Woodside has completed the sale of a 10% non-operating participating interest in the Scarborough Joint Venture to L.J Scarborough Pty Ltd (LNG Japan), according to the company's release.
The completion follows Woodside's announcement on 8 August 2023 that it had established a strategic relationship with LNG Japan that involved three elements: equity in the Scarborough Joint Venture; potential LNG offtake; and collaboration on potential opportunities in new energy.
The sale proceeds received by Woodside of US$910 million for equity in the Scarborough Joint Venture comprises the purchase price, reimbursed expenditure and escalation.
Woodside holds a 90% interest in the Scarborough Joint Venture and will remain as operator. Following completion of the transaction with JERA announced on 23 February 2024, Woodside's interest will be 74.9% in the Scarborough Joint Venture.
The Scarborough Energy Project comprises the Scarborough Joint Venture, the Pluto Train 2 Joint Venture and modifications to Pluto Train 1 to process Scarborough gas. The Scarborough Joint Venture includes the Scarborough field and associated offshore and subsea infrastructure. The Scarborough field is located approximately 375 km off the coast of Western Australia and the reservoir contains less than in 0.1% carbon dioxide. Scarborough gas will be processed at the Pluto LNG facility, where Woodside is currently constructing Pluto Train 2. Woodside is operator of Pluto LNG and Pluto Train 2. In addition to the sale of a 10% non-operating participating interest in the Scarborough Joint Venture to LNG Japan, Woodside announced in February 2024 it had entered into a sale and purchase agreement with JERA for the sale of a 15.1% non-operating participating interest in the Scarborough Joint Venture.