Gorgon awards EPCM contract to KBR JV

Chevron Australia Pty. Ltd. has hired the Kellogg Joint Venture Group under a contract of about 2.7 billion (Aus.) to engineer, procure, and construction manage the LNG downstream and logistics portion of Gorgon LNG (OGJ Online, Sept. 14, 2009).

By OGJ editors
HOUSTON, Sept. 15
-- Chevron Australia Pty. Ltd., joint-venture operator of the massive natural gas gathering, liquefaction, and export project approved recently by its partners, has hired the Kellogg Joint Venture Group under a contract of about 2.7 billion (Aus.) to engineer, procure, and construction manage the LNG downstream and logistics portion of Gorgon LNG (OGJ Online, Sept. 14, 2009).

KJVG is a partnership among Clough Projects Australia Pty. Ltd., KBR E&C Australia Pty. Ltd., JGC Corp., and Hatch Associates Pty. Ltd. Group. The KBR-led joint venture will build the LNG plant on Barrow Island.

Design features improvements in greenhouse gas emissions performance including improved waste-heat recovery and provision of facilities for the injection of reservoir carbon dioxide deep into the subsurface.

The EPCM effort, said the announcement from Clough, is a modular construction strategy to “minimize impact on the island during the construction phase” and is being built from two main operating centers in Perth and London, with support from global centers in the US, Singapore, Indonesia, and Japan.

KJVG plans to utilize several fabrication yards across Southeast Asia and Australia to support the planned 250,000 tons of LNG modules. As reported, Gorgon will consist of three 5-million tonne/year LNG trains, gas processing and treatment facilities, product storage and offloading, complete off sites, utilities, and accommodations. The EPCM contract also includes a 300 TJ/day domestic gas plant.

The Gorgon project will develop the Greater Gorgon gas fields, 130-200 km off the northwestern Western Australia, which contain estimated reserves of about 40 tcf. Operator Chevron holds a 50% interest; ExxonMobil Corp. and Royal Dutch Shell PLC each hold 25%.

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