Woodside Energy Positioned to Benefit Amid Strait of Hormuz Disruptions
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 08 2026
0mins
Should l Buy WDS?
Source: NASDAQ.COM
- Market Volatility Opportunity: The near-total closure of the Strait of Hormuz has led to serious short-term ramifications for global energy markets, positioning Woodside Energy to benefit significantly due to its strong Asian exposure and a current dividend yield of 4.6%, especially amid surging energy prices.
- Contract Security: Woodside has already contracted 75% of its LNG volumes for 2026 to 2028, with CEO Elizabeth Westcott noting that this diversified contract mix not only enhances the company's resilience but also allows it to capture value during market dislocations.
- Regional Revenue Structure: By 2025, Woodside is expected to derive 56% of its revenue from Asian markets and 24% from Europe, with nearly all remaining revenue from the Americas, making it more competitive in the current market environment.
- New Asset Investments: Woodside's investments in the U.S., including an ammonia facility in Texas and an LNG terminal under construction in Louisiana, align perfectly with current market demands and are expected to generate substantial cash flow, further solidifying its dividend-paying capacity.
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Analyst Views on WDS
About WDS
Woodside Energy Group Ltd is a global energy company. Its segments include Australia, International and Marketing. The Australia segment is engaged in the exploration, evaluation, development, production and sale of liquefied natural gas, pipeline gas, crude oil and condensate and natural gas liquids in Australia. International segment is engaged in the exploration, evaluation, development, production and sale of pipeline gas, crude oil and condensate and natural gas liquids in international jurisdictions outside of Australia. Marketing segment is engaged in the marketing, shipping and trading of its oil and gas portfolio. Its projects include Pluto LNG, the North West Shelf Project, Macedon, Sangomar, the lower carbon ammonia project in Texas, and others. It holds an interest in Woodside Louisiana LNG, which is an under-construction LNG production and export terminal in Calcasieu Parish, Louisiana. The Sangomar, containing both oil and gas, is located 100 kilometers south of Dakar.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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