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First Gorgon LNG Cargo Departs for Japan

Gorgon

By MarEx 2016-03-20 22:02:59

The first shipment of LNG from Chevron’s Gorgon Project has departed Barrow Island off the northwest coast of Western Australia. The cargo will be delivered to one of Chevron’s foundation buyers, Chubu Electric Power, for delivery into Japan.

The LNG cargo will be delivered by the Asia Excellence, one of Chevron's new state-of-the-art LNG carriers. To support Chevron’s growing position as a leading LNG supplier, Chevron Shipping Company is in the final stages of its largest shipbuilding and fleet modernization program in recent history, which includes the addition of six new LNG carriers to its operated fleet.

The Gorgon project is one of the world's largest natural gas projects and the largest single-resource development in Australia. The project also includes one of the world’s largest subsea gathering systems.

The project is supplied from the Gorgon and Jansz-Io gas fields, located within the Greater Gorgon area, between 80 miles (130 kilometers) and 136 miles (220 kilometers) off the northwest coast of Western Australia. It includes a 15.6 MTPA LNG plant on Barrow Island, a carbon dioxide injection project and a domestic gas plant with the capacity to supply 300 terajoules of gas per day to Western Australia.

LNG is an essential fuel for power generation across Asia and natural gas is among the fastest growing segments of Chevron’s energy portfolio. Chevron’s Australian projects are well located to supply natural gas for the region and more than 80 percent of Chevron’s Australian subsidiaries’ equity LNG from the Gorgon and Wheatstone projects is covered by sales and purchase agreements and heads of agreements with customers in the Asia-Pacific region.

The Chevron-operated Gorgon Project is a joint venture between the Australian subsidiaries of Chevron (47.3 percent), ExxonMobil (25 percent), Shell (25 percent), Osaka Gas (1.25 percent), Tokyo Gas (one percent) and Chubu Electric Power (0.417 percent).