Australian energy major Woodside Energy has released an updated economic assessment for its long-delayed Browse LNG Project, with projected capital expenditure now rising to A$48.7 billion (US$35.2 billion), positioning the development among the most expensive energy projects in Australian history. The revised estimate, published in May 2026 via an economic impact study prepared by Deloitte for Woodside, is a major jump from the project’s previous 2019 estimate of A$27.3 billion, driven primarily by inflation, scope changes, and the addition of a substantial carbon capture and storage (CCS) component introduced in 2023.
Browse LNG Project: Overview
Browse LNG development seeks to commercialize one of Australia’s largest undeveloped offshore gas resources in the Browse Basin, off the coast of Western Australia, by routing gas from the Brecknock, Calliance, and Torosa fields to the aging North West Shelf LNG facility for processing.
The project is critical for extending the life of the North West Shelf operations after the facility secured a 40-year life extension through 2070. However, Browse LNG remains highly controversial, facing years of regulatory delays, environmental opposition, and permitting complexity tied largely to biodiversity concerns around Scott Reef.
Australia’s Gas Economy, CCS and Decarbonization
Browse is central to Woodside’s long-term LNG portfolio strategy as the company attempts to reinforce its position as a major Asia-Pacific gas supplier while balancing increasingly aggressive decarbonization expectations. Browse also complements Woodside’s investments in Scarborough Energy Project through the Pluto Train 2 expansion, and Louisiana LNG, effectively supporting a multi-basin growth strategy across Australia and North America.
A major differentiator in the revised Browse concept is its expanded CCS system, designed to inject up to 4 million tons of CO2 annually back into Browse reservoirs. According to Woodside, this would reduce direct project emissions by approximately 47%, materially improving the project’s regulatory defensibility amid tightening climate scrutiny.
The project also carries national importance for Australia, with Deloitte estimating Browse could contribute A$141 billion to GDP, create over 3,000 full time jobs, and generate A$56.2 billion in taxes and royalties over its lifecycle. These economic arguments are likely to weigh heavily in the final federal approval decision expected in mid-2026.
Browse LNG Project Cost
2026 updated Browse LNG project cost estimate:
- Total Capex: A$48.7 billion (US$35.2 billion)
- Previous estimate (2019): A$27.3 billion
- Estimated increase: 78%
The increase is attributed to:
- Inflationary pressures in labor and materials
- Expanded carbon capture infrastructure
- Engineering redesigns
- Regulatory and approval delays
Despite the larger capital burden, Woodside continues to frame Browse as a commercially attractive long-life LNG asset due to:
- existing North West Shelf processing infrastructure
- expected long-term Asian LNG demand
- reduced standalone liquefaction capex requirements versus greenfield alternatives
Browse LNG Project Fact Sheet
Location: Browse Basin, offshore Western Australia
Project Type: Offshore gas development, LNG and Carbon capture
Operator: Woodside Energy
Processing Facility: North West Shelf LNG, Karratha
Gas Fields: Brecknock, Calliance, Torosa
Estimated Cost: A$48.7 billion (US$35.2 billion)
Previous Estimate: A$27.3 billion
Carbon Capture Capacity: 4 Mtpa CO2 injection
Emission Reduction Target: 47% direct emissions reduction
Jobs: 3,068 FTE jobs
Projected Tax Contribution: A$56.2 billion
Status: Awaiting final regulatory approval
Expected Decision: Mid-2026
NWS Life Extension: Through 2070
Project Timeline
2018
- Browse LNG proposal submitted to regulators.
2019
- Project estimated at A$27.3 billion.
2023
- Woodside adds CCS component to improve emissions profile.
2024-2025
- Environmental challenges and approval delays continue amid Scott Reef concerns.
May 2026
- Deloitte releases updated economic study showing cost rise to A$48.7 billion.
Mid-2026
- Federal government expected to issue final project decision.
Post-approval
- Detailed engineering, procurement, and execution phase to proceed.
Developer, Partners and Stakeholders
Lead Developer
- Woodside Energy Group Ltd
Joint Venture Partners
Government Stakeholders
- Australian Department of Climate Change, Energy, the Environment and Water
- Western Australia Environmental Protection Authority
- National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA)
Outlook on Woodside’s Browse LNG Project in Western Australia
The inclusion of large-scale CCS has significantly improved the Browse LNG’s political and regulatory outlook. It has, however, inflated capex and execution complexity.
If approved, Browse would secure long-term feedgas supply for the North West Shelf and reinforce Australia’s LNG export position well into the 2040s and beyond. However, approval remains far from guaranteed, with environmental groups continuing to challenge the project over biodiversity risks and broader climate impacts.
