Woodside Energy Group Ltd (ASX:WDS), operator of the Browse development off Western Australia, has gained a prospective new joint-venture participant after Osaka Gas agreed to acquire a 5% interest in Browse from BP Developments Australia. The transaction remains subject to regulatory, joint-venture and other applicable approvals.

A New Japanese Participant

Osaka Gas announced in September 2026 that its group company, Osaka Gas Browse Pty Ltd, had entered into an agreement to acquire the 5% Browse interest. The Acquisition vehicle is expected to be jointly funded by Osaka Gas Australia and the Japan Organization for Metals and Energy Security, with the parties also discussing the use of a new JOGMEC scheme aimed at securing long-term supplies of LNG and other resources.

Browse comprises the Brecknock, Calliance and Torosa gas fields offshore Western Australia and is operated by Woodside on behalf of the joint venture. Osaka Gas said the project has the potential to produce approximately 11 million tonnes of LNG annually at plateau using existing North West Shelf infrastructure in the Pilbara. At a 5% interest, Osaka Gas expects to acquire approximately 550,000 tonnes of LNG annually, along with associated LPG and domestic gas.

Browse Continues to Advance

Woodside’s latest half-year report shows that Browse is still progressing through engineering, commercial and regulatory work rather than being at the construction stage. During the first half of 2026, Woodside continued regulatory approvals, technical definition and commercial arrangements for processing Browse gas through the Karratha Gas Plant. Contractors were engaged for pre-FEED work on the proposed FPSO facilities, while invitations to tender were issued to support future pricing and schedule assumptions for a potential FEED decision.

Engineering studies also commenced on modifications needed at the Karratha Gas Plant under a three-train development concept. Woodside said progress had been made on a gas processing agreement intended to establish the commercial framework for processing Browse volumes through North West Shelf infrastructure.

The project design includes carbon capture and storage, which Osaka Gas said is intended to reduce carbon dioxide emissions associated with the development.

Regulatory Approvals Remain Important

Browse has not yet completed its environmental approval process. Woodside said it continued engagement with regulators during the first half of 2026 as it progressed the project’s primary environmental approvals. In June, following a determination by the Federal Environment Minister, Woodside submitted a revised environmental referral for the Browse CCS Project under the amended Environment Protection and Biodiversity Conservation Act. The company said the resubmission did not involve significant changes to the project’s nature, scope or intent.

The project has also received State Significant Project status from the Western Australian Government, which Woodside said provides a higher level of coordination for approvals and project development.

What It Means for Browse

Osaka Gas’s proposed entry adds another participant with a stated interest in long-term LNG procurement, but it does not amount to a final Investment decision for Browse. The project is still moving through engineering, regulatory and commercial stages.

Woodside is separately increasing its own exposure to Browse. In June 2026, it exercised a pre-emption right to acquire CNPC’s 10.67% joint-venture interest. Subject to completion, Woodside’s participating interest would increase from 30.6% to 41.27%.

The next phase will therefore depend on progress with environmental approvals, engineering definition, processing arrangements and joint-venture decisions. Osaka Gas’s proposed acquisition adds to the commercial framework around Browse, while significant development steps remain before the project can advance to construction.