Perth, June 13, 2026, 02:07 (AWST)
- Woodside Energy Group shares ended at A$31.23 on the ASX on June 12, dropping A$0.29, or 0.92%, following a price-sensitive announcement about Browse gas.
- The company said it will pre-empt the sale of PetroChina’s 10.67% interest in the Browse Joint Venture to an INPEX unit, aiming to boost its stake to 41.27%.
- Woodside’s U.S.-listed shares moved higher in New York after Reuters reported Exxon Mobil is looking at Woodside as a potential acquisition target.
Woodside Energy Group Ltd. (WDS) lagged behind the broader Australian market on Friday after it increased its bet on the stalled Browse gas project. Shares fell 0.92% to finish at A$31.23. The S&P/ASX 200 gained 1.98% to 8,804. A later report tied to takeover talk offered investors a new angle on the story. The day’s move in Woodside shares looked tied to the company’s own news and commodity moves.
Woodside triggered the move by exercising its pre-emption right on PetroChina International Investment (Australia)’s 10.67% stake in the Browse Joint Venture. The company said it will pay US$225 million and reimburse CNPC for cash-call contributions after June 30, 2025. There’s also a possible extra US$175 million due if the joint venture makes a final investment decision, or FID, on the Brecknock, Calliance, and Torosa fields by June 30, 2032. FID is the formal green light for full project funding.
Woodside’s shares are in focus after the company boosted its bet on a big LNG project. Investors have been looking for signs of capital discipline. Woodside says Browse is the country’s largest undeveloped conventional gas find, with an annual output target of 11.4 million tonnes of LNG, LPG, and domestic gas. The company said the project could help feed Asia-Pacific LNG markets and supply domestic gas in Western Australia. CEO Liz Westcott said, “Woodside’s decision to pre-empt reflects our commitment to continue progressing the proposed Browse to North West Shelf development.” ASX Announcements
The main worry is that Browse could end up using more capital before getting approvals or a development green light. UBS energy analyst Tom Allen told Reuters, “The pre-emption price implies a materially softer valuation” compared to PetroChina’s 2012 price. MST Marquee’s Saul Kavonic said most shareholders don’t want Woodside to develop Browse and might have liked a sale at that price. That goes some way to explaining the ASX-listed shares sliding, even though the move lets Woodside keep control over a resource that could feed the North West Shelf LNG system. Reuters
Oil’s drop added to headwinds. Brent crude lost more than 3% on Friday, trading near US$87.04 a barrel after Reuters said a possible U.S.-Iran deal was easing worries over supply from the Middle East. For Woodside, weaker oil and LNG-linked prices can hit revenue, cash flow, and make energy stocks less attractive. The company’s first-quarter report showed an average realised price at US$63 per barrel of oil equivalent, up 11% from the last quarter, showing why moves in commodity prices matter for the shares.
Woodside has several growth and cash-flow drivers outside Browse, according to the bull case. The Scarborough LNG project hit 96% complete as of March 31, still on budget and still slated for its first cargo in the fourth quarter of 2026. Trion reached 56% complete, with first oil expected in 2028. Woodside reported about US$8.3 billion in liquidity and US$9.3 billion in net debt at March-end. Liquidity covers cash and available funding. Net debt is total debt minus cash and equivalents.
M&A talk cropped up late in the session, with Reuters citing Bloomberg News that Exxon Mobil is eyeing targets including Woodside. U.S.-listed Woodside shares jumped 6% in early trading; latest finance data put the NYSE-listed WDS stock at US$23.065, up about US$1.335 for the day. Woodside told Reuters it wouldn’t comment, and Exxon had no immediate response. For now, any takeover premium looks speculative until there’s a formal move.
Exxon’s report is the next event that could move Woodside’s ASX share price, before the July 29 Q2 update. For that quarter, the market wants an update on Scarborough timing, progress on Browse, capex control and commodity exposure. On what’s out there now, Woodside stock trades at 12.77% below its 12-month peak of A$35.80 but still well above this year’s A$22.10 low, up 41.31%. The shares don’t look cheap for the risk. Investing.com data shows 12 analysts have it rated Neutral with a consensus target of A$34.38.
