Woodside Energy has agreed to sell its 33.44 percent stake in the long-delayed Greater Sunrise gas project in East Timor to the state-owned company TIMOR GAP, in a deal valued at up to $200 million (US). The Perth-based oil and gas producer announced the transaction as part of a strategic shift under CEO Liz Westcott to prioritize projects that can deliver production and cash flow more rapidly.
The sale ends Woodside’s involvement in the Greater Sunrise fields, which have remained undeveloped for decades due to ongoing disputes over the processing location and commercial arrangements. The agreement includes an initial payment of $13.7 million upon completion, a further $11.29 million contingent on reaching a final investment decision, and a longer-term payment of $175 million following the shipment of the first LNG cargo. The deal’s completion is expected in the first half of 2027, pending approvals from government, regulatory bodies, and joint venture partners.
Woodside has been focusing on advancing several major developments, including the $18 billion Scarborough gas project off Western Australia, the Trion oil development in Mexico, and the Louisiana LNG export facility in the United States. In contrast, Greater Sunrise is estimated to begin production only between 2032 and 2035 based on current plans, despite recent efforts by Woodside and the East Timor government to move forward with a proposed five million-tonne-per-year LNG development.
Westcott emphasized that the transaction aligns with the company’s disciplined approach to portfolio management and capital allocation. She noted that while Greater Sunrise remains a high-quality resource, divesting from the project allows Woodside to simplify its asset base and focus resources on opportunities that offer greater shareholder value.
Separately, Woodside has faced criticism following its August decision to withdraw a commitment to invest approximately $7 billion in clean energy projects. The move drew disapproval from environmental groups but was largely welcomed by investors.
The company is also under renewed environmental scrutiny concerning its proposed Browse gas development near Scott Reef, Western Australia. A draft assessment by the state’s Environmental Protection Authority (EPA), prepared in late 2023, highlighted potential irreversible environmental damage from drilling activities, including harm to coral reefs and threats to endangered green turtles and migrating pygmy blue whales. The EPA questioned whether the risk of an oil spill could be mitigated to acceptable levels.
Woodside responded by stating that the draft documents do not accurately reflect the current project proposal or recent modifications. The company indicated that amended plans submitted in August 2025 are undergoing assessment and maintained that its commitments to minimize environmental impacts are based on scientific evidence.