Investing.com-- Woodside Energy Ltd (ASX: WDS ) said on Tuesday it has approved development of a $17.5 billion LNG project in Louisiana, with production targeted to begin by 2029.

The Australian LNG major said it expects to produce about 16.5 million tonnes per annum (mtpa) of gas from the project, while the project is expected to generate about $2 billion of annual net operating cash at full capacity. Woodside (OTC: WOPEY ) said the project will allow the company to deliver about 24 mtpa from its LNG division in the 2030s, and will also see the company operating over 5% of global LNG supply.

The company had earlier in April said investment firm Stonepeak will acquire a 40% stake in the project, and will provide about $5.7 billion towards the total capex for the project.

Bloomberg reported on Monday that Woodside was in talks with an overseas unit of Kuwait Petroleum to sell a stake in its Louisiana project, and could also sign a supply agreement for the project.

“We are pleased with the strong level of interest from potential strategic partners and are advancing discussions targeting further equity sell-downs,” Woodside CEO Meg O’Neill said in a statement.

The Louisiana LNG development was part of Woodside’s acquisition of Houston, Texas-based Tellurian (NYSE: TELL ) Inc last year. The project has an estimated total capacity of 27.7 mtpa.

Woodside’s approval of the LNG project comes amid expectations of easier regulatory conditions in the U.S., especially as President Donald Trump signed several orders to increase U.S. energy production.

Trump also scaled back climate-related regulations on the energy industry.