WDS - Woodside Energy Group

[Ferret]

Sovereign risk always seems to cause problems for companies investing in Africa.

Woodside have been burnt investing in Africa in the past and I wasn't pleased to see them heading back there.

Here's hoping that there isn't an other round of write downs out of this.
@debtfree

 

[qldfrog]

Sovereign risk always seems to cause problems for companies investing in Africa.

Woodside have been burnt investing in Africa in the past and I wasn't pleased to see them heading back there.

Here's hoping that there isn't an other round of write downs out of this.
@debtfree

I just checked today and the WDS vs BPT...so I half my share of WDS to limit what I see as potential damages especially the "energy transition crap etc"..
My reasoning of going into WDS was the fact that BHP were offloading these assets so a good indicator for future growth..
At the same time, I am selling some BPT as this has been so successfull that I am too exposed so want to reduce the % of the portfolio
With WDS, I ask them to get me oil and gas in 20y for the many usage where it will still be needed, not transforming itself to another FMG.
And i believe we might have opportunities to reenter lower for WDS

 

[divs4ever]

Here's hoping that there isn't an other round of write downs out of this.

write downs yes , i can see them coming but on the new BHP assets/plant , Africa well only time will tell there ( always a chance some big international major will come in with a compelling offer )

 

[Skate]

WDS is full of challenges
Woodside Energy Group (WDS) is facing unrest from both investors and climate activists, leading to a mixed performance over the past year. The company's stock price has been impacted by the energy sector's volatility and concerns about its climate action plan, which critics argue does not adequately address climate change. The leadership of Richard Goyder, the chairman, is also under scrutiny, with a growing movement among stakeholders to unseat him due to these concerns.

However, it’s important to note that despite these challenges, Woodside maintains a robust balance sheet and offers a solid dividend yield with 100% Franking. This still makes it an appealing investment opportunity for me but I will have to "be willing" to navigate the current challenges.

In conclusion, while the road ahead for Woodside is fraught with challenges, it also presents opportunities for growth and improvement. The company’s response to these challenges will be crucial in determining its future.

Skate.

 

[UMike]

If these Guys go WOKE they will go Broke.

Concentrating on their core business rather than virtue posturing is the key to their survival. Let alone their profitability.

By all means pursue GREEN energy but it has to be profitable in time.

 

[Sean K]

If these Guys go WOKE they will go Broke.

Concentrating on their core business rather than virtue posturing is the key to their survival. Let alone their profitability.

By all means pursue GREEN energy but it has to be profitable in time.

The problem they have is shareholder proxy advisors and union dominated super funds who are all Leftard climate warriors. What the hell they're doing on an oil companies share register can only be because of investment rules of the funds or woke agendas.

Glass Lewis last week recommended shareholders vote against Richard Goyder’s re-election at Woodside’s AGM on April 24 because of what it called a “dismissive” attitude to concerns about emissions and climate. Glass Lewis also urged shareholders to reject Woodside’s decarbonisation plan.

The proxy adviser referred to a report by the Australian Centre for Corporate Responsibility that Woodside under Mr Goyder had been “persistently unresponsive” to shareholder concerns about climate risk management and was pursuing a growth strategy not in shareholders’ interests.

Woodside said the research house’s response “appears to have been informed” by two member statements submitted to this year’s AGM.

“While Glass Lewis’ report says it does not share the concerns raised in these statements, they appear to be the main source for its assessment and commentary. We would like to point out that these two member statements were prepared by two civil society organisations, which both take an activist stance on climate issues and the fossil fuels sector,” Woodside said in a statement on Tuesday.

“The shareholders who submitted those members’ statements hold up to 0.005 per cent of Woodside’s shares on issue. We do not believe their views are representative of the majority of Woodside’s shareholders, whether institutional or retail.”

 

[divs4ever]

The problem they have is shareholder proxy advisors and union dominated super funds who are all Leftard climate warriors. What the hell they're doing on an oil companies share register can only be because of investment rules of the funds or woke agendas.

View attachment 174412

Glass Lewis last week recommended shareholders vote against Richard Goyder’s re-election at Woodside’s AGM on April 24 because of what it called a “dismissive” attitude to concerns about emissions and climate. Glass Lewis also urged shareholders to reject Woodside’s decarbonisation plan.

