Woodside Petroleum : 20.07.2017 Second Quarter 2017 Report

Thursday, 20 July 2017

ASX: WPL OTC: WOPEY

Woodside Petroleum Ltd.

ACN 004 898 962

Woodside Plaza

240 St Georges Terrace Perth WA 6000 Australia

www.woodside.com.au

SECOND QUARTER REPORT FOR PERIOD ENDED 30 JUNE 2017

Operational excellence

• Second quarter delivered sales revenue of US$867 million and production of 20.7 MMboe.

• Pluto LNG achieved record daily and weekly production, 3% higher than the previous record (Q3 2016), after successfully completing a cold high-rate trial. The cold high-rate trial demonstrated additional capacity in the LNG train and will inform decision-making on expansion options for Pluto LNG.

  Managing risk and volatility

• Entered into a long-term LNG sale and purchase agreement with PT Pertamina (Persero) commencing in 2019 to supply up to 1.1 million tonnes per annum.

  Creating and building near-term value growth

• Final commissioning of the Wheatstone LNG Train 1 is well advanced and nearing completion.

• NWS Project participants agreed a tolling proposal and have commenced discussions with third party resource owners for processing gas through the Karratha Gas Plant.

• Persephone ready for start-up is targeted for August 2017, with the project expected to be delivered 30% under budget and six months ahead of schedule.

  Woodside CEO Peter Coleman said that the company continued to perform to plan progressing activities across its portfolio.

  "Pluto achieved a number of production records following completion of a cold high-rate trial designed to inform our decision-making on expansion options for Pluto LNG.

  "Wheatstone has made significant progress with commissioning of LNG Train 1 in the final stages.

  "The North West Shelf Project participants achieved a major milestone by proposing non-binding key terms to process gas through the Karratha Gas Plant to other resource owners. The participants are now negotiating with the resource owners and targeting preliminary agreements in early 2018.

  "The Persephone project will be delivered six months ahead of schedule and 30% under budget.

  "We finalised a significant LNG sale and purchase agreement with Pertamina, which will see Woodside become a major supplier of LNG to Indonesia," he said.

  Contacts:

  MEDIA Michelle Grady W: +61 8 9348 5995 M: +61 418 938 660 E: michelle.grady@woodside.com.au

  INVESTORS Damien Gare W: +61 8 9348 4421 M: +61 417 111 697 E: investor@woodside.com.au

  SECOND QUARTER 2017 REPORT Contents Production 2 Sales Revenue 3 Projects 4 Exploration and Appraisal 5 Corporate 7 Data Tables 8

  Production

  Pluto achieves record rates

  30 Previous quarter

  (Q1 2017 to Q2 2017)

  25

  21.4 -0.1 0.1 -0.7 20.7

  MMboe

  20

  15

  10

  5

  0

  Q1 2017 LNG Liquids¹ Other² Q2 2017

  Corresponding period

  22.2		(Q2 2016 to Q2 2017 0.1 0.3	)	-1.9
  20.7

  30

  25

  MMboe

  20

  • Pluto LNG achieved daily and weekly production records, 3% higher than the previous records (Q3 2016).

  • Oil facility average reliability exceeded 96%.

  • Production for the period impacted by:

    • fulfilment of the NWS Domestic Gas Joint Venture

      entitlement, reducing equity share of pipeline gas

    • temporary unplanned outages at the Karratha Gas Plant

    • scheduled four-day turnaround at Pluto LNG.

15

10

5

0

Q2 2016 LNG Liquids¹ Other² Q2 2017

1. Liquids includes oil and condensate.

2. Other includes NWS pipeline gas, LPG, Canada pipeline gas and discontinued operations from Laminaria-Corallina.

20 July 2017 Woodside second quarter 2017 report 2

Sales Revenue

Increased from corresponding period

1,200

Previous quarter

(Q1 2017 to Q2 2017)

1,200

Corresponding period

(Q2 2016 to Q2 2017)

1,000

US$ million

800

1,000

US$ million

800

825

78 -36

867

600 600

400 400

200 200

0

Q1 2017 Realised price¹ Volume Q2 2017

0

Q2 2016 Realised price¹ Volume Q2 2017

1. Includes exchange rate impact.

20 July 2017 Woodside second quarter 2017 report 3