BP has entered into a long-term agreement with Woodside Energy to supply natural gas to the Louisiana LNG development, according to an April 29 press release.

Woodside reached a $17.5 billion final investment decision for Louisiana LNG, located in Cameron Parish, on April 28.

Under the supply agreement, Louisiana LNG Gas Management LLC (GasCo), a wholly owned subsidiary of Louisiana LNG, has committed to purchase up to 640 Bcf of gas from BP for delivery to Driftwood Pipeline’s Line 200 beginning in 2029, the release stated.

Driftwood became a subsidiary of Woodside following its $900 million acquisition of Tellurian Inc.

Woodside said the agreement represents the first tranche of a portfolio of feedgas that will support the project, enabled by the development’s interconnectivity to multiple producing basins and interconnecting pipelines.

GasCo will be responsible for implementing the gas sourcing strategy to support the Louisiana LNG project.

Woodside’s CEO Meg O’Neill said the agreement marks another milestone for the Louisiana LNG project.

“Woodside has a long history of successful collaboration with BP,” O’Neill said. “By drawing upon BP’s experience with MiQ certificates, we can access verifiably low methane intensity molecules for the Louisiana LNG project.” 

O’Neill added that the supply contract supports Woodside’s goals as a member in the U.N. Environment Programme’s Oil & Gas Methane Partnership 2.0 initiative.

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