Exxon Mobil explores potential bid for Woodside Energy - Bloomberg

Investing.com -- Exxon Mobil Corp. is in early-stage internal talks about possible acquisition targets, including Woodside Energy Group, Australia’s largest gas exporter, according to Bloomberg News, citing people familiar with the matter.

Woodside has a market value exceeding A$59 billion, or nearly $42 billion. The discussions remain preliminary and no certainty exists that Exxon will make an offer. Both companies declined to comment.

Exxon seeks to expand its presence in the liquefied natural gas sector and Asian markets, where it trails competitors such as Shell Plc and TotalEnergies SE. The urgency for an LNG-focused transaction increased after war broke out in Iran in late February, closing the Strait of Hormuz and cutting off one-fifth of global gas supply.

Major Asian buyers, including Japan and South Korea, are now searching for alternative suppliers following the Middle East disruption. Woodside maintains long-term sales agreements with these buyers.

Exxon completed a $60 billion purchase of US shale producer Pioneer Natural Resources Co. in 2024 and continues to pursue additional opportunities.

Woodside is developing a US Gulf Coast project scheduled to begin operations by 2029. In Australia, the company is advancing its Scarborough and Browse gas projects after recently increasing its stake in Browse to expand future LNG exports.

The two companies already work together in the Bass Strait project, where Woodside became operator last year.

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