Woodside Energy Signs EPC Contract for Louisiana LNG Project

SINGAPORE (Reuters) – Australia's Woodside Energy Group has announced that it has signed an engineering, procurement, and construction (EPC) contract with U.S. engineering firm Bechtel to develop the Louisiana liquefied natural gas (LNG) project.

The EPC contract will encompass the foundation development for three production trains with a total capacity of 16.5 million tons per annum.

Woodside aims to make a final investment decision (FID) by the first quarter of 2025. The Louisiana LNG expenditure from December to the end of the first quarter of 2025 is projected to reach up to $1.3 billion, which is included in the total estimated cost for the foundation development.

The estimated cost for the project's foundation development remains at $900-$960 per ton of LNG, consistent with the range noted during its acquisition.

After completing a $1.2 billion acquisition of developer Tellurian Inc in October, Woodside fully owns the Louisiana LNG project and is looking to sell a 50% stake. The project has a total permitted capacity of 27.6 million tons per annum.