(Reuters) -Australia’s Woodside Energy said on Wednesday it has clinched an agreement to supply about 5.8 billion cubic metres of liquefied natural gas, to Turkish state-owned petroleum company BOTAS.
Australia’s biggest natural gas producer has agreed to supply for a period of nine years starting from 2030, primarily from its Louisiana LNG project, according to a company statement.
The deal comes at a time when the U.S. potentially faces an oversupply of LNG in the next few years, although Woodside remains optimistic about the demand side for the commodity, projecting growth of 50% over the next decade.
“The companies have already expressed their intention to expand the relationship beyond a proposed LNG sales agreement and build a strategic cooperation in the wider region,” said Alparslan Bayraktar, the Republic of Türkiye’s Minister of Energy and Natural Resources.
Woodside’s Louisiana LNG complex, which is the largest foreign investment in the southern state’s history, was the first U.S. LNG project to get the financial go-ahead after President Donald Trump returned to office in January and promised to unleash U.S. energy onto the world.
The project received final approval in late April and is slated to deliver its first gas in 2029.
Woodside had in early May said it was looking to sell a further 20%-30% stake amid growing interest in the $17.5 billion project since its final approval.
(Reporting by Nichiket Sunil in Bengaluru; Editing by Ronojoy Mazumdar)
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