Australia's Woodside Petroleum Ltd. has dropped plans to build an LNG export plant at Grassy Point on Canada's west coast, choosing to focus on another Canadian LNG project, Kitimat, run by Chevron Corp. (NYSE: CVX).
Woodside's rights to develop the Grassy Point LNG site, about 30 km north of Prince Rupert, expired on Jan. 15, and the company said on March 7 it had decided not to renew the agreement.
"The decision was made after careful consideration of our long-term development strategy in Canada," Woodside said in an emailed statement after the step was initially reported by Canada's Globe and Mail.
"We are focusing on the Kitimat LNG project in which we are a 50% partner with Chevron," Woodside said.
The company had done little work on the Grassy Point project to export up to 20 million tonnes a year of LNG, and did not mention it in growth plans outlined last May.
The decision to scrap Grassy Point adds to a string of LNG projects that have been delayed or shelved in Canada due to a global LNG supply glut.
Woodside flagged last year that Kitimat, which has a 20-year, 10 million tonnes a year export license, was part of its growth plans for beyond 2026.
Chevron is considering selling part of its stake in Kitimat, Reuters reported this week.
Recommended Reading
BP’s Kate Thomson Promoted to CFO, Joins Board
2024-02-05 - Before becoming BP’s interim CFO in September 2023, Kate Thomson served as senior vice president of finance for production and operations.
Magnolia Oil & Gas Hikes Quarterly Cash Dividend by 13%
2024-02-05 - Magnolia’s dividend will rise 13% to $0.13 per share, the company said.
TPG Adds Lebovitz as Head of Infrastructure for Climate Investing Platform
2024-02-07 - TPG Rise Climate was launched in 2021 to make investments across asset classes in climate solutions globally.
HighPeak Energy Authorizes First Share Buyback Since Founding
2024-02-06 - Along with a $75 million share repurchase program, Midland Basin operator HighPeak Energy’s board also increased its quarterly dividend.
Occidental Increases Annual Dividend by 22%
2024-02-11 - Occidental Petroleum Corp.’s newly declared dividend is at an annual rate of $0.88 per share, compared to the previous annual rate of $0.72 per share.