Woodside outlook negative on lower oil, gas prices: Moody’s

Oil and gas prices will stay down for longer than anticipated, according to Moody’s latest price assumptions, and this has resulted in the outlook for Woodside being changed from “stable” to “negative”.  While Woodside’s senior unsecured credit rating remains at Baa1, the ratings agency thinks Woodside’s financial ratios are “weak” in relation to its credit rating but it is willing to leave the rating intact on the basis it sees an improvement in the prices of Woodside products in 2017. “Woodside’s negative outlook reflects Moody’s expectation that earnings and credit metrics in 2015 will be weaker than previously expected, and will take longer to rebalance to more appropriate levels for the rating under our revised base case assumptions.”