Amit Sarkar

Amit Sarkar sought clarification on the LNG offtake, specifically regarding the remaining 6 million tons per annum (MTPA) beyond Woodside's 8 MTPA, Uniper's 1 MTPA, and Williams' 1.5 MTPA, asking if it is fully contracted take-or-pay or if Woodside is responsible for it. He also inquired about the power innovation side, asking if Williams is exploring non-traditional technologies like fuel cells beyond its current equipment supply partners.

Answer

President and CEO Chad Zamarin clarified that Woodside currently holds the equity and offtake for the full 14 MTPA, making the facility 100% contracted, primarily with Woodside as the investment-grade offtaker. He added that if Woodside reduces its interest, it would likely be with other high-quality counterparts. Regarding power innovation, Mr. Zamarin stated that Williams is generally 'sticking to its knitting' with natural gas turbines, though it has added some batteries to its scope. He noted that while different technologies are being explored with customers, they represent a very small amount of overall investment.

Amit Sarkar from BMO Capital Markets Corp. sought clarification on the Louisiana LNG terminal's contracting status, specifically regarding an estimated 6 million tons per annum (MTPA) that he believed had not been publicly disclosed as fully contracted, and whether Woodside would be responsible for this portion. He also asked if Williams is exploring non-traditional technologies beyond natural gas turbines for its power innovation projects, such as fuel cells, similar to what was done with Socrates.

Answer

President and CEO Chad Zamarin clarified that the standalone LNG terminal is 100% contracted, primarily with Woodside as the offtaker, an investment-grade international LNG company. He noted that Woodside holds the equity and offtake for the 14 MTPA and may sell down additional equity and offtake obligations to other high-quality counterparties. Regarding power innovation, Mr. Zamarin stated that Williams is generally "sticking to its knitting," focusing on natural gas turbines, with some battery additions, and exploring other technologies in partnership with customers, but these represent a very small amount of overall investment.