How Woodside shares came roaring back this week

Investors piled into Woodside shares this week. But why?

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Key points

  • Woodside Energy shares rose by 9.2% this week, significantly outperforming the ASX 200’s 0.2% gain, driven by rising global oil prices and strategic business moves.
  • The company saw a 1% increase in quarterly production to 50.8 MMboe and a 3% revenue rise to US$3.36 billion, supported by higher realised oil prices and boosted its full-year production guidance.
  • Woodside's shares were bolstered further by a strategic partnership with Williams for the Louisiana LNG project, securing US$250 million to enhance project delivery and shareholder value.

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.

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.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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