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Media Release

Global Infrastructure Partners to light the fuse on Woodside’s carbon bomb

15 November 2021

15 November 2021

US-headquartered Global Infrastructure Partners (GIP) has entered into a purchase agreement for a 49% stake in Woodside’s planned Pluto Train 2 LNG project. 

Woodside says the deal is a significant milestone towards a final investment decision on the Scarborough-Pluto 2 development project. It is estimated the project, which includes development of the new Scarborough offshore gas field and Pluto Train 2, would release 1.69 billion tonnes of CO2 equivalent over its lifetime, equal to 15 coal power stations operating for 30 years.

Last week it was revealed NAB is arranging debt for GIP’s purchase of this Pluto Train 2 stake, despite the bank’s commitment to the goal of net zero emissions by 2050, and recent update to its gas lending policy.

Reacting to today’s announcement, Market Forces Asset Management Campaigner Will van de Pol said, “No amount of greenwash from Woodside, GIP or NAB can change the fact that there is no room for new gas fields like Scarborough if we’re to limit warming to 1.5 degrees.”

“The Scarborough-Pluto project is a carbon bomb at the scale of 15 coal power stations. GIP’s decision to buy into Pluto 2, and NAB’s role in arranging finance for the purchase,  could act to light the fuse on that carbon bomb.”

“However, despite Woodside’s bluster, the Scarborough gas project still faces significant risks, with limited offtake agreements in place and environmental and heritage approvals in a mess.”

“Woodside has again shown its desperation to pursue Scarborough at all costs, with the deal offering GIP concessions on regulatory, carbon and construction risks.”

Market Forces is proud to be one of the organisations joining with community members around Australia to launch the Say No to Scarborough Gas campaign.

“Australia’s super fund members and bank customers will not stand for our money being used to fund climate destruction. Financial institutions supporting Woodside, GIP and BHP’s dirty Scarborough gas plans will be held to account.”

Further background information:

  • Conservation Council of WA’s 8 November report warns investors and shareholders that environmental and heritage approvals for Woodside’s highly controversial Scarborough project are ‘in a mess’, creating major risks and uncertainty for the project less than two months before a financial investment decision is scheduled by the company.
  • International Energy Agency’s Net Zero by 2050 report (May 2021) found:
    • “There is no need for investment in new fossil fuel supply in our net zero pathway”
    • “No new natural gas fields are needed in the NZE beyond those already under development. Also not needed are many of the liquefied natural gas (LNG) liquefaction facilities currently under construction or at the planning stage.”