Woodside Energy Group Ltd Stock (ASX:WDS, NYSE:WDS) Drops as CEO Meg O’Neill Exits for BP: Latest News, Analyst Forecasts, and What to Watch Next

Woodside Energy Group Ltd stock pulled back on Thursday, 18 December 2025, after the company confirmed a sudden leadership change: CEO and Managing Director Meg O’Neill has resigned to take the top job at BP, triggering an immediate CEO succession process at Australia’s largest oil and gas producer. ^[1]

The market’s first reaction was straightforward: uncertainty costs money—at least in the short run. Woodside shares finished the day down about 2.6% at A$22.80, as the energy sector lagged on the ASX. ^[2]

But for investors, the bigger story isn’t just the CEO headline—it’s timing. Woodside is deep into a capital-intensive buildout phase across multiple major gas and LNG growth projects. And in the LNG business, execution risk (cost, schedule, partners, contracts) can matter as much as commodity prices.

Below is the full, up-to-date picture as of 18.12.2025: the news, the key analyst calls and price targets circulating today, and the fundamental catalysts (and landmines) likely to drive WDS from here.

What happened to Woodside stock on 18 December 2025?

Woodside confirmed that Meg O’Neill has resigned and accepted the role of Chief Executive Officer at BP p.l.c. ^[3]

Immediate leadership response: Woodside appointed Liz Westcott as Acting CEO effective 18 December 2025. Westcott has led Woodside’s Australian Operations as Executive Vice President and Chief Operating Officer Australia since joining the company in June 2023. ^[4]

Share-price move: Woodside stock fell roughly 2.6% to close at A$22.80 in Thursday trading, according to market wrap coverage of the ASX session. ^[5]

That decline isn’t a verdict on Woodside’s assets overnight—it’s a repricing of near-term uncertainty around who ultimately runs the company during a period when big projects and big capital decisions are front and centre.

The CEO transition details investors are focusing on

Woodside’s own announcement is unusually specific about both continuity and process—two things markets tend to demand during abrupt leadership changes.

A clear timeline for the permanent CEO decision

Woodside says it intends to announce a permanent CEO appointment in the first quarter of 2026, noting it has internal candidates while also assessing external talent options. ^[6]

Acting CEO pay and incentive structure

Woodside disclosed that Acting CEO Liz Westcott will commence on an annual salary (including superannuation) of A$1,803,000, which includes a higher duties allowance of A$600,000 gross per year. ^[7]

Meg O’Neill leaving arrangements

Woodside also disclosed that O’Neill will continue to receive benefits in accordance with her contract through the end of her gardening leave period on 30 March 2026, and that she will not be eligible for any incentive for FY2025, with unvested performance rights and restricted shares for prior years lapsing. ^[8]

For stockholders, these details reduce one category of risk (messy transition mechanics) but don’t remove the bigger question: who becomes the long-term CEO, and will they stick to the same strategy?

Why the market cares: Woodside is in a high-stakes execution window

Leadership changes hit hardest when a company is:

spending heavily,
negotiating with partners/customers, and
approaching “point of no return” milestones on mega-projects.

Woodside checks all three boxes. Reuters’ reporting today framed the challenge bluntly: the next CEO must steer major LNG developments while managing risks of cost blowouts and a potential future LNG oversupply cycle. ^[9]

Louisiana LNG: big upside, big balance-sheet questions

A core focus is Louisiana LNG, a US Gulf Coast project Woodside is developing after acquiring Tellurian in a deal Reuters puts at US$1.2 billion, with project costs cited at US$17.5 billion. ^[10]

The market’s concern isn’t that Woodside can’t build—it’s how returns look if costs rise or LNG prices weaken, and how much of the project Woodside ultimately carries on its own balance sheet versus sharing with partners.

Reuters notes the incoming CEO will need to manage construction/cost risks and also pursue equity partners and long-term buyers in a potentially more crowded LNG market. ^[11]

Scarborough: the flagship Australian LNG growth engine is nearing the finish line

Woodside’s Scarborough Energy Project (which includes Pluto Train 2) is now over 91% complete (excluding Pluto Train 1 modifications) and is targeting its first LNG cargo in the second half of 2026. The project is listed at 8 Mtpa LNG capacity (100% of project). ^[12]

That schedule matters for investors because Scarborough’s ramp-up is widely viewed as a key driver of Woodside’s next leg of cash flow—and a major determinant of future dividends and buyback capacity.

Regulatory and timeline update: Louisiana LNG gets more runway in the US

One piece of “quietly important” news for Woodside’s US strategy came earlier this week from Washington.

The US Department of Energy said Energy Secretary Chris Wright signed an amendment order granting an additional 44 months for Woodside to commence LNG exports to non-FTA countries from the Woodside Louisiana LNG Project under construction in Calcasieu Parish, Louisiana. DOE also stated the project would be capable of exporting up to 3.88 Bcf/d of natural gas as LNG when fully constructed. ^[13]

E&E News (POLITICO) reported the extension pushes the deadline from May 2026 to the end of 2029, and described the initial phase as designed to export 16.5 million metric tons per year from three trains, with Woodside targeting first LNG in 2029. ^[14]

For WDS shareholders, this doesn’t guarantee economic success—but it reduces one category of regulatory timing risk that can spook project financiers and counterparties.

