Largest ASX Petroleum and Gas Companies Anticipated for 2025
In the dynamic world of oil and gas, Woodside Energy Group (ASX: WDS) stands out as a prime choice for investors seeking exposure to the Australian market in 2025. With a strong project pipeline, strategic partnerships, and a healthy balance sheet, Woodside Energy Group is a market leader that continues to advance its projects on schedule.
Woodside's impressive project pipeline includes the Scarborough LNG project and the Trion offshore oil development, both of which are progressing well and expected to deliver production growth in the mid to long term. By partnering with high-quality co-investors like Stonepeak and large energy players such as Saudi Aramco, Woodside has successfully reduced investment risks, demonstrating strong capital discipline and alignment with strategic partners.
The company offers exposure to both LNG and oil markets, with expanding lower-carbon initiatives, potentially providing some resilience against the transition to greener energy sources. At the current time, the stock is trading at a discount (approximately 30% down from highs), presenting a potential buying opportunity for disciplined, patient investors seeking income diversification and exposure to energy sector dynamics that often move independently of traditional equity sectors.
For investors seeking broader exposure or diversification beyond individual stocks, energy sector-focused ETFs or managed funds that hold a basket of ASX-listed oil and gas companies can help mitigate single-stock risks. Alternatively, combining Woodside with select other quality names in the ASX energy landscape can capture thematic trends such as LNG export growth and lower-carbon energy projects.
However, it's important to consider the risks associated with global energy price volatility, geopolitical factors, and the macroeconomic environment impacting oil and gas demand and supply dynamics.
In summary, investing in Woodside Energy Group appears to be the most straightforward and currently preferable strategy to gain targeted ASX oil and gas sector exposure into 2025, supported by operational momentum and robust partnerships.
Other notable developments in the Australian energy sector include Santos (ASX: STO), an Australian energy company that operates multiple joint ventures with significant LNG production, including the Papua New Guinea LNG project and the Gladstone LNG project in Queensland, Australia. In May 2024, Santos secured a binding 10-year LNG supply and purchase agreement with Japan's Hokkaido Gas.
Beach Energy (ASX: BPT) is another ASX-listed oil and gas company with a diverse portfolio of onshore and offshore oil and gas production in five basins across Australia and New Zealand. In 2023, Beach Energy made gas discoveries at both Tarantula Deep 1 and Trigg Northwest 1. For its H1 2025 fiscal year results, Beach Energy reported sales revenues of AU$990 million, up 5 percent over the same period in the previous year.
Meanwhile, Viva Energy Australia's commercial and industrial segment delivered a fourth consecutive year of earnings growth in its 2024 fiscal year, with EBITDA up 5 percent to AU$469.9 million. Woodside Energy Group leads Australia in natural gas production and is a pioneer in Australia's liquefied natural gas (LNG) industry.
In June 2022, Woodside Energy Group merged with BHP's oil and gas business, forming a company whose natural gas production accounts for 5 percent of global LNG supply. Beach Energy's market cap is AU$3.29 billion and share price is AU$1.435, while Viva Energy Australia's market cap is AU$2.79 billion and share price is AU$1.785.
References: [1] Woodside Energy Group (2025). Annual Report. [2] ASX (2025). Woodside Energy Group Ltd (ASX: WDS).
Woodside Energy Group's leadership in the Australian energy sector extends beyond oil and gas, as they also delve into gold investing, aligning their interests with high-quality financiers like Stonepeak, showcasing their involvement in diverse areas of finance. Furthermore, considering energy sector-focused ETFs or managed funds could offer a blend of ASX-listed companies, potentially including gold-related projects, as a means of diversification or risk mitigation.
