Woodside Wraps Up 15.1% Scarborough Stake Sale to JERA for $1.4B
October 31, 2024
Woodside has completed the sale of a 15.1% non-operating participating interest in the Scarborough joint venture to JERA, Japan’s largest power generation company, for approximately $1.4 billion.
The Scarborough joint venture includes the Scarborough gas field and associated offshore and subsea infrastructure. Woodside holds a 74.9% interest in the Scarborough joint venture and will remain as operator.
The Scarborough field is located approximately 375 km off the coast of Karratha, Western Australia and the reservoir contains less than 0.1% carbon dioxide.
Scarborough gas will be processed at the Pluto LNG facility, where Woodside is currently constructing Pluto Train 2.
The Scarborough Energy Project, which comprises the Scarborough joint venture, the Pluto Train 2 Joint Venture and modifications to Pluto Train 1 to process Scarborough gas, was 73% complete at the end of September 2024. 7 Woodside is also the operator of Pluto LNG and Pluto Train 2.
“This latest sale of equity in Scarborough again underlines the long-term value Japanese customers like JERA are placing on gas and the significance of LNG in Japan and the region’s energy security. “In addition to supplying markets in north Asia the project will be an important source of gas for the domestic market in Western Australia.
“The team is delivering the Scarborough Energy Project to plan and work is now almost threequarters complete. We remain on track for targeted first LNG cargo in 2026,” said Meg O’Neill, Woodside CEO.
“JERA and Woodside share a determination to responsibly navigate the energy transition, with LNG set to be an essential ‘firming fuel’ across the world for many years to come – particularly in developing regions
“As population grows, so does the demand for energy and the first step in the energy transition for many countries is to make the move away from coal-fuelled power to LNG.
“JERA is directly involved in decarbonisation efforts in the Asian region, including projects in various stages of development to switch power plants from coal to LNG,” added Ryosuke Tsugaru, JERA’s Senior Managing Executive Officer and Chief Low Carbon Fuel Officer.
