Woodside Energy eyes first LNG in 2026 from Scarborough gas project offshore Australia following legal dismissal

(WO) – Woodside Energy and the Australian Conservation Foundation (ACF) have agreed to dismiss the ACF’s challenge to a primary environmental approval for Woodside’s Scarborough Energy Project.

The Scarborough Energy Project comprises the Scarborough Joint Venture, the Pluto Train 2 Joint Venture and modifications to Pluto Train 1 to process Scarborough gas. The offshore development was 67% complete at the end of June 2024 and is on track to deliver the first LNG cargo in 2026.

The Scarborough Energy Project has all primary environmental approvals in place, and offshore work is progressing well. The Federal Court proceedings sought an injunction to stop offshore activities for the Scarborough Energy Project. The parties have agreed to seek orders from the Court to dismiss the proceedings.

Woodside CEO Meg O’Neill welcomed the agreement to dismiss the case. “Litigation against energy projects like Scarborough is an ineffective way to pursue solutions to global climate and energy challenges. Such approaches create needless uncertainty for businesses, communities and the people who depend on the energy these projects produce.”

“The Scarborough reservoir contains less than 0.1% carbon dioxide and, combined with processing design efficiencies, will be one of the lowest carbon intensity sources of LNG delivered into north Asian markets.

“The Scarborough Energy Project will make an important contribution to energy security in Western Australia while providing energy to Asian economies as they decarbonize.”

The offshore gas development has been the subject of rigorous environmental assessments by regulators including the National Offshore Petroleum Safety and Environmental Management Authority; the Commonwealth Department of Climate Change, Energy, the Environment and Water; the Western Australian Department of Energy, Mines, Industry Regulation and Safety; the Western Australian Department of Water and Environmental Regulation and the Western Australian Environmental Protection Authority.

The ACF, represented by the Environmental Defenders Office, commenced the Federal Court of Australia proceedings in relation to the offshore environmental assessment of the Scarborough Energy Project in June 2022.

The Scarborough Energy Project is expected to generate more than A$50 billion in direct and indirect taxes for Australia’s economy, more than 3000 jobs during the construction phase and create or sustain almost 600 jobs on average during operations.