Woodside to supply LNG to Europe, Woolworths’ bid for MyDeal approved and Santos receives more CCS permits
Australia-based Woodside Energy (ASX: WDS) has inked a long-term deal 12 cargoes of liquefied natural gas (LNG) from January 2023 to German utility Uniper – in a bid to cut Europe’s reliance on Russian supplies.
Uniper was Europe’s former largest buyer of Russian gas, but Russia President Vladimir Putin has threatened to turn off the tap to the continent as punishment for supporting an independent Ukraine, leaving the German company scrambling.
Uniper chief executive Klaus-Dieter Maubach said the deal with Woodside was crucial given recent developments.
“It will support our security of supply strategy together with the development of our LNG terminal in Wilhelmshaven,” he said.
Woodside chief executive Meg O’Neill said the new agreement will offer consumers in Europe an alternative supply option.
“It also reflects the increasingly interconnected nature of LNG trade in the Atlantic and Pacific basins as global markets respond to energy security challenges,” she said.
Australian Prime Minister Anthony Albanese said the nation will “continue to be a trusted and stable supplier of energy and resources”.
“As we work with other nations to reduce emissions globally, we will continue to be a reliable provider of energy,” he said.
Woolworths Group (ASX: WOW) has welcomed an announcement from MyDeal (ASX: MYD), where its shareholders have voted in favour of the retail giant group’s $243 million bid to acquire 80% of the company.
A total of 99.89% of votes from MyDeal shareholders were in favour of the $1.05 cash per share bid, which is expected to close on 14 September.
The greenlight from MyDeal shareholders is one of the final hurdles to completing the takeover, with the final step securing court approval next week.
Woolworths will acquire an 80% stake in the company, and the other 20% will be given to MyDeal’s founder and chief executive officer Sean Senvirtne, as well as other key management shareholders.
Melbourne-based MyDeal is an online retail marketplace, selling home and lifestyle goods, with more than 2,049 sellers and more than 6,000,000 product SKUs listed across 2,000 categories.
In May, Woolworths chief executive Brad Banducci said the takeover the opportunity was a stepping-stone for the company.
“The addition of MyDeal to Woolworths Group represents a further step towards delivering a more holistic customer experience in food and everyday needs and materially expands our marketplace capabilities, especially in general merchandise,” he said.
Endeavour Group’s (ASX: EDV) liquor store chain Dan Murphy’s has launched a “hiring week” from 5-11 September, in an effort to recruit 2,200 people to fill positions in its 258 stores across the nation.
Dan Murphy’s incoming managing director Agi Pfeiffer-Smith said “it’s never been easier to land a job with the leading drinks retailer”, stating anyone over the age of 18 is guaranteed an interview.
Ms Pfeiffer-Smith said every store across the nation is hiring and the chain is “making it as easy as possible” for people who are interested in a career with Dan Murphy’s.
“We are encouraging people from all walks of life to consider spending a summer with Dan; from university students to retirees who are looking to fill in a few hours a day or a few days a week, and everyone in between!” she said.
In what is considered to be the toughest labour market Australia has seen for decades, Dan Murphy’s is preparing for a busy summer and Christmas trading period.
The liquor store chain aims to fill 670 roles in New South Wales, 570 in Queensland, 530 in Victoria, 280 in Western Australia, and 140 in South Australia.
Oil and gas giant Santos (ASX: STO) has been awarded permits for evaluation and appraisal work relating to the potential storage of carbon dioxide in the offshore Carnarvon and Bonaparte basins.
The sites are located off the coast of Western Australia and the permits would allow Santos to work with its joint venture partners in pursuing potential carbon capture and storage (CCS) opportunities.
Santos chief executive officer Kevin Gallagher said the permits aligned with Santos’ CCS strategy.
“Carbon capture and storage is critical for the world to reduce emissions and in line with Santos’ net-zero scope 1 and 2 equity-share emissions by 2040 target, we are committed to looking at all options for CCS capabilities,” he said.
“At Santos, we have the technology, infrastructure and knowledge to be able to deliver low-cost CCS competitively on a global scale.”
“We know a large scale-up of CCS is required to meet the world’s climate objectives,” Mr Gallagher added.
Across the globe, there are 133 commercial CCS projects operational or under development.
Fertiliser company Incitec Pivot’s (ASX: IPL) share price has taken a dive after it confirmed demand from its fertiliser business dropped off as a result of rising global energy prices, freight costs, and inflation.
Incitec Pivot chief executive Jeanne Johns said during an investor day presentation on Tuesday the company would also need to pay an extra $45 million for gas at its Phosphate Hill fertiliser plant in Queensland.
Ms Johns added that even the explosives business unit was experiencing supply chain and inflationary pressures, and urged shareholders to “expect a lag in earnings recovering as it progressively resets contract prices.”
“We have the ability to push through most of the major cost increases,” she said.
“But when they go up 300% even small volumes can eat into your margins.”
The company still has its proposed demerger of its fertiliser and explosive divisions set for 2023, awaiting shareholder approval.