Latest Project Update
The Wheatstone Project continues to make good progress.
All subsea infrastructure and over 100 kilometers of flow lines have been installed. Hook up and commissioning of the offshore platform continues on plan.
All nine wells are drilled to the top of the reservoir with four of nine wells now completed and subsea trees installed.
At the plant 17 of the 24 modules required for first LNG have been delivered and all refrigeration compressors and gas turbine generators have been installed. Installation of all pipe racks and electrical switchgear buildings on the product loading facility is now complete as is startup of the power systems and the plant operations centre.
The Project is targeting the first LNG cargo by year-end 2016. Work to mitigate Wheatstone's schedule pressures from previous delays and module delivery continues.
A New Source of Vital Energy
The Wheatstone Project is one of Australia’s largest resource projects – providing greater security of supply and significant economic benefits such as employment, government revenue and local business opportunities.
A final investment decision to proceed with the Wheatstone Project was made in September 2011, with construction started in December that same year.
In conjunction with the Gorgon Project, it reinforces our position as a leading natural gas supplier and liquefied natural gas (LNG) operator in the Asia-Pacific region.
The Wheatstone Project will include an onshore facility located at Ashburton North Strategic Industrial Area (ANSIA), 12 kilometres west of Onslow in Western Australia’s Pilbara region. The foundation project includes two LNG trains with a combined capacity of 8.9 million tonnes per annum (MTPA) and a domestic gas plant.
The Wheatstone Project is a joint venture between Australian subsidiaries of Chevron (64.14 percent), Kuwait Foreign Petroleum Exploration Company (KUFPEC) (13.4 percent), Woodside Petroleum Limited (13 percent), and Kyushu Electric Power Company (1.46 percent), together with PE Wheatstone Pty Ltd, part owned by TEPCO (8 percent).
Providing Third Party Gas Opportunities - New Partners Welcome
The project site at ANSIA, is an ideal location for an LNG hub given its proximity to the vast gas resources in the Western Carnarvon Basin.
Eighty percent of the Wheatstone Project's foundation capacity will be fed with natural gas from the Wheatstone and Iago fields, which are operated by Chevron Australia in joint venture with Australian subsidiaries of Kuwait Foreign Petroleum Exploration Company (KUFPEC) and Kyushu Electric Power Company, together with PE Wheatstone Pty Ltd (part owned by TEPCO).
The remaining 20 percent of gas will be supplied from the Julimar and Brunello fields held by Australian subsidiaries of Woodside Petroleum Limited and Kuwait Foreign Petroleum Exploration Company (KUFPEC).
Around 85 percent of Chevron's equity LNG from the Wheatstone Project has been committed to premier LNG buyers.
Site Selection - Responsibly and Respectfully Choosing the Best Location
In December 2008, we selected a preferred site at Ashburton North - 12 kilometres west of Onslow on the Pilbara coast of Western Australia as the location for the LNG and domestic gas plant.
We selected the Ashburton North site after a 12 month study and extensive community consultation to find the location most suitable from environmental, community, social impact and engineering aspects.