Woodside Energy (WDS) signed a non-binding memorandum of understanding with Petroleos Mexicanos for potential deep-water hydrocarbon exploration and extraction possibilities in the Gulf of Mexico, the company said late Wednesday.

The two companies are jointly developing the Trion Oil Project, which lies off the US-Mexican maritime border and is slated to become Mexico's first ultra-deepwater development with first oil expected in 2028, Woodside said.