Woodside has recorded full-year net profit after tax (NPAT) of US$6,498 million. Production was
157.7 MMboe and operating
cash flow was $8,811 million.
The Directors have determined a final dividend of US 144 cents per share (cps), bringing the full-year fully
franked dividend to US 253 cps. The dividend is based on the underlying NPAT of $5,230 million and the
full-year shareholder distribution is $4,804 million.
Woodside CEO Meg O’Neill said Woodside’s strategy delivered exceptional results in 2022, reflecting the
success of the merger with BHP’s petroleum business, completed at the start of June.
“Woodside is now a larger, geographically diverse energy company with the financial and operational
strength to grow our portfolio of high-quality assets while continuing to deliver returns to shareholders.
“In what was a momentous year for Woodside we achieved the goals we set ourselves ahead of the merger,
implementing initiatives to deliver the targeted $400 million in synergies ahead of our original schedule.
“Woodside’s record output was underpinned by outstanding performance at our LNG assets, which achieved
98.5% reliability across the year.
“A total of 9.4 million barrels of oil equivalent was processed via the Pluto-KGP Interconnector, resulting in
the supply of 13 additional Pluto LNG cargoes and delivering $1.2 billion of incremental revenue.
“Our net profit after tax rose on the back of the increased production and sales delivered by the expanded
portfolio and higher global prices for our products. In 2022 our realised price rose 63% year-on-year to
$98.4 per barrel of oil equivalent.
“Throughout the year we took steps to maximise our exposure to favourable prices, expanding our global
marketing presence and increasing trading activities. Our exposure to gas hub pricing for produced LNG
sales was 23%.
“As a result of our increased profit, Woodside’s Australian tax and royalty payments for the year more than
tripled to A$2.7 billion. We are proud to be making this record contribution back to the local communities
where we operate and our Australian tax payments are expected to again increase significantly in 2023.
“The Bass Strait assets acquired in the merger supply around 20% of the gas consumed in eastern Australia.
With the emergence of crisis conditions in the east coast energy market last winter, we took steps to ensure
maximum volumes were available for supply to customers on both a term and spot basis.
“During the year we made significant progress on our major growth projects. Seven wells of the planned 23
have now been completed at the Sangomar Field Development Phase 1 offshore Senegal. In 2023, we
expect to complete subsea installation and relocate the floating production storage and offloading facility from Singapore, ahead of targeted first oil late in the year.
“In Western Australia the Scarborough and Pluto Train 2 projects are now 25% complete and they remain on
track for targeted first LNG production in 2026. This year we will focus on progressing secondary regulatory
approvals, continuing fabrication of Pluto Train 2, and starting work on subsea installation and drilling
operations.
“Our project teams did an outstanding job this year delivering tiebacks to our Western Australian LNG assets
and installing the Shenzi subsea multi-phase pump, which will improve production rates and recovery, ahead
of schedule and under budget.
“In 2023 we are also aiming to progress Woodside’s pipeline of growth opportunities, including at Trion,
offshore Mexico. We are evaluating bids for major work scopes, finalising execution plans and narrowing cost
estimates in support of final investment decision (FID) readiness targeted this year.
“We are also preparing for FID readiness at our H2OK project in Oklahoma in 2023. H2OK would be the first
major project to be sanctioned under Woodside’s target to invest $5 billion in new energy products and lowercarbon services by 2030.
“Woodside is on track to meet our targeted 15% reduction in net equity Scope 1 and 2 emissions by 2025,
having lowered them by 11% below the starting base in 2022. Our corporate emissions targets have been
expanded to the merged portfolio.
“Disappointingly, we failed to improve on our 2021 personal safety outcomes, with a total recordable injury
rate of 1.8 per million work hours. Woodside puts safety at the heart of everything we do, and we’ve made it
an imperative to achieve a leading performance in 2023,” she said.
Financial headlines
- NPAT of $6,498 million, up 228%
- Underlying NPAT of $5,230 million, up 223%
- Operating revenue of $16,817 million, up 142%
- Operating cash flow of $8,811 million, up 132%
- Free cash flow of $6,546 million
- Annual sales volume 168.9 MMboe
- Realised price of $98.4 per boe
- Unit production cost of $8.1 per boe
- Cash on hand of $6,189 million
- Liquidity at year-end of $10,239 million
- Net debt at year-end of $571 million and gearing of 1.6%
- Determined a fully-franked final dividend of US 144 cps, bringing the full-year dividend to US 253 cps
Key business activities
Strategic achievements
- Completed merger with BHP’s petroleum business
- Implemented initiatives to deliver $400 million in synergies and value creation
- Progressed the Scarborough and Sangomar projects
- Completed sell-down of Pluto Train 2 in January 2022
Operations
- Delivered annual production of 157.7MMboe
- Maintained strong operated LNG reliability of 98.5%
- Delivered the Pluto-KGP Interconnector leveraging capacity at the Karratha Gas Plant
- Completed Pyxis, Pluto North and Xena-2 tie-backs
- Delivered NWS Greater Western Flank Phase 3 and Lambert Deep projects ahead of schedule and
under budget
- Installed subsea multi-phase pump at Shenzi ahead of schedule and under budget
Full-year reporting
Woodside’s Annual Report 2022 provides further detail on our operations, activities and our financial position
for the 12-month period ended 31 December 2022.
Woodside recognises that environmental, social and governance performance is integral to our success. Our
Sustainable Development Report 2022 summarises our sustainability approach, health and safety
performance, social and cultural impacts and key sustainability topics.
Woodside’s Climate Report 2022 outlines our approach to climate change and strategy for Woodside to thrive
through the energy transition as a low cost, lower carbon energy provider.
