The merger is expected to create greater scale and diversity of geographies, products and end markets for both companies.
Woodside will acquire the entire share capital of BHP Petroleum International in exchange for new Woodside shares.
The signing of the SAA follows the merger commitment deed, announced back in August.
Once completed, the merger will create a global top 10 independent energy company by production, and the largest energy company listed on the ASX.
The merged entity will have a high margin oil portfolio, long-life LNG assets and the financial resilience to help supply the energy needed for global growth and development over the energy transition.
BHP chief executive Mike Henry said the company’s petroleum business and Woodside are better together, and the union will bring immense benefit to BHP shareholders.
“Merging our petroleum business with Woodside creates a large, more resilient company, better able to navigate the energy transition and grow value while doing so,” said Henry.
“Through the merger we will provide value and voice for BHP shareholders, and unlock synergies in how these assessments are managed.”
The companies expect the merger will bring a stronger growth profile with greater financial resilience.
On completion, Woodside will issue new shares to comprise 48 per cent of all Woodside shares as consideration for the acquisition of BHP, with the ratio based on the number of Woodside shares at the effective date.
Completion of the merger is expected in the second quarter of 2022.
For more information visit the Woodside website.