The proxy adviser referred to a report by the Australian Centre for Corporate Responsibility that Woodside under Mr Goyder had been “persistently unresponsive” to shareholder concerns about climate risk management and was pursuing a growth strategy not in shareholders’ interests.

Woodside said the research house’s response “appears to have been informed” by two member statements submitted to this year’s AGM.

“While Glass Lewis’ report says it does not share the concerns raised in these statements, they appear to be the main source for its assessment and commentary. We would like to point out that these two member statements were prepared by two civil society organisations, which both take an activist stance on climate issues and the fossil fuels sector,” Woodside said in a statement on Tuesday.

“The shareholders who submitted those members’ statements hold up to 0.005 per cent of Woodside’s shares on issue. We do not believe their views are representative of the majority of Woodside’s shareholders, whether institutional or retail.”

but 'those activist stances' are often acquired by union super funds ( and sometimes they are a big chunk of the share register )

but let's see what happens next

i bet WES will be watching as well ( it might make a big difference to future investment decisions )

 

[UMike]

“The shareholders who submitted those members’ statements hold up to 0.005 per cent of Woodside’s shares on issue. We do not believe their views are representative of the majority of Woodside’s shareholders, whether institutional or retail.”

Yet they get 90% of the coverage.

IF it wasn't for double standards these clowns would have no standards at all.

 

[Skate]

The market is not going to like this
Woodside has faced a tough quarter, and it’s safe to say that the market is poised for a reaction at the open. Today's release of the “First Quarter Report” paints a worrisome picture for Woodside. The company’s performance in Q1 2024 has seen a significant downturn compared to both Q4 2023 and Q1 2023. This downward slide in Woodside’s performance mirrors its dwindling share price. While this is purely speculative on my part, I fear the market will respond to these developments, and it’s reasonable to anticipate that the reaction may not be favourable.

The takeaway from the report
WDS revenue decreased by 12% compared to Q4 2023 and by 31% compared to Q1 2023. (ouch). Both the production and the sale of oil have decreased in Q1 2024 compared to Q4 2023 and Q1 2023. The average price at which the company sold its oil also decreased in Q1 2024 compared to Q4 2023 and Q1 2023 adds another layer to Woodside's woes.

Skate.

 

[JohnDe]

The market is not going to like this
Woodside has faced a tough quarter, and it’s safe to say that the market is poised for a reaction at the open. Today's release of the “First Quarter Report” paints a worrisome picture for Woodside. The company’s performance in Q1 2024 has seen a significant downturn compared to both Q4 2023 and Q1 2023. This downward slide in Woodside’s performance mirrors its dwindling share price. While this is purely speculative on my part, I fear the market will respond to these developments, and it’s reasonable to anticipate that the reaction may not be favourable.

The takeaway from the report
WDS revenue decreased by 12% compared to Q4 2023 and by 31% compared to Q1 2023. (ouch). Both the production and the sale of oil have decreased in Q1 2024 compared to Q4 2023 and Q1 2023. The average price at which the company sold its oil also decreased in Q1 2024 compared to Q4 2023 and Q1 2023 adds another layer to Woodside's woes.

Skate.

An energy company that reduces its dealings with oil and puts all its eggs in the gas basket is going to have difficulty. Unless something changes, we are going to see more of the same from them. And that is why I lost interest when researching Woodside a few years ago.

 

[DrBourse]

Watching and waiting for WDS... BUT, the Indicator Gods are not happy atm..
Look at the chart below - Look at the "Rules for DMI/ADXR Indicator" (near the bottom Right of Chart).

Look for the RED & BLUE Lines when they are above the Green Line, specifically back on 23/10/23 & 12/2/24 - then see what happened to the SP after those dates - not pretty at all.

Then look at the DMI Indicator, Now Today - Red & Blue above Green....

So I will sit on the fence for a bit longer.
Cheers.

 

[Garpal Gumnut]

From the AFR. Big Super and the Green Lobby are on a loser suggesting poorly thought out runways for Australian OG companies to cleaner energy. Shareholders will not tolerate lesser returns which will result if madcap investments are made in dubious experimental hydrogen and other green energies.

