Woodside closes stake sale in Gulf Fly LNG project

Australia’s energy giant Woodside has accomplished the sale of an interest in its liquefied pure gas (LNG) divulge in Calcasieu Parish, Louisiana, to Stonepeak, a Recent York-essentially based investment agency focusing on infrastructure and staunch resources.

Now that the transaction for the sell-down of stake in Louisiana LNG presented in April is finalized, Stonepeak owns a 40% interest in Louisiana LNG Infrastructure (InfraCo), while the last 60% is held by Louisiana LNG (HoldCo), the conserving company operated by Woodside.

Furthermore, the U.S. participant will present $5.7 billion in opposition to the anticipated capital expenditure for the foundation divulge of the project on an accelerated foundation and make a contribution 75% of the project capital expenditure in 2025 and 2026. 

Woodside disclosed having obtained a closing payment of approximately $1.9 billion, which reflects Stonepeak’s 75% portion of capex funding incurred since the transaction’s efficient date of January 1, 2025. 

Woodside’s CEO Meg O’Neill stated Stonepeak, which she believes is a quality associate, would add further worth to the Louisiana LNG project. She noted that the partnership reflects the attractiveness of Louisiana LNG, adding that it was once a key milestone in opposition to achieving a final investment resolution (FID). 

“The accelerated capital contribution from Stonepeak enhances Louisiana LNG project returns and strengthens our skill for shareholder returns forward of first cargo from the Scarborough Vitality Project in Western Australia, targeted for the second half of 2026. We proceed to perceive solid interest from additional seemingly companions in Louisiana LNG,” commented O’Neill.

The $17.5 billion final investment resolution for the project, made in leisurely April, is declared to be the superb single international inform investment in Louisiana’s history.

James Wyper, Stonepeak Senior Managing Director and Head of US Deepest Fairness, noted: “Louisiana LNG could be a timely and strategic addition to the US LNG export landscape because the enviornment’s seek recordsdata from for cleaner, more flexible and more sensible energy continues to develop. We stay up for contributing our abilities and capital to the reach and future operation of Louisiana LNG and are highly energised to proceed supporting the reach of unprecedented North American LNG infrastructure with world affect.”

Formerly is known as Driftwood LNG, the Louisiana LNG project is located shut to Lake Charles, Louisiana. It’s fully approved with an whole approved skill of 27.6 million tonnes each year (mtpa) all the device in which by 5 trains. The accredited foundation project involves three trains with a blended skill of 16.5 Mtpa.

Front-damage engineering construct (FEED) for the project is whole, and say construction has began on the project, which envisages the reach of 5 LNG flora by four phases. Bechtel is in price of the engineering, procurement, and construction (EPC) portion of the project.

Following the FID, Woodside inked loads of affords connected to the project. An settlement was once signed with BP for the latter to scheme gas to feed the Louisiana plant, and Aramco expressed its interest in the seemingly acquisition of an equity interest in an offtake from Louisiana LNG.

Final week, the Australian participant penned a heads of settlement (HoA) to scheme Petronas with 1 mtpa of LNG for 15 years, starting in 2028. The volumes would be supplied from Woodside’s world portfolio and could encompass the Louisiana LNG project.