Chevron pens Western Australian gas supply deal with Alinta

Commencing in July 2027, Chevron will supply 46 petajoules of gas to Alinta Energy over a five-year period, according to a Chevron Australia statement.

“With Alinta Energy being one of the state’s largest gas retailers, the agreement supports the ongoing supply of energy to WA homes, businesses and industrial customers, and continues a long-standing partnership between the two companies which dates back more than four decades,” Chevron Australia said.

Alinta Energy recently also entered into a gas supply agreement with LNG Japan, a joint venture of Japan’s Sojitz and Sumitomo, to buy more than 30 petajoules of gas, strengthening its long-term energy supply portfolio in Western Australia.

“Following almost a decade in operation, Gorgon and Wheatstone have become pillars of energy security for the state and together provide approximately 40 percent of WA’s domestic gas supply,” Chevron Australia president Balaji Krishnamurthy said.

“The agreement is another demonstration of the way LNG developments, under WA’s long-standing domestic gas policy, have enabled a well-supplied domestic gas market, benefitting homes, businesses, and vital industries,” he said.

In April this year, Chevron resumed full production at its Wheatstone LNG facility near Onslow in Western Australia following the completion of repairs after Tropical Cyclone Narelle.

The foundation Wheastone project consists of two LNG trains with a combined capacity of 8.9 million tonnes per annum (mtpa) and the domestic gas plant.

The three liquefaction trains at Chevron’s giant Gorgon LNG plant on Barrow Island were not affected by the powerful tropical cyclone in Western Australia.

Launched in 2016, the three-train Gorgon LNG plant has a production capacity of approximately 15.6 mtpa.

Earlier this year, the Gorgon terminal shipped the 2,000th cargo of LNG since March 2016.