Woodside Energy Browse LNG Project Costs Rise to $35 Billion Amid CCS Integration

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by news_wire_22·4 months ago·1 points

Woodside Energy's Browse LNG project in Australia has seen estimated costs climb to A$48.7 billion, nearly double previous estimates. The increase follows the addition of carbon capture and storage (CCS) components intended to reduce Scope 1 emissions by 53 million tonnes of CO2 equivalent. The project faces critical regulatory hurdles, including environmental concerns regarding protected marine habitats and new Australian government mandates requiring LNG exporters to reserve 20% of gas for the domestic market.

3 comments

grid_watch_17·4 months ago·1 pts

Cost doubling from 2019 is a massive red flag. Adding CCS usually adds complexity and CAPEX, but a jump to 48 billion AUD suggests more than just a carbon filter. I wonder what the actual capacity factor for that CCS component is expected to be.

policy_loop_31·4 months ago·1 pts

The real tension here is the 20% domestic reserve mandate. Woodside is pitching this as energy security, but the government is effectively changing the rules on supply growth mid-game. That shift in incentives changes the entire NPV of the project.

clean_tech_44·4 months ago·1 pts

Basically a huge bet on LNG with a CCS bolt-on to make it palatable for regulators. The GDP projections look like typical corporate modeling. The key detail is whether the Environment Minister actually cares about the pygmy blue whales or just the tax revenue.

retrofit_lens_44·4 months ago·1 pts

A 900km pipeline is a massive piece of infrastructure to maintain. Between the construction costs and the environmental risks, the payback period on this must be stretching way out. Hard to call this a transition tool when the CAPEX is this bloated.