Business & Finance
Woodside Energy drops clean energy goals while reporting higher interim profits
Australia's largest oil and gas producer cited sluggish demand for lower-carbon markets as crude price surges boosted six-month earnings.
The short version
- Woodside Energy announced it is retiring its scope 3 emissions abatement targets and dropping a plan to invest $5 billion in lower-carbon energy products by 2030.
- The Perth-based energy firm reported a 27% rise in half-year sales profit to $1.67 billion, driven by higher crude prices stemming from supply disruptions in the Iran conflict.
- Chief Executive Liz Westcott stated that market demand for emerging technologies like hydrogen, ammonia, and carbon capture has grown more slowly than expected.
- Climate advocacy group Market Forces called on institutional investors to demand an end to Woodside's fossil fuel expansion plans in light of the policy reversal.
Key facts
- Woodside Energy recorded a 27% increase in sales profit to $1.67 billion during the six-month reporting period.[The Guardian]
- The company abandoned its commitment to invest $5 billion in lower-carbon products like hydrogen by 2030 and placed its U.S. ammonia business under strategic review.[The Guardian]
- Woodside retired its customer-related scope 3 emissions targets, with CEO Liz Westcott citing slower-than-anticipated development in lower-carbon markets.[The Guardian]
- The company increased its interim dividend to 57 U.S. cents per share, up from 53 U.S. cents per share in the previous year.[The Guardian]
What remains uncertain
- The future of Woodside's U.S. ammonia business remains unclear pending the outcome of its internal strategic review.[The Guardian]