In a blockbuster cross-continental deal, Australian energy powerhouse Woodside Energy Group Ltd. announced Monday that it has struck a $5.7 billion agreement with U.S. infrastructure investor Stonepeak, selling off a 40% stake in its Louisiana LNG export terminal.

This high-stakes transaction marks a major milestone in the evolution of the Gulf Coast’s liquefied natural gas (LNG) landscape, coming at a pivotal time as global energy players vie for dominance in the booming LNG market.

Legal Titans Navigate the Deal

The transaction was carefully shepherded by legal heavyweights: Norton Rose Fulbright advised Woodside, while Simpson Thacher & Bartlett LLP provided transactional counsel to Stonepeak. Paul Weiss Rifkind Wharton & Garrison LLP handled Stonepeak’s financing matters — a trio of firms orchestrating a deal of continental proportions.

A Competitive Bidding War Ends in a Landmark Agreement

Woodside’s CEO Meg O’Neill called the process “highly competitive,” noting that global heavyweights had expressed interest in the Louisiana LNG project. Stonepeak emerged victorious, locking in a joint venture that will help bring the facility to life.

“This transaction further confirms Louisiana LNG’s position as a globally attractive investment set to deliver long-term value to our shareholders,” O’Neill said, cementing the project’s significance in the global LNG race.

Building the Future of U.S. LNG Exports

The agreement will see New York-based Stonepeak invest the full $5.7 billion over time toward the foundation development of the Louisiana LNG facility, which has already secured permits for a massive 27.6 million metric tons per year of production capacity.

Under the new joint venture — Louisiana LNG Infrastructure LLC (InfraCo) — Stonepeak will hold a 40% equity stake, with Woodside’s Louisiana LNG LLC (HoldCo) retaining the remaining 60%. Finalization of the deal is expected in Q2 2025, pending regulatory approvals.

“Critical Role in U.S. LNG Export Market”

Stonepeak executive James Wyper, head of U.S. private equity, hailed the investment as a strategic play, emphasizing Louisiana LNG’s key role in meeting surging global demand.

“With the need to bring significant additional capacity online over the coming years, we have strong conviction in the critical role Louisiana LNG will play in the U.S. LNG export market,” Wyper said.

He touted the project’s favorable risk-reward profile and praised Bechtel and Woodside as "best-in-class partners" in what could be a defining venture in the sector.

Boosting Global Footprint While Reinforcing Cash Flow

Woodside’s war chest gets a substantial boost from the deal — one that allows it to continue pumping capital into other cornerstone projects, including the Scarborough gas project offshore Western Australia. The company sold a 15.1% stake in Scarborough to Japan’s Jera for $1.4 billion last year.

Advisers Behind the Curtain

The intricate deal was financially guided by Mizuho Bank, Greenhill & Co., and Santander US Capital Markets LLC for Stonepeak, while RBC Capital Markets and Evercore counseled Woodside.

Leading Stonepeak’s legal counsel were Eli Hunt and Javad Asghari from Simpson Thacher, with Eric J. Wedel, Ben Steadman, Caroline B. Epstein, Ravi Purohit, and Lukas Richards helming the Paul Weiss team.

Details of Norton Rose Fulbright’s legal team were not immediately available.

As LNG continues to surge in global relevance, the Stonepeak-Woodside alliance stands poised to reshape the U.S. energy export market — a fiery fusion of capital, ambition, and strategic vision.