Australian LNG player Woodside has completed the acquisition of 50 percent of BHP Billiton’s interests in the Scarborough gas field located offshore Western Australia.
The acquisition that was announced in September had been completed for $US250 million and a contingent payment of $150 million payable upon a positive final investment decision to develop the Scarborough field, Woodside said in a statement on Thursday.
Under the deal, Woodside has acquired a 25% interest in WA-1-R and a 50% interest in WA-61-R, WA-62-R and WA-63-R. Woodside will operate WA-61-R, WA-62-R and WA-63-R. U.S. energy giant ExxonMobil is the operator of WA-1-R.
The Scarborough area assets include the Scarborough, Thebe and Jupiter gas fields, which are estimated to contain gross 8.7 Tcf of dry gas resources at the 2C confidence level.
As a result of the completion of the acquisition, Woodside’s Best Estimate Contingent Resources (2C) increase by 462 MMboe, the company said in its statement.
ExxonMobil is currently studying the development concepts for Scarborough and has commenced the environmental referral process for a floating liquefied natural gas (FLNG) development option for the gas field.