8 Woodside Petroleum Ltd|Annual Report 2018

CHAIRMAN’S

REPORT

It is a privilege for me to report on what has been

a pivotal year for Woodside as we outlined growth

plans that shore up the future of your company.

Since announcing those plans in February, we have already

made good progress on delivering them, and our vision for the

Burrup Hub is starting to take shape.

Our focus is always on value for shareholders and this year we

have delivered strong returns, generating free cash ﬂow of

$1,524 million and net proﬁt after tax of $1,364 million. We will

pay an annual dividend of US 144 cents per share, an increase

of 47% on 2017.

At a time when so many of our institutions are confronting

a loss of public trust, companies like Woodside demonstrate

that big businesses are a vital part of the community. Our big

companies make a signiﬁcant economic and social contribution,

underpinning employment and tax revenue.1

These companies produce the goods and services that our

community relies on, developing the resources that power our

economy and our households. The best of our big companies

engage in a meaningful way with those who live and work

alongside them, forming long-term relationships with groups

that sustain and enrich the life of a community.

I have long admired Woodside for its dedication to operational

excellence and for the signiﬁcant contribution it makes to

the Australian economy and community. In all its activities,

Woodside is guided by a strong company culture that values

integrity and is founded on the commitment to doing the right

thing by our customers, our partners and our communities.

It is an honour to take on the role of Chairman at a time

when Woodside is progressing growth plans that will bring

considerable beneﬁts to Australia. Our plans to make signiﬁcant

investment in Australian natural gas projects will underpin jobs

and economic growth in our country while providing a reliable

energy source to local and global customers.

Our shareholders, who provide the equity capital for our

investments, will beneﬁt as we prepare to produce extra LNG

right at a time when the world needs it.

In early 2018, we outlined our proposals to develop the

Scarborough and Browse resources through our existing

infrastructure on the Burrup Peninsula, while also progressing

Richard Goyder, AO

Chairman

1. Woodside paid A$894 million (approximately US$668 million equivalent) in

tax and royalties in Australia in 2018 and A$4.9 billion over the past ﬁve years.