WPL results due tomorrow, here's their earnings preview....

WPL results due tomorrow, here's their earnings preview. references to senegal bolded.


Woodside Petroleum Ltd. (WPL.AU) is scheduled to release its earnings for 2016 before the market opens Wednesday.

Here's what you need to know:
EARNINGS FORECAST: A net profit of US$853 million is the median of eight analyst forecasts compiled by The Wall Street Journal. A year ago, the oil-and-gas producer reported a profit of US$26 million, a drop of 99% after booking US$1.1 billion in one-time charges including asset impairments due to lowered oil-price assumptions.
DIVIDEND: A final dividend of US$0.50 a share is forecast, which would be a rise on A$0.43 a year earlier.

WHAT TO WATCH:

--OPEX: Woodside has worked to keep a tight lid on costs through the slump in oil prices, bringing down its cash-cost of sales, so any guidance for the year ahead will be watched closely. Deutsche Bank says it will be looking for evidence that cost cutting in the first half of last year has been sustained.
--DRILLING DOWN: The company is expected to make progress this year firming up its development plans and reserves for projects in Myanmar, where it has made two gas discoveries, in Senegal where it has agreed to buy into an oil project and for Scarborough gas off Australia. As such, analysts are keen for details such as the expected timing of government approvals in Senegal and how the company expects to source additional natural gas for its North West Shelf and Pluto liquefied natural gas operations.
--RE-CONTRACTING: With some LNG contracts at the Pluto operation set to expire in 2017, there is interest among analysts in the terms of new contracts that replace supply deals with traditional buyers in markets such as Japan, Korea and Taiwan and potentially tap new buyers. The majority of Woodside's volumes are committed under medium and long-term contracts, and the company has said it would limit exposure to spot pricing.