The first LNG cargo from Chevron’s Gorgon Project will leave the docks this week.
Last week, Chevron announced it had started producing liquefied natural gas and condensate at the Barrow Island project off the northwest coast of Western Australia.
“We expect legacy assets such as Gorgon will drive long-term growth and create shareholder value for decades to come,” said Chairman and CEO John Watson.
“The long-term fundamentals for LNG are attractive, particularly in the Asia-Pacific region, and this is a significant milestone for all involved.
“We congratulate the Gorgon workforce on this achievement. This is the result of the collaboration of hundreds of suppliers and contractors and many tens of thousands of people across the world during the project design and construction phases.”
Minister for Resources, Energy and Northern Australia Josh Frydenberg was at Barrow Island for the shipment.
“Congratulations to the Gorgon LNG Project Team on this significant achievement,” Mr Frydenberg said.
“The $70 billion plus project is the largest single private investment ever undertaken in Australia and has created more than 10,000 jobs in the construction phase of the project alone. This significant contribution to our economy will continue over the project’s expected 40-year plus lifespan.
“The Gorgon project is an example of the strong innovation in Australia’s resources sector. The project includes the world’s largest commercial-scale carbon capture and storage initiative, reducing the project’s emissions by around 40 per cent or 3.6 million tonnes per year.
“This is nearly six times greater than any other project in the world. It also has the largest sub-sea infrastructure ever built, with more than 800 kilometres of pipelines installed.
“With Australia’s large gas reserves, proximity to growing Asian energy markets, and reputation as a reliable supplier, we are well placed to capitalise on growing global demand for gas, which the International Energy Agency forecasts to increase by around 50 per cent between now and 2040.
“The Government is committed to ensuring the ongoing competitiveness of energy and resources projects like Gorgon by removing $4.5 billion of red tape from the economy, opening new markets through free trade agreements, and promoting new technology and innovation to increase productivity.”
Chevron is positioned to become a major LNG supplier by 2020. The majority of gas from Gorgon will be exported as LNG to Asian markets with the remainder being supplied to domestic markets in Western Australia.
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