Chevron’s LNG Gorgon project back on track

Chevron’s LNG Gorgon project back on track

Chevron’s (NYSE:CVX) large-scale liquefied natural gas project (LNG) on Barrow Island, off the north-west coast of Western Australia, is close to operating at full capacity after experiencing initial teething problems last year.

The Gorgon project shipped its first LNG cargo in March 2016, however the first train had many shutdowns over the course of the year.

But Chevron’s chief executive John Watson believes lessons have been learnt from the first train and applied to the second train, which was running at more than 90% capacity within a week of its October start up

“The only remaining thing to do is to bring on the Gorgon offshore field, we’ve been running on the Jansz field,” said Watson.

The Jansz gas field is one of two giant gas sources that underpins the US$54 billion project.

10 LNG cargoes have already been shipped in 2017, compared with a total of 29 in eight months, since the first gas shipment.

Gorgon is one of two huge offshore gas developments in Australia owned by Chevron, with the Wheatstone project also making good progress according to Watson.