By David Winning
SYDNEY--Woodside Petroleum Ltd. said it was deferring three major projects to expand its liquefied natural gas production by at least one year as it seeks to conserve cash until the coronavirus pandemic is contained and oil prices recover.
Woodside said it won't decide whether to proceed with construction of the Scarborough gas project offshore Western Australia state until 2021, while pushing back the timing of a decision on a second processing unit at the active Pluto LNG facility to the same time.
A final investment decision on developing the Browse gas resource will also be delayed, but without a new target date.
Woodside said its response to the pandemic and steep fall in oil prices would cut its total expenditure this year by around 50% to US$2.4 billion. The Perth-based company had US$4.9 billion cash on hand at the end of February, and total liquidity of US$7.9 billion.
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