Woodside Wins Contract to Supply Gas to Alcoa

Woodside Wins Contract to Supply Gas to Alcoa

Woodside Energy Group Ltd has executed an agreement with Alcoa Corp to supply the alumina maker with 31.1 petajoules of Western Australian natural gas from 2027 to 2030.

The gas will supply Alcoa's refineries in the state, which produce feedstock used in the manufacture of aluminum.

"We continue to progress our broader energy strategy that includes planning for gas supply beyond 2030 and the integration of renewable energy sources into our portfolio", Nick Eaton, Alcoa energy director for Australia, said in a press release Tuesday.

Woodside executive vice president for marketing and chief commercial officer Mark Abbotsford said, "The agreement again demonstrates the Western Australian domestic market is operating in a way which supports both gas producers and consumers. It also underlines the ongoing effectiveness of Western Australia’s domestic gas policy in providing stable and predictable policy settings that underpin the delivery of gas to major industrial users, enabling lower-emissions energy use in key processing sectors".

Woodside indicated the gas would come from the Pluto-Karratha Gas Plant (KGP) Interconnector, a 3.2-kilometer, 30-inch pipeline that has transported gas from Pluto LNG to the Karratha Gas Plant of the North West Shelf Project since 2022.

Woodside previously said it has secured government and commercial agreements to extend gas flows through the Pluto-KGP Interconnector until 2029.

"The extended Interconnector arrangements provide for the processing of approximately 2.8 million tonnes (22.6 MMboe) of additional LNG in aggregate and approximately 22.9 PJ of additional gas for the WA domestic gas market", Woodside said in its annual report.

In 2025 Woodside produced 90.3 petajoules of gas in Western Australian, equivalent to about 21 percent of the state’s domestic gas supply, according to the company.

"We are continuing to engage with the Western Australian market on additional supply for 2026 and onwards", Woodside said Tuesday announcing the agreement with Alcoa.

At Western Australia's Scarborough Energy Project, Woodside expects to start liquefied natural gas production by yearend. The project includes the development of the Scarborough field off the coast of Karratha, the construction of a second gas processing train for Pluto LNG with a capacity of 5 million metric tons per annum and modifications to Pluto Train 1, according to Woodside.

To contact the author, email jov.onsat@rigzone.com

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