Woodside Energy Group Limited (WDS) just locked in its first big Turkish customer, and the deal says a lot about how global energy flows are reshaping themselves for the next decade.
The Australian energy company announced Sunday it has signed a long-term supply agreement with BOTAŞ, Turkey's state-owned energy company, to deliver liquefied natural gas starting in 2030. It's the kind of deal that takes years to negotiate and even longer to execute, but it positions Woodside as a key player in Turkey's energy future.
The Numbers Behind the Deal
Under the contract, Woodside will deliver approximately 0.5 million tons of LNG per year to BOTAŞ. That translates to roughly 5.8 billion cubic meters of natural gas annually, enough to power a significant chunk of Turkey's energy needs. The agreement runs for nine years once deliveries begin in 2030.
The LNG will primarily be sourced from Woodside's Louisiana LNG facility in the United States, which is currently under construction. That's an interesting geographic twist: an Australian company shipping American gas to Turkey. Welcome to the modern energy trade.
This agreement formalizes what started as a non-binding Heads of Agreement back in September, turning a handshake understanding into a definitive commitment. Both companies have signaled interest in expanding their partnership across the broader LNG value chain, so this might just be the beginning.
What Management Is Saying
Mark Abbotsford, Woodside's Executive Vice President and Chief Commercial Officer, called the agreement a strategic milestone for the company. "This supply agreement with BOTAŞ represents a strategic milestone for Woodside given it is our first long-term LNG supply arrangement with the Turkish market," Abbotsford said. He emphasized that the deal demonstrates both the strength and flexibility of Woodside's diversified portfolio and its ability to execute on global growth ambitions.
The Turkish market represents a significant opportunity for LNG suppliers. Turkey sits at the crossroads of Europe and Asia, making it a critical energy hub, and the country has been actively diversifying its energy sources and suppliers in recent years.
Leadership Transition Underway
This deal comes amid a significant leadership change at Woodside. The company announced on December 17 that CEO Meg O'Neill informed the board of her decision to step down after accepting the chief executive role at BP p.l.c. (BP). That's quite a move, jumping from running Woodside to leading one of the world's energy supermajors.
Woodside's board responded by appointing Liz Westcott as acting Chief Executive Officer, effective December 18, 2025. She'll be steering the ship as the company works to execute on deals like this Turkish agreement and continues developing its Louisiana facility.
WDS shares closed lower by 0.39% at $15.36 on Friday.