Woodside chief executive officer Meg O’Neill said sales revenue for the third quarter climbed 19 per cent compared to the preceding three months on the back of stronger average realised LNG prices.
O’Neill’s announcement was released with Woodside’s third quarter report, which detailed a sales revenue of $1,532 million – a 19 per cent increase from Q2 2021.
“Revenue from LNG sales during the period was 27 per cent higher than the second quarter despite production being impacted by planned maintenance activities at the North West Shelf Project and Pluto LNG,” said O’Neill.
“Our portfolio realised LNG price was $57 per barrel of oil equivalent and our strong realised oil price of $80 per barrel reflects continued demand for Vincent crude in oil blending markets.”
Global oil and gas prices have been on the up, underlining the rebound in demand as economic activity picks up following the COVID-19 pandemic.
“We expect in the fourth quarter to see the benefit of stronger pricing on our realised prices, reflecting the oil price lag in many of our contracts and recent increases in gas hub prices. Our production guidance remains unchanged at 90-93 MMboe. “
O’Neill added in her statement that the agreement to pursue a merger with BHP’s petroleum business is still proceeding as planned, and execution of a share sale agreement is expected in November.
“We are on track for our targeted final investment decision (FID) on the Scarborough and Pluto Train 2 developments before the end of this year,” she said.
In October, Woodside also announced its collaboration with Heliogen to begin procurement of a 5 megawatt commercial-scale demonstration facility using Heliogen’s AI-enabled concentrated solar technology.
Subscribe to Oil & Gas Today for the latest industry news.