Woodside Petroleum Ltd, Australia's biggest listed oil and gas explorer, said on Nov. 20 it had signed a 20-year gas supply deal with Perdaman Chemicals and Fertilisers Pty Ltd.
The agreement is to supply about 125 TJ of gas per day for use in Perdaman's proposed urea plant, and gas will be primarily sourced from Woodside's proposed Scarborough development, the company said in a statement.
The agreement follows a memorandum of understanding between the companies signed in April.
"This is a significant domestic gas sale and represents another step towards the delivery of the proposed Burrup Hub," said Woodside Chief Executive Officer Peter Coleman.
Western Australia-based Perdaman is proposing to build a two million tonnes-per-annum urea plant on the Burrup Peninsula.
Financial terms of the deal were not disclosed.
Earlier this year, Woodside defined plans to accelerate and expand its Scarborough gas project off northwestern Australia, now expected to cost $10 billion.
Recommended Reading
Eni Reports Discovery Offshore Mexico in Block 9
2024-07-10 - Italian energy giant Eni SpA announced a discovery at the Yopaat-1 EXP exploration well in the offshore Mexico Block 9 of the Cuenca Salina in the Sureste Basin, which potential up to 400 MMboe in place.
E&P Highlights: July 10, 2024
2024-07-10 - Here’s a roundup of the latest E&P headlines including TotalEnergies exiting South Africa to focus on opportunities in Namibia.
CNOOC’s Bohai Bay Well Achieves High Yield
2024-07-11 - CNOOC’s Bozhong 19-6 Condensate Gas Field D1 well, the first ultra-deep well in China’s Bohai Bay, is currently producing approximately 6,300 boe/d.
Goodbye Manual Control: Vital Energy’s Automation Program Boosts Production
2024-07-12 - Production, ESP efficiency soared when the company automated decisions with AI at the edge.
Southeast Asia NatGas Projects Could Unlock $100B Boom- Rystad
2024-07-17 - Southeast Asia's offshore gas industry is set for a $100 billion boom by 2028, driven by a flurry of final investment decisions by oil and gas majors and national oil companies, according to Rystad Energy.