Sydney, Jan 14, 2026, 17:15 AEDT — Market closed
- Woodside shares rose 2.6% following an update on the Scarborough project
- The company said the project is in its final stages, aiming for an LNG start-up scheduled for later in 2026
- Woodside’s Jan. 28 quarterly report and oil price swings are next up on the radar
Woodside Energy Group Ltd shares rebounded 2.6% to finish at A$23.92 on Wednesday, reversing a 1.7% drop from Tuesday. The bounce came after investors reacted to a significant milestone in the Scarborough project.
Woodside announced the Scarborough floating production unit (FPU) has reached the Scarborough field, roughly 375 km off Karratha, after a tow of more than 4,000 nautical miles from China. The facility, weighing about 70,000 tonnes, will handle offshore gas processing. The Scarborough Energy Project is now over 91% complete, the company said. Acting CEO Liz Westcott noted the team is focusing on “hook-up and commissioning” — the critical testing and tie-in phase before start-up. First liquefied natural gas (LNG) remains on track for the second half of 2026. Scarborough gas is projected to yield about 5 million tonnes per annum from a new Pluto LNG train, alongside up to 3 Mtpa from the existing train.
The update arrives while Woodside runs under an interim CEO. BP tapped Woodside’s Meg O’Neill last month to officially step in come April, Reuters reported. That places the Perth-based producer in a delicate spot as its largest growth project heads into late-stage execution.
Oil continues to set the mood for energy stocks, but the picture is far from clear. Brent crude dipped 0.3% to around $65.27 a barrel on Wednesday, snapping a four-day winning streak, according to Reuters. “Oil prices have already priced in quite a bit of geopolitical risk premium,” noted Suvro Sarkar, energy analyst at DBS Bank. Reuters
That’s the short-term picture. The medium-term outlook is less rosy: Goldman Sachs warns a supply-driven glut could drag prices down, sticking to its 2026 average price targets of $56 for Brent and $52 for WTI.
Woodside gained ground with other energy stocks as the sector pushed higher. Santos climbed roughly 2% by mid-afternoon, while the S&P/ASX 200 Energy Index advanced 2.3% on the session, according to MarketIndex data.
Woodside revealed in an ASX filing on Tuesday that it issued 2.34 million ordinary shares following the vesting of equity rights tied to its employee plan, along with an additional 25,710 shares. The company confirmed these shares relate to the quarter ending Dec. 31.
The toughest part on Scarborough isn’t towing. It’s the hook-up and commissioning phase where schedule risks usually surface — offshore weather, technical glitches, contractor delays. Any hiccup here would undermine the pitch Woodside is making: dependable 2026 cash flow, large volumes, consistent distributions.
Woodside faces a key deadline on Jan. 28 with its fourth-quarter 2025 report, then the full 2025 annual report on Feb. 24. Investors will be watching closely for fresh details on Scarborough’s progress and any shifts in spending ahead of Thursday’s ASX trading.
Related articles: Energy Sector
