Australia: Woodside Revenues Up 20 Percent

Woodside of Australia said its sales revenues were up 20% in the first quarter of 2012 compared to the corresponding quarter in 2011 despite production volumes being 10% lower.

The stronger revenues were a result of higher realised prices and timing of cargoes.

Production was 15% lower than the previous quarter but with higher realised prices and timing of cargoes, revenues were only 3% lower.

First quarter production of 14.1 MMboe was impacted by planned NRB redevelopment activities and higher than expected cyclone activity in Q1 2012.

Tropical cyclones Heidi, Iggy and Lua impacted the Vincent, Enfield, Stybarrow and North West Shelf operations throughout the quarter. In addition, the Q1 2012 production did not have the benefit of the Gulf of Mexico Shelf assets (divested 1 May 2011) or Ohanet production (contract expired 27 October 2011).

Woodside achieved key milestones during the first quarter, including the commissioning of the Pluto LNG plant with first gas entering the processing train on 22 March. The operations team has assumed control of the plant.

Pluto LNG is set to significantly boost Woodside’s annual production. The North West Shelf North Rankin Redevelopment Project also made significant progress during the quarter.

The North Rankin B (NRB) topsides were successfully installed, as were the two 100 metre bridges connecting the North Rankin A and B platforms.

Woodside CEO Peter Coleman said these achievements are a clear demonstration of Woodside’s ability to deliver complex, large-scale projects.

“The float over of the NRB topsides is one of the world’s largest heavy-lifts in open water and a great technical success for Woodside,” Mr Coleman said.

“Pluto has safely reached start-up and we look forward to our first LNG cargo. Pluto will add to the solid production base of our foundation projects, which achieved sales revenue of nearly US$1.2 billion during the quarter. This revenue was achieved despite lower than anticipated production, which was adversely impacted by cyclones. We remain on track to deliver our full-year production target of 73 to 81 MMboe.”

[mappress]

LNG World News Staff, April 19, 2012