How Woodside shares came roaring back this week

Investors piled into Woodside shares this week. But why?

Bernd Struben

Author bio Bernd Struben earned his BA in economics from the University of Michigan in 1991, with post-graduate studies in environmental economics at the University of Connecticut. Over the years he’s written about and analysed the tourism industry in the Caribbean; Europe’s commercial real estate markets; and, since moving to Australia in 2010, global and Aussie share markets. Bernd studies geopolitical and macroeconomic trends, alongside sector and company specific data, to gauge what he believes could be tomorrow's best investments. In his free time, you might find Bernd at the beach with his family or working on his next science fiction novel. Areas of expertise Australian and global share markets Macroeconomic and geopolitical trends Real estate Education Economics, University of Michigan Favorite investment quote "The four most dangerous words in investing are: 'This time it's different." — Sir John Templeton

Published October 26, 2025 8:00 am AEDT

It was an excellent week to own Woodside Energy Group Ltd (ASX: WDS) shares.

With the S&P/ASX 200 Index (ASX: XJO) energy stock catching tailwinds on numerous fronts, shares closed the week up 9.2%, trading for $24.31 apiece.

For some context, the ASX 200 gained 0.2% over this same period.

Here's what's been capturing ASX investor interest.

Smiling worker in an oil field. — Image source: Getty Images

Woodside shares in the sweet spot

The first tailwind helping to drive Woodside shares higher was the significant lift in global oil prices.

On Friday afternoon, Brent crude oil was trading for US$65.52 per barrel. That saw the oil price up 7.0% over the trading week.

Oil prices got an added boost late in the week after United States President Donald Trump followed through on threats to impose harsher sanctions on Russian oil producers. The move is intended to punish Russia for its lack of commitment in ending its war with Ukraine, and to starve the nation of funding.

Woodside shares also enjoyed a 3.5% gain on Wednesday following the release of the company's September quarterly update (Q3 2025).

Highlights included a 1% quarter-on-quarter increase in production to 50.8 million barrels of oil equivalent (MMboe). And with Woodside achieving an average realised price of US$60 per barrel of oil equivalent in Q3, up 2% from Q2, the company reported a 3% quarter-on-quarter increase in revenue to US$3.36 billion.

The ASX 200 oil and gas producer also lifted its full year production guidance to 192 to 197 Mmboe, up from the prior guidance of 188 to 195 Mmboe.

Pleasingly, full year cost guidance was lowered, with 2025 production cost guidance falling to $7.6 to $8.1 per barrel of oil equivalent (boe), down from prior cost guidance of $8 to $8.5 per boe.

What else happened with the ASX 200 energy stock this week?

Woodside shares closed up another 4.3% on Thursday. This came after the company announced a strategic partnership with US-based natural gas infrastructure company Williams for Woodside's Louisiana LNG project, securing US$250 million in proceeds.

Commenting on the deal, Woodside CEO Meg O'Neill said:

We are excited to have Williams join us as a strategic partner in Louisiana LNG given its leadership in US natural gas infrastructure and ability to add value and deliver operational benefits to enhance the project.

This is Williams' first investment in LNG and its participation in Louisiana LNG is a testament to the quality of the project… we are on track to deliver first LNG in 2029 and create long-term value for our shareholders.

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