Woodside (WDS) said Sunday it has agreed to sell a 40% interest in its Louisiana LNG Infrastructure business to Stonepeak.

Under the terms of the agreement, Stonepeak will provide $5.7 billion towards the expected capital expenditure for the development of the three train 16.5 million tonnes per annum foundation development of Louisiana LNG.

Stonepeak's capital will cover 75% of projected expenses up to 2026, helping Woodside limit near-term outlays and strengthen its cash position.

The company said it expects development costs to range from $900 to $960 per tonne, not including pipeline or holding entity-related expenses.

Woodside said the transaction is set to close in Q2, following a final investment decision and necessary approvals, with about $2 billion payable at closing for costs incurred since January.