Rick Wilkinson
OGJ Correspondent
MELBOURNE, Aug. 14 -- The Chevron Australia-led Gorgon Joint Venture, now developing the vast Gorgon area gas fields off Western Australia for LNG exports, has committed to including a 300 terajoules/day domestic gas processing plant alongside the LNG facilities planned for Barrow Island.
Chevron says the JV will carry out final investment decision for the plant with the LNG project. Plans call for gas to be brought on stream for domestic use about the time the JV commissions the LNG project's third (of three) 5 million tonnes/year LNG train.
The JV brought the plant proposal to the table earlier than expected and says this will increase the number of supply points for domestic gas into Western Australia.
In response, the Western Australian government has welcomed the move and says Gorgon gas will increase the state's gas supply by 30% and provide further supply diversity to the local gas market, which has been sorely tested by disruptions caused by the explosion and fire at Apache Energy's facilities on Varanus Island June 3.
The Gorgon JV comprises Chevron, Royal Dutch Shell PLC, and ExxonMobil Corp.