Woodside Energy has reaped the benefits of soaring oil and gas prices in the first half of 2022, boosted by assets acquired from BHP.
Australia's largest oil and gas company posted a fourfold increase in net profit after tax (NPAT) to $US1.64 billion ($A2.38b) for the six months to June 30.
Operating revenue for the six months to June 30 rose by 132 per cent to $US5.81b.
"There is no doubt that energy security has become a fundamental issue for world energy markets in the wake of Russia's invasion of Ukraine, and we are seeing that translate into commodity prices," Managing Director and CEO Meg O'Neill said on Tuesday on an investor call.
Ms O'Neill said she had confidence in the longer-term outlook for gas, which makes up 70 per cent of Woodside's business.
She said growing demand is expected during the coming decade as Asian and European markets look to reduce dependence on Russian gas.
The results reflected the benefits of the merger with BHP's petroleum assets and higher realised prices, which more than doubled year-on-year to $US96.4 per barrel of oil equivalent, she said.
Perth-headquartered Woodside completed a merger with BHP Petroleum on June 1.
Chief Financial Officer Graham Tiver said underlying NPAT quadrupled to a record $US1.82b.
He said higher production costs were caused by changes in how the group reports, not inflationary pressures.
A strong balance sheet would protect the company from market volatility in coming years, he said.
Woodside said increased production capacity at Bass Strait enabled the energy company to supply additional gas into the eastern Australian domestic gas market.
Meanwhile Pluto LNG achieved a strong production performance, up 11 per cent to 24.3m barrels.
Group production for the half-year was 19 per cent higher at 54.9m barrels, partly due to improved reliability at LNG facilities, Ms O'Neill said
Production from Pluto was increased by the start-up of Pyxis Hub and the commencement of gas flows through the Interconnector pipeline to Karratha Gas Plant.
"This well-timed investment allowed us to supply three LNG cargoes, one condensate cargo and pipeline gas into a strong market," Ms O'Neill said.
"The start-up of the Pluto-KGP Interconnector also marked the beginning of the North West Shelf Project's transformation into a tolling facility, which is essential to the long-term future of Australia's first and largest LNG plant."
Woodside said it paid $A700m in Australian taxes, royalties and excise in the first half of 2022.
"Higher prices do translate to higher taxes," Mr Tiver said.
Woodside declared a first-half dividend of $US1.09 per share, less than expected but up from 30 US cents a year earlier.
