Oz Woodside's 4Q Revenue Up

Australia’s Woodside January 17 said its revenue during the three months that ended December 31 (4Q2018) rose 43% year-on-year to US$1.42bn thanks to higher production and prices.

Woodside’s 4Q production was 24.1 million barrels of oil equivalent, up 10% on year; while output for the full year was 91.4mn boe, up 8% on 2017. Its full year revenue was US$5.2bn, up 32% on year.

Woodside CEO Peter Coleman said the base business turned in another strong performance in 4Q, with Wheatstone’s production continuing to exceed expectations and Pluto achieving 99.7% reliability.

“A highlight of the quarter was the start-up of the Greater Western Flank Phase 2 project in October, six months ahead of schedule and US$630 million under total budget,” he said. “In addition to the outstanding result in delivering Greater Western Flank Phase 2, we achieved significant milestones in the development of our next wave of projects, which will underpin Woodside’s future growth.”

Woodside is proposing a brownfield expansion of the Pluto LNG facility, including construction of a second LNG train with a targeted capacity of 5mn mt/yr, to facilitate development of the Scarborough gas resource. The company is also undertaking the Browse to North West Shelf project. The plan is to produce gas from the offshore Browse area through the gas production vessels (FPSOs) and then pipe it for processing to the existing onshore North West Shelf liquefaction complex.

Coleman further said that Woodside is converting the preliminary agreement signed in Q4 2018 to a fully-termed, binding agreement for the processing of Browse gas through the North West Shelf’s Karratha gas plant.

Meanwhile, the company said it expects 2019 annual production to be between 88mn boe and 94mn boe. Woodside said its investment expenditure for 2019 is expected to be between US$1.6bn and US$1.7bn.