Woodside Petroleum shares are trading higher despite the oil abd gas producer flagging 2019 output to be at the lower end of its guidance due to an extension of turnaround activities at its Pluto liquefied natural gas plant.
Woodside said on Tuesday its full-year prodcution would be between 88 million and 94 million barrels of oil equivalent due to the extension of maintenance but the company said it had made arrangements to meet obligations to its customers, including the purchase of third-party cargoes.
Woodside’s ASX-listed shares were up 1.1 per cent to $35.025 at 1159 AEST and are up 11.83 per cent for the year so far.
“The Pluto LNG turnaround was completed as planned but the mixed refrigerant compressor has experienced vibration on restart,” the company said in a statement.
The production curb comes as Royal Dutch Shell on Tuesday shipped its first cargo from the Prelude floating LNG plant off northwest Australia.
With Asian LNG spot prices at a three-year low, the extension of Pluto LNG maintenance is unlikely to have a big impact, industry sources said.