Regional LNG: Woodside, PETRONAS sign 15-year LNG supply deal
Wednesday, June 18 2025 - 05:15 PM WIB
By Romel S. Gurky
Australian energy company Woodside Energy has taken a significant step toward expanding its liquefied natural gas (LNG) footprint in Asia, signing a non-binding Heads of Agreement (HOA) with Malaysia’s PETRONAS for the long-term supply of LNG beginning in 2028.
Under the terms of the agreement, Woodside will supply approximately 1 million tonnes per annum (MTPA) of LNG to Malaysia for 15 years. The volumes will be sourced from Woodside’s global portfolio, potentially including output from its recently approved Louisiana LNG project in the United States.
The HOA was signed between Woodside and PETRONAS LNG Ltd (PLL), a subsidiary of Malaysia’s state-owned oil and gas company PETRONAS. It was exchanged during the Energy Asia 2025 conference in Kuala Lumpur, witnessed by Woodside CEO Meg O’Neill and PETRONAS Executive Vice President & CEO of Gas & Maritime Business Datuk Adif Zulkifli.
Woodside Executive Vice President and Chief Commercial Officer Mark Abbotsford described the agreement as a major step in strengthening ties between the two companies.
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“This agreement marks the beginning of a new era of collaboration between Woodside and PETRONAS and is an important step towards what would be our first long-term LNG sales to Malaysia,” Abbotsford said in a statement on Wednesday. “It reflects the value global buyers see in Woodside’s Louisiana LNG project and our reputation as a safe and reliable supplier of energy to Asia.”
PETRONAS Vice President of LNG Marketing & Trading, Shamsairi Ibrahim, emphasized that the agreement supports Malaysia’s energy security goals.
“We are pleased to launch our new collaboration with Woodside, a leading supplier of LNG to Asia,” he said. “We hope this will be the start of cooperation between PETRONAS and Woodside on future opportunities to support energy security and sustainability across the region.”
The two companies are now working to convert the HOA into a formal sales and purchase agreement.
Woodside and PETRONAS have an established relationship, having previously collaborated on exploration initiatives, research and development, and both spot and mid-term LNG trading.
Editing by Reiner Simanjuntak