Woodside Energy 2Q Output Falls, Scarborough Development Costs Rise

By David Winning

SYDNEY--Woodside Energy reported a 1% sequential fall in quarterly oil and natural gas production, while unveiling an increase to the cost of developing its flagship Scarborough energy project offshore Australia.

Woodside said it produced 44.4 million barrels of oil equivalent in the three months through June, lower than output of 44.9 million BOE in its fiscal first quarter. The decline reflected bad weather affecting the North West Shelf liquefied natural gas facility and unplanned outages at the Wheatstone and Julimar projects.

Quarterly sales revenue totaled $3.03 billion, up 2% on the first three months of 2024. The improvement was due mainly to the timing of LNG cargoes from its Pluto facility, partially offset by lower realized prices, Woodside said.

Woodside said total construction costs at Scarborough, which is 67% complete, had risen by $500 million to a new estimate of $12.5 billion. That means its share of development costs is now $8.2 billion, with the increase "significantly driven by scope maturation of the Pluto Train 1 modifications project," Woodside said.

Write to David Winning at david.winning@wsj.com

(END) Dow Jones Newswires

July 22, 2024 19:32 ET (23:32 GMT)

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