Woodside Energy (ASX:WDS) and Santos (ASX:STO) Progress Major LNG and Oil Projects

Aditi Sarkar

21 September 2026 11:50 AM AEST

Woodside Energy (ASX:WDS) and Santos (ASX:STO) Progress Major LNG and Oil Projects

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Key Highlights

Woodside continues to progress the Browse LNG development in Western Australia.
Santos achieved first oil from Pikka in May 2026 and continued the Barossa ramp-up.
Santos narrowed 2026 production guidance to 99–105 mmboe after second-quarter commissioning activity.
Both companies remain exposed to Commodity prices, project execution and regulatory approvals.

Woodside Energy Group Ltd (ASX:WDS) and Santos Limited (ASX:STO) are two of Australia’s largest listed oil and gas producers. Their development pipelines include LNG and oil projects across Australia and overseas, with Woodside progressing Browse and Santos ramping up Barossa and Pikka during 2026.

Woodside Progresses Browse

Woodside operates the Browse gas resource off Western Australia’s Kimberley coast. The proposed development is intended to Supply gas for LNG processing and remains subject to commercial, environmental and regulatory milestones before a final Investment decision. Changes in project partners and funding arrangements are part of the process of advancing the development.

Santos Brings New Projects Online

Santos achieved first oil from the Pikka project in Alaska in May 2026, with continuous production beginning in June. The company has also been commissioning Barossa, which supplies Darwin LNG. After second-quarter commissioning activity, Santos narrowed its 2026 production guidance to 99–105 million barrels of oil equivalent.

Company Business

Woodside produces LNG, Natural Gas and oil from Assets in Australia and other markets. Santos operates LNG, gas and oil assets across Australia, Papua New Guinea, Timor-Leste and Alaska. Both companies rely on large-scale infrastructure and long project-development cycles.

Sector Context

Oil and gas producers are influenced by global crude and LNG prices, shipping conditions, customer Demand and geopolitical events. Large developments require substantial Capital and can take years to move through approvals, construction and commissioning. Long-term contracts can provide Revenue visibility, while spot-market exposure introduces price variability.

Risks to Consider

Commodity prices can change quickly, affecting Cash Flow and investment returns. Browse faces approval and development-timing risks, while Santos must complete ramp-up and maintain operating performance at Barossa and Pikka. Construction costs, regulatory requirements, environmental obligations and partner alignment are additional considerations.

What to Watch Next

For Woodside, attention will remain on Browse approvals, commercial arrangements and any final investment decision. For Santos, Pikka’s ramp-up toward plateau production and steady-state performance at Barossa are key operational milestones, alongside updates to production and capital guidance.

FAQs

Q: What are Woodside Energy Group Ltd (ASX:WDS) and Santos Limited (ASX:STO) focused on?

A: Both companies operate oil and gas assets and are progressing major LNG and oil developments.

Q: What is Woodside’s Browse project?

A: Browse is a proposed gas development off Western Australia intended to supply LNG processing.

Q: When did Santos achieve first oil at Pikka?

A: Santos achieved first oil at Pikka in May 2026.

Q: What is Santos’s updated 2026 production guidance?

A: After the second quarter, Santos narrowed guidance to 99–105 million barrels of oil equivalent.

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