Woodside Energy Group Ltd Q4 FY2022 earnings call

• Merger completion provided scale, resilience, and strengthened the balance sheet. - Achieved record production volumes, including BHP assets for 7 months of the year. - Operated LNG assets had a reliability of 98.5%. - Realized price of $98.40 per barrel of oil equivalent. - Achieved over $400 million in post-merger synergies. - Reduced net equity Scope 1 and 2 emissions by 11%, on track for 2025 target. - Paid record AUD2.7 billion in taxes to the Australian government. - Progressed major projects: Sangomar Field development in Senegal with first oil expected late 2023, Scarborough project progressing with fabrication of major facilities, and targeting final investment decisions on Trion and H2OK in 2023.

In 2022, Woodside achieved record financial results. Production volumes were 157.7 million barrels of oil equivalent, a record. Revenue was $16.8 billion. Net profit after tax was $6.5 billion, with underlying profit of $5.2 billion. The final dividend was $1.44 per share, and the total full year dividend was $2.53 per share, returning $4.8 billion to shareholders. Free cash flow was $6.5 billion. The company's product segments benefited from higher operational reliability, higher prices, and active market positioning, with the marketing team contributing significantly. The heritage BHP assets and Pluto KGP interconnector also played key roles in driving performance.

• Targeted final investment decisions on Trion and H2OK in 2023. - Sangomar expected to have first oil late 2023, Scarborough first LNG planned for 2026. - Dividend payout of $4.8 billion, with a 80% payout ratio of the second half underlying NPAT. - Confident Scarborough remains on budget despite Australian offshore regulator consultation requirements, with no impact on first LNG in 2026.

• Safety performance didn't improve, with total recordable injury rate increasing to 1.8 per million work hours. - Uncertainty around Australian offshore approval requirements affecting Scarborough's consultation and schedule. - Volatility in energy prices and market conditions impacting future profitability and cash flow.

Q: Presentation references higher CapEx on Scarborough and Sangomar, color on magnitude and Australian offshore regulator impact.

A: Higher CapEx was year-on-year, tracking to FID spend. Consultation requirements aligned with nOPSEMA guidance, with no impact on Scarborough's first LNG in 2026.

Q: PRRT-related and secondary approvals for Scarborough.

A: Consistent on stable fiscal regime, ongoing court cases and nOPSEMA consultations, Scarborough on track for 2026 first LNG.

Q: Free cash flow outlook, oil price drop impact.

A: Balance sheet resilient, low price sensitivity analysis supports 2023 operations, will assess dividend at appropriate time