Woodside Energy Group (WDS) Risk Analysis

Growth risks associated with delivery of both major and complex multi-year execution project activities and transactions (including acquisitions and divestments) across multiple locations around the world, including a reliance on third parties for materials, products and services. Oil and gas Woodside's strategy is to continue to identify growth opportunities, organic and inorganic, and commercialise them. Woodside competes with a wide range of companies as we seek to continue to expand Woodside's current operations and deliver shareholder value. Woodside manages relationships with industry partners, including when we enter joint ventures with organisations that may also be competing oil and gas suppliers. The development of our current and planned capital projects involves numerous challenges and uncertainties that have the potential to impact profitability or, in extreme cases, result in a total loss of investment. Key risks include uncertain geology,drilling at significant depths, the existence and availability of necessary technology and engineering resources. Additional 1. Woodside's Scope 3 investment target is to invest US$5 billion in new energy products and lower-carbon services by 2030. Woodside's Scope 3 emissions abatement target is to take FID on new energy products and lower-carbon services by 2030, with a total abatement of capacity of 5 Mtpa CO2-e. The acquisition of the Beaumont New Ammonia Project has delivered material progress towards our Scope 3 investment and abatement targets. challenges encompass supply chain constraints; availability of skilled labour, transport infrastructure limitations; licence expirations, project delays – including delays in securing permits – potential cost overruns, and exposure to technical, fiscal,regulatory, political and other conditions. The development of Louisiana LNG depends on several key factors, including market conditions for natural gas and LNG,transportation logistics, availability of equipment and skilled personnel, project costs, environmental and legal considerations, and regulatory requirements. While our Foreign-Trade Zone status provides benefits that mitigate tariff impacts, changes in trade policies continue to evolve and may impact costs. The project's performance is subject to market uncertainties, particularly regarding the ability to supply LNG competitively from North America to overseas markets, especially Europe and Asia. Fluctuations in supply, demand, and pricing could affect the financial outcomes for Louisiana LNG and our business. Our future oil and gas production depends on continued access to new reserves through exploration, negotiations with governments and other owners of proven reserves, acquisitions, and the development and application of new technologies. New energy We have set targets for our new energy products and lower-carbon services. There is uncertainty around the pace of required technological innovation and the reliability of technologies that will be needed to transition to a lower-carbon economy. New energy products and lower carbon services, such as hydrogen or ammonia, face uncertain demand forecasts, may be more difficult to commercialise than expected or may not be able to be commercialised safely or as efficiently as expected at scale. Woodside may also face unforeseen obstacles in the commercialisation of a future carbon capture business and in the implementation of other lower-carbon services and emission reduction efforts. An unbalanced portfolio of oil and gas and new energy, that may not meet the market's needs. Limited or reduced market share resulting in a loss of shareholder value and a failure to deliver expected returns. Project schedule delays or cost increases due to labour or material shortages, geopolitical conflicts, regulatory approvals or other unanticipated events. Failure to identify, execute or implement strategic transactions, including acquisitions and divestments, or to achieve the full benefits of those transactions. The scale and complexity of projects such as Louisiana LNG will require substantial capital and operating investment. Higher capital demands, prolonged weakness in oil and gas prices, or reduced cash flow could negatively impact our financial position and growth prospects. In such cases, we may need additional debt financing, which could be costly or unavailable, face potential credit rating downgrades, divest assets, or miss strategic opportunities. The development of acquired assets may lead to significant capital and operating expenses being incurred. This may result in a requirement to incur additional debt, and we may not be able to obtain financing in the future on acceptable terms. Woodside relies on third-party suppliers and partners for materials, products, and services. This dependency introduces risks beyond Woodside's direct control. For example, the successful production of lower-carbon ammonia at Beaumont New Ammonia is contingent on ExxonMobil's CCS facility becoming operational. Similarly, the supply for the Louisiana LNG project will be sourced from external providers. Any failure by these third parties to deliver on time, at required quality standards, or at competitive prices – or any inability to secure alternative sources – could materially impact project timelines, costs, and overall success. Credit rating agencies could downgrade our credit ratings below currently expected levels, particularly if Woodside is unable to undertake a material sell-down of its interest in LALNG HoldCo in the near term. Woodside may be unable to compete with other larger companies in the industry with greater resources at their disposal. Louisiana LNG has not yet secured purchase agreements for most of its expected production volumes. Failure to finalise contracts or sell an adequate portion of the ultimate expected volumes, could significantly impact the project's prospects and financial performance.