Analyst forecasts and price targets circulating on 18.12.2025

Forecasts are not facts (markets love humiliating forecasters), but they shape sentiment and flow—especially during uncertainty spikes like today.

Here are the most visible, current calls and consensus figures in circulation on 18 December:

1) RBC Capital Markets: Outperform, price target A$33.50

MarketIndex’s broker moves coverage lists Woodside as retained at “outperform” at RBC Capital Markets with a price target of A$33.50. ^[15]

In other words: at least one major shop isn’t changing its stance because of the CEO shock—yet.

2) Broader consensus: “Buy” leaning, but with a wide target range

Investing.com’s consensus estimates page for Woodside shows a “Buy” consensus based on 15 analysts, with an average 12‑month price target around 27.49 (with a high estimate around 44.25 and a low estimate around 23.05). ^[16]

The wide spread between high and low targets is a tell: analysts broadly agree Woodside is leveraged to LNG growth, but disagree sharply on:

long-term LNG pricing,
execution quality (schedule/cost),
and how the market should discount carbon/legal/policy risk.

3) The “CEO shock” interpretation from at least one sell-side voice

A wire story carried by the Otago Daily Times reports RBC Capital Markets analyst Gordon Ramsay viewed O’Neill’s departure as a negative for Woodside in the near term, while also pointing to internal succession options and the operational focus Westcott brings. ^[17]

This is a common pattern in resource equities: markets can punish uncertainty first, then re-price once a permanent CEO and strategic stance are locked in.

The strategic backdrop: what O’Neill built—and what the next CEO inherits

Woodside’s statement highlights what it views as O’Neill-era achievements, including: the merger with BHP Petroleum, final investment decision on Scarborough, startup of the Sangomar Project, final investment decision on Louisiana LNG, and the Beaumont New Ammonia acquisition, alongside bringing in partners and maintaining strong operational performance. ^[18]

Reuters’ profile of O’Neill’s Woodside tenure also emphasizes the scale of portfolio expansion—particularly the transformation through the BHP petroleum assets merger and the push into US LNG via Louisiana LNG. ^[19]

That means the next CEO is not walking into a blank slate. They’re inheriting a strategy that is already “mid-flight”—and mid-flight is the least convenient time to swap pilots.

Key risks for WDS from here

LNG cycle risk: the “glut” fear in the 2030s

Reuters flagged a major macro risk that’s been building for years: a potential LNG oversupply wave later this decade/early next, which could pressure prices and returns just as new mega-projects come online. ^[20]

If LNG markets soften materially, Woodside’s capital discipline and contracting strategy (how much volume is sold under long-term contracts vs exposed to spot) become the story.

Cost inflation and delivery risk on mega-projects

Large LNG builds are famously vulnerable to:

labour constraints,
equipment/module delays,
contractor disputes,
and simple engineering complexity.

During CEO transitions, counterparties also test leverage—because they assume decision-making slows down.

Reputation, legal, and policy overhangs

Woodside remains a magnet for climate activism and policy scrutiny. Australia’s ABC notes ongoing controversy around major gas developments and the North West Shelf extension debate during O’Neill’s tenure. ^[21]

Even if you view these issues primarily as “headline risk,” headlines can still affect timelines, approvals, and financing costs.

What to watch next: near-term catalysts that can move Woodside shares

Over the coming weeks, investors will likely focus on five concrete signals:

1) CEO shortlist clarity (internal vs external)
Woodside says it aims to name a permanent CEO in Q1 2026. Markets typically prefer speed and credibility—especially if big capex decisions loom. ^[22]

2) Scarborough-to-2026 execution confidence
Scarborough is already over 91% complete, with first cargo targeted H2 2026—any drift here will matter. ^[23]

3) Louisiana LNG partner/offtake progress
DOE has granted more runway on export timing, but commercial success still depends on contracts and capital sharing. ^[24]

4) Dividend and capital return messaging
Woodside’s board explicitly tied recent business performance to roughly US$11 billion in dividends paid since 2022. Investors will watch whether leadership change alters capital return priorities. ^[25]

5) Any shift in strategic posture post-O’Neill
Does Woodside double down on US LNG? Does it sell down more equity? Does it slow spending to defend dividends? Those are CEO-level choices—and the market will listen for early tells.

Bottom line for investors watching Woodside Energy stock today

Woodside’s sell-off on 18 December 2025 looks less like panic about assets and more like a rational discount for uncertainty—especially given the company’s exposure to massive, multi-year LNG execution bets.

The bullish case for WDS still hinges on the same fundamentals it did yesterday: Scarborough delivering on time, Louisiana LNG becoming a value-creating US platform (without over-stretching the balance sheet), and LNG markets staying supportive enough to generate strong free cash flow.

The bear case is also unchanged, but louder: mega-project execution and LNG-cycle timing are unforgiving, and leadership transitions add friction at exactly the wrong moment.

Either way, Woodside just became a “high attention” stock again—because in LNG, leadership and leverage (financial and commercial) are part of the product.

Traders Retreat from Tech, Woodside CEO Moves to BP | Bloomberg: The Asia Trade 12/18/25