Chevron Lays Out Plans for Wheatstone LNG Project

Integrated energy firm Chevron’s subsidiary, Chevron Australia, plans to develop a new liquefied natural gas project in Australia, based on its 100%-owned Wheatstone natural gas discovery.

Chevron said that the facility will be located on the northwest coast of mainland Australia and have an initial capacity of at least one five million-ton-per-annum liquefied natural gas (LNG) production train with expansion capacity for additional production trains. The facility will also provide commercial domestic gas to the local market.

Discovered in 2004, Wheatstone is located 145km offshore in the Carnarvon Basin in water depths of around 200m. The initial phase of the development will tap an estimated 4.5 trillion cubic feet of natural gas resources located within the two Chevron-operated permits that include Wheatstone.

Chevron Australia is currently preparing design studies for development and production, site evaluation and further field appraisal work. Front-end engineering and design is expected to commence in 2009.

Jim Blackwell, president of Chevron Asia Pacific Exploration and Production, said: “Wheatstone LNG is a tremendous growth opportunity for Chevron, providing another platform to commercialize the company’s significant natural gas resources in Australia. Together, the Gorgon and Wheatstone projects are expected to make Chevron a leading natural gas supplier and operator of LNG facilities in the Asia Pacific region.”