I would back Goyder and the new CEO O'Neill in their slow walking to please this ill-advised lobby. I see no mention of smaller shareholders being organised at the AGM to put in their 5c worth. Where are the adults when they are needed?

gg

 

[peter2]

Can't keep it in any longer. WDS is an unloved dog of a stock.

It was OK up until Sept 23 when it peaked near it's prior high. It been all down hill since then. Yes oil prices were weaker then also but WDS was much weaker falling from $39 to $29.

Late Feb 24 the oil price rallied quite strongly. What about WDS, price poked higher but it didn't last. Now that the oil price is falling WDS is going down much faster. (woof, woof, yip). This dog now has fleas.

The ongoing environmental activism against this essential energy provider is another reason for the current poor investor sentiment.

Waiting for a couple of indicator lines to cross up wouldn't be enough for me to even consider a reversal trade in WDS.

 

[Dona Ferentes]

is this enough to turn it around ?

Realism intrudes: Aust government's long-term views on the need for Australian-produced gas.

This morning, Federal Resources Minister Madeleine King said (quoted by The Australian Financial Review):

We will need affordable gas to support energy reliability for households and businesses as we move to a more renewable grid. We need gas to support Australian manufacturing and Australian industry, and tens of thousands of Australian jobs in the manufacturing sector.

King noted that Australia's gas industry, "creates highly paid and skilled jobs. It pays for roads, hospitals, schools and our security."

King said Australia's producers supply some 20% of the world's gas. This delivered $72 billion of export income for Australia's economy in 2023-24.

And King highlighted how the government's gas plan can work to help the nation and its trading partners reach their emissions reduction goals.

"We need gas to help us achieve our commitment to net zero. Our trading partners depend on our gas to meet their commitments to net zero...."

 

[Sean K]

is this enough to turn it around ?

Realism intrudes: Aust government's long-term views on the need for Australian-produced gas.

This morning, Federal Resources Minister Madeleine King said (quoted by The Australian Financial Review):


King noted that Australia's gas industry, "creates highly paid and skilled jobs. It pays for roads, hospitals, schools and our security."

King said Australia's producers supply some 20% of the world's gas. This delivered $72 billion of export income for Australia's economy in 2023-24.

And King highlighted how the government's gas plan can work to help the nation and its trading partners reach their emissions reduction goals.

"We need gas to help us achieve our commitment to net zero. Our trading partners depend on our gas to meet their commitments to net zero...."

Bowen and Bandt's heads must be exploding.

 

[peter2]

This unexpected political turnaround puts both WDS and STO back into my trading universe. Coincidentally oil is rallying off its recent low.

WDS is a reverse opp rallying off a recent low.
STO is a pull-back opp that's rallying off a recent pull-back to it's 50 - 62% buy zone.

 

[Ferret]

This unexpected political turnaround puts both WDS and STO back into my trading universe. Coincidentally oil is rallying off its recent low.

Yes, government support for Scarborough and Narrabri might provide the kick these two needed.

@debtfree

 

[Miner]

Sovereign risk always seems to cause problems for companies investing in Africa.

Woodside have been burnt investing in Africa in the past and I wasn't pleased to see them heading back there.

Here's hoping that there isn't an other round of write downs out of this.
@debtfreerr

@Ferret
Just curious how much are you aware of WDS Africa (Senegal) venture ?
I do have a family friend there.
Cheers

 

[divs4ever]

@Ferret
Just curious how much are you aware of WDS Africa (Senegal) venture ?
I do have a family friend there.
Cheers

i am aware that they have a (ad) venture there

can't get real picture of the geo-politics there , so it keeps me on the pessimist side of the spectrum ( on the whole company )

i am not totally averse to African exposure ( now, but once was ) but there are changes happening there which keep me cautious

 

[Miner]

i am aware that they have a (ad) venture there

can't get real picture of the geo-politics there , so it keeps me on the pessimist side of the spectrum ( on the whole company )

i am not totally averse to African exposure ( now, but once was ) but there are changes happening there which keep me cautious

Africa gives a pessimistic political picture. True.
Senegal is not Drc or others. Very peaceful for work.