Woodside Energy has signed a $1.5 billion loan agreement with the Japan Bank for International Cooperation (JBIC), to fund the Scarborough Energy Project.
The Scarborough Energy project based in the Carnarvon Basin, approximately 375km off the Pilbara coast of Western Australia, is on schedule for first LNG cargo in 2026.
Executed in Tokyo between Woodside Energy chief executive officer Meg O’Neill and JPIC deputy governor Kazuhiko Amakawa, the loan agreement strengthens Woodside’s balance sheet.
The agreement follows a memorandum of understanding signed by Woodside and JBIC in November 2022, which looked at securing a stable supply of energy for Japan.
“JBIC has supported all of Woodside’s milestone Australian projects including the North West Shelf, Pluto LNG and now Scarborough,” O’Neill said.
“It is therefore fitting that we have executed this agreement in the same week that Woodside celebrates 35 years of secure and reliable LNG exports to Japan.”
Amakawa said the loan recognised the role of Woodside as an operator of major Australian LNG projects.
“This loan will contribute toward securing long-term, stable supplies of LNG, which is an important energy resource for Japan,” he said.
The signing of the loan agreement follows the previous sale of two non-operating participating interests in the Scarborough Joint Venture to JERA.
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