finalised the sale of as much as 12 cargoes of LNG a yr to Europe for Germany’s Uniper till 2031 with a attainable extension to 2039.
O’Neill stated the greater than 0.8 million tonnes a yr of gasoline would assist Uniper’s clients diversify their power provide.
“It additionally displays the more and more interconnected nature of LNG commerce within the Atlantic and Pacific basins as world markets reply to power safety challenges,” she stated.
Each offers had been introduced on the day the worldwide gasoline business – revitalised by a war-fuelled worth surge – met on the Gastech convention in Milan.