Chevron confirms a fourth LNG train for Gorgon project

Chevron Corp. reported that a fourth train will be constructed as part of the Gorgon LNG project on Barrow Island, Western Australia. Geryon field, discovered in 2001, and Chandon field, discovered in 2006, will supply the new 5.2 million tonne/year capacity LNG train.

This will bring the Gorgon project output capacity to 20.8 million tpy. Chevron confirmed the plan while hosting a group of investors around a recent site visit.

Geryon and Chandon will supply about 11 tcf of gas to the project. Gas from both fields is low in carbon dioxide and high in deliverability. Nevertheless the news has been a surprise since previous plans were to hold the gas from these two fields until the Gorgon and Jansz fields began to run down.

The fourth train work will include construction of a fourth LNG storage tank on Barrow and the laying of a third pipeline to feed the project.

An environmental impact assessment has already been lodged with the Western Australian government and front-end engineering and design on the proposed expansion will begin late this year.

Gorgon area manager Colin Beckett said the successful appraisal of pre-2009 fields discovered in the region as well as development drilling on existing discoveries had given Chevron the confidence to declare a fourth train viable without affecting the gas input for the first three trains.

The fourth train will be leveraged off existing infrastructure on Barrow Island to achieve the new train at the lowest cost. Although no figure was mentioned analysts believe a fourth train expansion would cost about $10 billion (Aus.).

First LNG from the Gorgon-Jansz project is still scheduled for 2014.

Related Articles

PNR cuts capital spending nearly in half

02/11/2015 Pioneer Natural Resources Co. (PNR), Dallas, plans to spend $1.85 billion in 2015 following a fourth quarter in which the company reported a net in...

InterOil wins arbitration over rights dispute with Oil Search

02/11/2015 The International Chamber of Commerce arbitration panel in London has found in favor of InterOil Corp. in its battle with Oil Search Ltd. over pree...

Study finds FLNG scheme ‘viable’ for Pandora field development

02/11/2015 A recent study has found that Cott Oil & Gas Ltd’s plans to use a floating LNG (FLNG) vessel for development of Pandora gas field in the Gulf o...

PACE survey finds 69% support for crude exports to trading partners

02/11/2015 More than two thirds of registered voters responding in a nationwide telephone survey commissioned by Producers for American Crude Exports (PACE) s...

New study finds wide variations in gathering systems’ methane samples

02/11/2015 Samples of methane emissions from 114 natural gas gathering stations and 16 processing plants across 13 states found wide variations in amounts act...

FERC approves Constitution pipeline to move Marcellus gas northeast

02/10/2015 The Marcellus and Utica natural gas plays have made headlines for years, but moving the gas to end users to the East has not been easy due to a lim...

Pennsylvania contemplates tax hikes to fix $2 billion deficit

02/10/2015 A severance tax on unconventional natural gas development and production is likely to be part of Pennsylvania Gov. Tom Wolf's scheduled Mar. 10 bud...

Accenture: Eagle Ford operators cut costs with integrated planning, better logistics

02/10/2015 Accenture examined the importance of integrated planning and logistics as a way to save money for operators in the South Texas Eagle Ford, a region...

Unconventional plays continue driving US production

02/10/2015 Output from unconventional projects is expected to account for much of the anticipated US production growth during 2015 although falling crude oil ...
White Papers

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by

Squeezing the Green: How to Cut Petroleum Downstream Costs and Optimize Processing Efficiencies with Enterprise Project Portfolio Management Solutions

As the downstream petroleum industry grapples with change in every sector and at every level, includin...
Sponsored by

7 Steps to Improve Oil & Gas Asset Decommissioning

Global competition and volatile markets are creating a challenging business climate for project based ...
Sponsored by

The impact of aging infrastructure in process manufacturing industries

Process manufacturing companies in the oil and gas, utilities, chemicals and natural resource industri...
Sponsored by

What is System Level Thermo-Fluid Analysis?

This paper will explain some of the fundamentals of System Level Thermo-Fluid Analysis and demonstrate...
Available Webcasts


The Alternative Fuel Movement: Four Need-to-Know Excise Tax Complexities

When Thu, Jun 4, 2015

Discussion on how to approach, and ultimately embrace, the alternative fuel market by pulling back the veil on excise tax complexities. Taxes may be an aggravating part of daily operations, but their accuracy is crucial in your path towards business success.

register:WEBCAST



On Demand

Prevention, Detection and Mitigation of pipeline leaks in the modern world

Thu, Apr 30, 2015

Preventing, detecting and mitigating leaks or commodity releases from pipelines are a top priority for all pipeline companies. This presentation will look at various aspects related to preventing, detecting and mitigating pipeline commodity releases from a generic and conceptual point of view, while at the same time look at the variety of offerings available from Schneider Electric to meet some of the requirements associated with pipeline integrity management. 

register:WEBCAST


Global LNG: Adjusting to New Realities

Fri, Mar 20, 2015

Oil & Gas Journal’s March 20, 2015, webcast will look at how global LNG trade will be affected over the next 12-24 months by falling crude oil prices and changing patterns and pressures of demand. Will US LNG production play a role in balancing markets? Or will it add to a growing global oversupply of LNG for markets remote from easier natural gas supply? Will new buyers with marginal credit, smaller requirements, or great need for flexibility begin to look attractive to suppliers? How will high-cost, mega-projects in Australia respond to new construction cost trends?

register:WEBCAST


US Midstream at a Crossroads

Fri, Mar 6, 2015

Oil & Gas Journal’s Mar. 6, 2015, webcast will focus on US midstream companies at an inflection point in their development in response to more than 6 years shale oil and gas production growth. Major infrastructure—gas plants, gathering systems, and takeaway pipelines—have been built. Major fractionation hubs have expanded. Given the radically changed pricing environment since mid-2014, where do processors go from here? What is the fate of large projects caught in mid-development? How to producers and processors cooperate to ensure a sustainable and profitable future? This event will serve to set the discussion table for the annual GPA Convention in San Antonio, Apr. 13-16, 2015.

This event is sponsored by Leidos Engineering.

register:WEBCAST


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected