Regional LNG: Release: Woodside Petroleum: NWS and Chugoku Electric sign LNG HoA

(Perth, March 8, 2006) The North West Shelf Venture and Chugoku Electric Power Co., Inc. have signed an unconditional and binding heads of agreement for the long-term supply of liquefied natural gas.

Chugoku Electric is the first of the North West Shelf, Venture?s original Japanese LNG customers to renew its long-term LNG supply requirements with Australia?s largest resources project.

Under a 12-year contract starting in April 2009, the North West Shelf Venture will supply between 1.2 and 1.4 million tonnes of LNG a year to Chugoku Electric on an ex-ship basis.

The President of Chugoku Electric, Shigeo Shirakura, signed the agreement late yesterday with Woodside?s Chief Operating Officer, Keith Spence, as well as the senior representatives from the North West Shelf Venture participant companies.

Woodside?s North West Shelf Ventures Director, Dr Jack Hamilton, said the Venture was delighted to extend its long-term relationship with Chugoku Electric which started in 1985 with the signing of the Venture?s original LNG supply contracts. Chugoku Electric received its first LNG deliveries from the North West Shelf Venture in March 1990.

?Over the past two decades, the North West Shelf Venture has enjoyed a strong friendship and a mutually beneficial business relationship with our highly valued customer, Chugoku Electric,? he said.

?We look forward to extending our relationship with Chugoku and continuing to supply LNG from our`state-of-the-art expanded LNG processing facility at Karratha in the Pilbara region of Western Australia.?

Chugoku is the primary energy supplier in Japan?s western Honshu province with more than 5.2 million customers. It has an LNG terminal at Yanai, west of Hiroshima, and is scheduled to start operating its second LNG receiving terminal at Mizushima, Okayama Prefecture, in April this year.

The six equal participants in the NWS Project are: Woodside Energy Ltd. (16.67% and operator);BHP Billiton (North West Shelf) Pty Ltd (16.67%); BP Developments Australia Pty Ltd (16.67%);Chevron Australia Pty Ltd (16.67%); Japan Australia LNG (MIMI) Pty Ltd (16.67%); and Shell Development (Australia) Proprietary Limited (16.67%).

CNOOC NWS Private Limited is also a member of the North West Shelf Venture but does not have an interest in North West Shelf Venture infrastructure.(end of release)