Woodside Shelves Browse LNG Project

Woodside Petroleum has put on hold the development of the proposed 12 mtpa $40 billion Browse LNG project at James Price Point near Broome, Western Australia.

Company’s CEO and MD, Peter Coleman said that cost escalation has been such that the total costs for Browse have resulted in the current development concept not being commercial.

“Our decision is a commercial one. It is driven by commercial risk and reward considerations and the proposed concept does not provide the economic return required to proceed with the project,” Coleman said. Browse LNG has also faced strong opposition from environmental and indigenous groups. 

 The company has been considering the option of floating LNG technology which it will recommend to joint venture. Woodside has a 34% operating interest in the project.