Wheatstone Project Information
Wheatstone Project Numbers
Industry: Oil & Gas (LNG) Project Value: $25bn Project Owner: Chevron
Project Management: Chevron. Kuwait Foreign Petroleum Exploration Company / Apache Corporation / Shell
Constructor: Front End Engineering & Design (FEED) Technip / Bechtel / Intecsea
Construction Period: Final Investment Decision (FID) scheduled for the second half of 2011 with first gas production expected 2016
Predicted Employment Numbers: Estimated to create 6,500 direct and indirect jobs
The project is nearing completion of the Front End Engineering and Design phase. Awaiting environmental approvals and other associated agreements to be finalised with various levels of government in order to conclude a final investment decision
The Wheatstone project is set to become one of Australia’s largest resource projects. Wheatstone is a Chevron operated natural gas field 200km North of Onslow off Western Australia’s Pilbara coast.
The project will provide significant economic benefits to the country. $15bn is estimated to be spent in Australia on locally purchased goods and services over the projects life. 6,500 direct and indirect jobs will also be created as a result and see it generate some $20bn in income for Australia through government revenues.
Gas will be processed at an onshore facility located at Ashburton North, 12km west of Onslow in Western Australia’s Pilbara region. The foundation project will include two LNG trains with a combined capacity of 8.9 million tonnes per annum and a domestic gas plant where 200 terajoules of domestic gas will be produced per day for Western Australian markets. This gas will be exported via a pipeline of about 90km in length to the main Dampier to Bunbury Natural Gas Pipeline.
Chevron is working with local subsidiaries Apache Corporation, Kuwait Foreign Petroleum Exploration Company and Shell who have all signed deals to become equity participants in Wheatstone Project. The first two LNG trains will be supplied with gas from the Chevron operated Wheatstone & Iago fields. Apache and KUFPEC will bring gas to Wheatstone from their Julimar and Brunello fields.
Chevron are committed to providing much needed new and cleaner burning energy to Australia and the Asia-Pacific region, having already signed Heads of Agreements with Tokyo Electric Power Company (TEPCO), Kyushu Electric Power Company and Korea Gas Corporation (KOGAS) to buy Wheatstone LNG. TEPCO and Kyushu also intend to become equity participants in the project.