Woodside Energy Executes Pre‑emptive Right on Browse Gas Stake
Woodside Energy Ltd (ASX:WDS) announced that it has exercised a pre‑emptive right to acquire PetroChina Co Ltd’s (HK:0857) 10.67% stake in the Browse gas fields located off the coast of Western Australia. The purchase price is $225 million, and Woodside will also reimburse PetroChina for cash‑call contributions made since mid‑2025.
The acquisition prevents the stake from being sold to Japan’s Inpex Corp (TYO:1605). In addition to the $225 million payment, the agreement contains a contingent payment provision of up to $175 million payable to Inpex if the Browse venture reaches a final investment decision for the development of the Brecknock, Calliance and Torosa fields.
Following the announcement, Woodside’s share price declined by more than 2%, a movement further pressured by a contemporaneous fall in global oil prices. After completing the transaction, Woodside’s ownership in the Browse venture will increase to 41.27%.
Key Figures
- Stake purchased: 10.67% of Browse gas fields
- Purchase price: $225 million
- Contingent payment to Inpex: up to $175 million
- Revised Woodside ownership: 41.27%
- Share price reaction: >2% decline
- Cash‑call reimbursements: contributions since mid‑2025
Implications
The deal secures Woodside’s position in one of Australia’s largest undeveloped gas resources, while also limiting Inpex’s entry. The contingent payment ties future cash outflows to the successful progression of the Brecknock, Calliance and Torosa field developments.