Woodside to supply LNG to China under 15-year agreement

Australia's Woodside has entered into a long-term sale and purchase agreement (SPA) with utility company China Resources Gas International (China Resources) for the supply of LNG to China.

The SPA provides for the supply of approximately 0.6 million tonnes of LNG per year over 15 years on a delivered basis, commencing in 2027.

This is the fourth agreement for long-term LNG sales into Asia signed by Woodside since the start of 2024. The three earlier agreements cover the supply of LNG to South Korea, Japan, and Taiwan.

"This marks the first time Woodside on a standalone basis has signed a long-term sale agreement with a customer in China, Asia’s largest consuming market for LNG," said Mark Abbotsford, Woodside Executive Vice President and Chief Commercial Officer. "And it is the first time China Resources has signed an agreement to procure LNG over a period of 15 years."

"The signing of this SPA will also open up the potential for future cooperation between the two companies globally," added Yang Ping, Chairman of the China Resources Gas Group.