Woodside now has 30 days to accept the WA-28-R, WA-29- R, WA-30-R, WA-31-R, WA-32-R, TR/5 and R2.
It is expected to take up the offer given that the Australian concern and its partners are expected to formally start the front-end engineering and design process on the floating LNG development within weeks.
Tuesday's agreement with the state government will reserve for Western Australian domestic use equivalent to 15% of LNG production from the state's estimated 65% share of the Torosa field.
In relation to a supply chain agreement for the proposed development, the Browse Joint Venture will seek to leverage off existing and emerging infrastructure and services where available to support an efficient and cost effective supply chain.
The Browse LNG project is now closer to development than at any point in time since the Brecknock, Calliance and Torosa fields (then called Brecknock, Brecknock South and Scott Reef) were discovered in the 1970s.
The initial Browse Basin discoveries were made by operator Burmah Oil Company of Australia for Woodside, Shell, Chevron and BP after Woodside, then a junior explorer, turned its attention from Victoria to the North West Shelf.
Woodside was granted a large region of the North West Shelf, Permit to Explore 213H in 1963 and Burmah and Shell quickly farmed-in for 33.33% each.
Soon after California Asiatic [later Chevron Corporation] acquired half Shell's interest and BP bought half Woodside's interest.
Burmah became the operator of the almost 400,000 square kilometre permit and the play-opening discovery at Scott Reef-1, which tested eight million cubic feet per day of gas with high condensate levels was made soon after.
Scott Reef, which was in a remote and deepwater offshore area, was quickly eclipsed by North Rankin-1, Rankin-1, Angel and Goodwyn gas and condensate field.
Ultimately the Rankin Trend proved to be the basis on the $19 billion North West Shelf Venture, then Australia's largest resource project, which started producing domestic gas in 1984.
Angel only got its chance to shine in 2009, and the Browse Basin fields are still waiting, as is Greater Sunrise, which was discovered in 1974.
The Brecknock gas and condensate field was discovered in 1979 and Brecknock South was added in 2000.
The fields were successfully appraised in 2006 and 2007, are covered by 3D seismic, and are ready to go into development, using the same floating LNG technology that Shell is pioneering at the Prelude field.
An LNG plant at James Price Point on the mainland was abandoned in favour of an FLNG option in 2013 following resistance from traditional landholders and environmentalists, and rising construction costs.
The final investment decision was pushed from 2015 to 2016 because of lower oil prices which mean the final project may have a price tag less than the current $40 billion estimate.
But while a positive final investment decision for Browse LNG is expected it isn't a sure thing.
Woodside once talked about this decision taking place in 2008 and first gas in 2012.
Since then the JV partners have aligned, with the leases now owned by Woodside, Shell, BP, Japan Australia LNG and PetroChina, there is an LNG supply glut and warnings of continued oversupply continue.
Woodside managing director Peter Coleman has said that if Australian LNG projects don't start constriction within the next few years they could be left on the shelf for some time as they are eclipsed by other supply options.
Even with the savings of an FLNG vessel, or three, Browse still needs to lock in long-term customers in what is a shifting energy environment and make all the numbers work in the $50 per barrel world.
