Wheatstone toasts first gas cargo


CHEVRON has celebrated the first shipment of LNG from the Wheatstone Project offshore of Onslow in Western Australia with a cargo destined for foundation buyers JERA to Japan.

Chevron Australia Managing Director Nigel Hearne said the shipment signified the JV’s commitment to delivering a safe and reliable long-term supplier of cleaner-burning natural gas to customers in the Asia-Pacific region.

“The first Wheatstone cargo also represents the significant contribution of our partners, contractors and suppliers and efforts of thousands of people onsite, throughout Australia and around the world during the engineering, construction and operations phases,” Mr Hearne said.

“The Wheatstone Project is Australia’s first third-party natural gas hub enabling future development of the vast natural gas resources offshore Western Australia. Through collaboration our goal is to efficiently develop and commercialise this resource.”

Chevron said the Wheatstone Project will make a significant economic contribution to the long-term future of Australia, and had made a significant contribution to the local economy since 2009, representing more than $20 billion on local goods and services through 300 different Australian companies and created more than 7,000 jobs during construction.

At full capacity, the Wheatstone Project’s two train LNG facility is expected to contribute around six percent of the Asia Pacific region’s total future LNG production, delivering 8.9 MTPA of LNG for export to customers in Asia. The Project’s domestic gas plant also has the capacity to produce 200 terajoules per day of domestic gas for the Western Australian market.

Wheatstone achieved first LNG production on October 9, 2017. About 85 percent of Chevron’s Australian subsidiaries’ equity LNG from the Gorgon and Wheatstone projects is covered by sales and purchase agreements with premier customers.

The first Wheatstone LNG cargo will be delivered by the Asia Venture, one of six new state-of-the-art LNG carriers recently added to Chevron’s operated fleet.

A single Chevron cargo of LNG from the Wheatstone Project could power Japan for about 9 hours.

Once Wheatstone ramps up to full operations, Chevron anticipates becoming Australia’s largest liquefaction owner with 15.8 million tonnes per annum.

At full capacity, the Gorgon and Wheatstone facilities have the capacity to produce 500TJ/d of domestic gas, around 50 percent of current supply in WA.

More than $250 million has been committed to social and critical infrastructure projects in Onslow, which include upgrading community facilities, education and health services, roads, and power and water infrastructure.

The Chevron-operated Wheatstone LNG facility is a joint venture between Australian subsidiaries of Chevron (64.14 percent), Kuwait Foreign Petroleum Exploration Company (KUFPEC) (13.4 percent), Woodside Petroleum Limited (13 percent), and Kyushu Electric Power Company (1.46 percent), together with PE Wheatstone Pty Ltd, part owned by JERA (8 percent). Chevron holds an 80.2 percent interest in the offshore licenses containing the Wheatstone and Iago fields.


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