Woodside LNG project in United States edges closer with Louisiana deal

The Australian Energy Giant Woodside is approaching the approval of a huge liquefied gas project in the United States, even if the prices of oil and gas are dived on fears that Donald Trump’s tariff war will release the economic turbulence and clear the demand for fuel.

WoodSide, the largest Australian oil and gas company, signed an agreement on Monday to sell a 40 % participation in the proposal of the Louisiana Louisiana natural gas export terminal in the Gulf of Mexico in exchange for $ 5.7 billion ($ 9.5 billion) to help finance the costs of the project.

The agreement, with the investor based in New York, Stonepeak, now would allow Woodside to “progress in peace” for a final investment decision on the terminal, said the CEO Meg O’Neill. If the project proceeds, one day it could offer more than double the current export volumes of the GNL of the vast Australian activities of WoodSide.

“This transaction further confirms the position of the Louisiana GNL as a global investment,” said O’Neill.

However, the news of the agreement came just when WoodSide, Santos and other oil and gas producers were affected by an important investor sell-off, dry billions of dollars from the value of their actionsAfter the oil price has sunk at a minimum of four years.

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The price of the reference oil of reference dropped by more than 10 % last week, before sliding further on Monday up to $ US63 per barrel, a level not seen since the arrests of Covidi from 2021 swept away the demand for petrol, diesel and fuel for the jet.

The prices of oil and gas were arriving under “serious pressure”, the analysts said, after the Trump administration imposed large rates that were much more steep than many expected and increased the threat of a total commercial war braking global economic growth. That pressure was aggravated by a surprise move by the cartel of the oil producers led by Saudi Arabia to increase production next month.

The drop in oil prices is bringing news for consumers welcome: cheaper prices in the bowser for petrol and diesel, both refined by crude oil and now they cost less to produce. Last week, the average lead price of lead without $ 1.79 per liter, the lowest was all year round.