Woodside in LNG supply deal

Energy giant Woodside Petroleum has signed an agreement for the supply of liquefied natural gas to an Indonesian corporation for an undisclosed sum.

In a brief statement today, Perth-based Woodside said it had signed a heads of agreement with PT Pertamina, an Indonesian state-owned oil and LNG corporation based in Jakarta, for the supply of LNG.

Under the deal, Woodside will supply between 500,000 and 1 million tonnes of LNG per annum from its LNG portfolio for between 15 and 20 years, starting in 2019.

“This HoA remains conditional upon negotiation and execution of a fully termed LNG sales and purchase agreement and obtaining all necessary approvals,” Woodside said in a statement.

Woodside shares were 4.1 per cent higher to $26.12 each ahead of the close of trade.