ChevronTexaco signs MOU to bring Australian LNG from Gorgon Gas
Field to America
Posted: 4 August 2003
ChevronTexaco Corp. announced an affiliate had signed a Memorandum
of Understanding (MOU) with the Gorgon Joint Venture in Australia
for the supply of Liquefied Natural Gas (LNG) for distribution to
markets on the West Coast of North America.
Under terms of the MOU, a ChevronTexaco affiliate will enter into
negotiations, the details of which are confidential, with the Gorgon
Joint Venture which could lead to the supply of at least 2 million
tonnes of LNG annually over a 20-year period, beginning in 2008.
The Gorgon gas field, located offshore Western Australia, has certified
proven hydrocarbon reserves of 12.9 trillion cubic feet (Tcf), with
total natural gas resources in the Greater Gorgon Area exceeding
40 Tcf. The Gorgon Joint Venture participants include ChevronTexaco
(4/7th interest and operator), Shell (2/7th interest) and ExxonMobil
(1/7th interest).
"Growing North American demand for natural gas is widely projected
to outstrip supply capabilities," said John Gass, president
of ChevronTexaco Global Gas, which coordinates the company's worldwide
natural gas businesses. "The Gorgon Joint Venture is well positioned
to help satisfy natural gas demand in both the West Coast of the
United States and Mexico."
ChevronTexaco is currently seeking approvals to permit the construction
and operation of an LNG terminal and regasification facility offshore
Baja California which would be capable of receiving Gorgon LNG.
"We believe the world-class Gorgon gas field and the significant
natural gas resources in the Greater Gorgon area are ideally situated
to meet growing demand in the Asia Pacific Basin," Gass said.
"Development of these resources is a key element of our strategy
to commercialize our equity resource base by targeting North American
and Asian markets."
Separately, ChevronTexaco is currently engaged in permitting another
LNG import terminal facility offshore Louisiana in the Gulf of Mexico,
and is evaluating additional sites suitable for the importation
of LNG to North America.
ChevronTexaco is one of the world's largest producers and marketers
of natural gas, producing approximately 4.4 billion cubic feet of
natural gas a day in countries including the United States, Australia,
Angola, Denmark, Nigeria, the United Kingdom, Thailand, Trinidad,
Canada, Colombia, Indonesia, Norway, Kazakhstan, Venezuela and the
Philippines.
LNG is natural gas cooled into a liquid, occupying 1/600th the
volume of an equivalent amount of natural gas.
LNG shipment capacity is commonly expressed in tonnes; a metric
tonne is equal to 1,000 kilograms or 2,204.6 pounds.
Posted by Richard Price,
Editor Pipeline Magazine
Information supplied by companies
or PR agencies who are responsible for content. Send press releases
to info@pipelinedubai.com |
