Woodside Energy’s Major LNG Investment Secures U.S. Energy Future
Woodside Energy Group (WDS) has made its final investment decision on a $17.5 billion liquefied natural gas (LNG) export project in Louisiana, positioning itself as a top player in the global LNG market. This decision marks a major milestone for the Australian company and strengthens the U.S.’s position as the world’s leading LNG supplier.
The approval clears the path for the construction of the Louisiana LNG plant, which is expected to begin shipments by 2029. This development will see Woodside contributing over 5% of the global LNG supply by the 2030s.
A Landmark Investment for Louisiana and the U.S. Energy Sector
The Louisiana LNG project represents the single largest foreign investment in the state’s history, according to Woodside. The announcement is likely to be well received by President Donald Trump, who has consistently pushed for increased U.S. energy exports. The Louisiana LNG facility is a key part of the Trump administration’s broader agenda to make the U.S. a dominant force in the global energy market.
“Louisiana LNG is a game-changer for Woodside, positioning us as a global LNG powerhouse,” said Woodside CEO Meg O’Neill. “The facility will leverage Woodside’s established expertise in LNG marketing across both the Pacific and Atlantic Basins, complementing our strong position in Asia.”
Global LNG Demand and Strategic Partnerships
Woodside is focusing on securing long-term contracts, ranging from five to 20 years, to enhance the flexibility of its global LNG supply. CEO O’Neill projects that global LNG demand will rise by 50% over the next decade, which bodes well for Woodside’s long-term prospects in the LNG export market.
In a competitive market, global LNG supply is expected to outpace consumption by 2027, potentially creating an oversupply situation by the decade’s end. This shift will further solidify Woodside’s commitment to fossil fuel production, despite growing concerns over climate risk.
Woodside’s Commitment to Expanding LNG Capacity
The Louisiana LNG facility will consist of three LNG production units, or trains, with a capacity of 16.5 million tons per year, with potential for expansion to 27.6 million tons. The project is a significant step in Woodside’s strategy to produce around 24 million tons of LNG annually across its global operations by the 2030s.
Woodside has sold 40% of Louisiana LNG Infrastructure LLC to Stonepeak, which has invested $5.7 billion in the project. The company took control of the project after acquiring developer Tellurian Inc. in 2024. Additionally, Woodside is currently in discussions with potential strategic partners, including Kuwait Petroleum Corp., which is exploring a possible stake in the project.
“We are in deep discussions with multiple parties as we speak,” O’Neill noted. “This is the moment for them to commit. The ship is sailing, and it’s time for others to get on board.”
Future of Woodside and U.S. LNG Exports
Woodside’s investment in the Louisiana LNG project highlights the growing influence of the U.S. in the global LNG market, driven by strategic energy projects and favorable political climates under the Trump administration. As Woodside and other companies continue to invest heavily in LNG infrastructure, the U.S. is poised to remain a dominant player in the energy sector for the foreseeable future.
