NWS Project Extension approval: Q&A with our Vice President

1. Breyden, the NWS Project Extension has received Federal Government environmental approval. What does this mean for Woodside?

The environmental approval gives us the certainty we need to continue doing what we do best and that’s provide reliable energy to Western Australia and our customers worldwide in a safe way.

It's a critical step, right across the board as it builds on the legacy of the NWS Project and Woodside as a proud Australian company. The NWS Project pioneered Australia’s LNG industry and it remains one of the nation’s largest ever resource developments.

When we look at the details, ongoing operations will continue to provide high-quality direct and indirect jobs and offer contracting opportunities to local businesses. As well as continued support for the Karratha and Roebourne communities where we’re located.

It also means the project will continue to contribute broader economic and social benefits. Since operations commenced in the 1980s, more than A$40 billion in royalties and excise have been paid to the Australian and Western Australian Governments. That’s a significant contribution to help support hospitals, schools and the infrastructure communities rely on every day.

The Federal Government conditions attached to the approval include additional reductions in key emissions from 2031, limits on point source air emissions and additional emissions monitoring beyond the existing State Government approval conditions.

We have assessed the work required to meet the conditions and are ensuring our business plans continue to reflect all applicable regulatory and approval conditions. The conditions give us clarity on the modifications required at Karratha Gas Plant that will support the processing of other resource owners’ gas. 

I want to say thank you to everyone who has supported us to get to this point. I’m extremely proud of every Woodsider who has worked on this environmental approval. It’s truly been a collective team effort over many years. I also want to recognise and thank our community partners and contractors who have supported us throughout the journey.

2. What will this mean for the city of Karratha and other communities in the Pilbara?

The NWS Project has supported the local community in a whole raft of different ways.

When we look back, well over A$300 million has been spent on social and community infrastructure. This includes local schools, childcare centres, healthcare infrastructure and local sporting clubs.  Last year alone, the project invested more than A$5 million in community contributions."

Local businesses will continue to be supported. Annually, we spend around A$1 billion with WA businesses, including those in Karratha. In addition to engaging WA businesses directly, there are broader indirect benefits to the local Karratha economy as a result of Woodside’s presence in Karratha, whether it be buying a loaf of bread from the IGA, getting a car serviced or going out to the movies.

But it's certainly not just the financial contribution; it’s about supporting a great way of life for our local teams and the community.

3. The environmental approval came with certain conditions. Can you share more about what Woodside is doing to protect the unique rock art on the Burrup Peninsula?

We’ve been a long-standing supporter of the World Heritage assessment process for Murujuga, and we were really pleased to see the rest of the world recognise how special it is with its inscription onto the World Heritage List.

It’s one of Australia’s most culturally significant landscapes, and we take our responsibility to protect and manage the cultural heritage very seriously.

Because of this, we recognise the need for high-quality research and support the Murujuga Rock Art Monitoring Program (MRAMP), run by the Murujuga Aboriginal Corporation and Western Australian Department of Water and Environmental Regulation. MRAMP is providing the necessary certainty to guide the management and protection of the rock art. 

Woodside has taken proactive steps over many years – including emissions reductions, data sharing and ongoing support for MRAMP – to ensure we manage the risk to rock art responsibly, and continue to demonstrate that industry and rock-art can coexist.

As part of the environmental approval conditions and in consultation with Traditional Owner representative bodies, we will implement and revise the project’s cultural heritage management plan, air quality management plan and marine environmental quality management plan.

The conditions will further reduce air emissions such as oxides of nitrogen and volatile organic compounds and implement rigorous air emission monitoring, including site-based and broader monitoring focusing on health and potential rock art impacts.

4. The NWS JV has a record of supplying Australia and the world with energy for the past 40 years. What is the plan going forward?

We are really proud of our history, as a reliable supplier of affordable energy to Western Australians and our international customers.

If we briefly look back before we look forward – for more than 40 years the project has supplied more than 6,000 petajoules of domestic gas to Western Australia, powering homes and industry. If used for just household electricity, this amount of gas is enough to power homes in cities like Perth for approximately 175 years. And then for our international customers, we’ve delivered more than 6,500 LNG cargoes. So clearly, the project has supported energy security.

Moving forward, the focus is twofold: progressing infill and near-field opportunities from existing NWS reserves and transitioning the Karratha Gas Plant into a tolling facility to process gas from other resource owners.

The NWS Project Extension environmental approval is an enabler to do this beyond 2030 as the project transitions into the next phase of its life. Existing reserves are declining which is a natural part of any project like the NWS. What this presents is an opportunity to process third-party gas – that is gas from other owners such as Browse.

We’re working hard to achieve this so our operations can continue beyond the next decade and continue to provide the economic and social benefits we’ve seen from the NWS over the past four decades.