CORPORATE

CORPORATE -- Australia's Woodside Petroleum is set to acquire compatriot BHP's oil and gas business in an all-stock deal that will create an international independent with a market cap of around $30 billion. After the merger, the expanded Woodside will have output of around 550,000 boe/d including 10.6 million tons/yr of LNG. The production mix will be led by Western Australia with a 67% share, followed by East Australia (14%), the US Gulf of Mexico (13%), and Trinidad and Tobago (5%) (PIW Sep.4'20). Contributions are also expected in the coming years from development projects in Mexico and Senegal. Woodside's existing shareholders will own 52% of the expanded company while BHP shareholders will own 48%. BHP has committed to distributing the shares it receives directly to its own shareholders rather than holding them in the corporate treasury. The proposed deal with BHP will not change Woodside’s goal of achieving net-zero emissions from its own operations (Scope 1 and 2 emissions) by 2050 -- nor its interim targets of a 15% reduction its its Scope 1 and 2 emissions by 2025 and a 30% reduction by 2030 (PIW Apr.9'21).