Woodside cuts production forecast on Wheatstone delays
Australia’s Woodside has narrowed its full year production guidance following a later than expected Wheatstone start-up.
Wheatstone, the giant multi-billion dollar LNG project began production in the second week of October.
The start-up of the giant Chevron-operated LNG development had been planned for year-end 2016, only to be put off for mid-2017 in February 2016.
Then in July 2017, Woodside said the start-up was imminent. Chevron CEO John Watson then late in July said first production from the Wheatstone LNG Project is expected next month, meaning August.
However it would turn out that the project, developing four gas fields offshore W. Australia would not start producing before October 9.
Thus, presenting its quarterly result on Thursday, Woodside said its 2017 production guidance was narrowed to 84–86 MMboe, “principally due to timing of the start-up of Wheatstone LNG Train 1.”
Woodside’s overall production in the quarter was 20,308,189 Boe, down from 25,201,918 Boe in the third quarter of 2016. Year to date production by September 30 was 62,262,880 Boe.
Revenue was $1 billion, down from $1,05 billion in the corresponding quarter of 2016. Worth noting, the company’s revenue was up compared to the second quarter 2017 revenue of $923.5 million.
Offshore Energy Today Staff