Australian North West Shelf LNG Facilities Expanded

Chevron Corporation reports that the North West Shelf venture will be expanding its onshore liquefied natural gas (LNG) facilities near Karratha, Western Australia by adding a fifth LNG train.

The $1.5 billion (Aus.$2 billion) expansion project will increase the joint venture's export capacity by 4.2 million tonnes to approximately 16 million tonnes per year. During 2004, the Train 4 LNG expansion project was completed. The additions of Train 4 and Train 5 will nearly double LNG capacity at the facility.

"This expansion further demonstrates Chevron's commitment to growing its integrated gas business," said George Kirkland, Chevron's executive vice president, Upstream and Gas. "Once the expansion is complete, the facility will be among the largest LNG complexes in the world."

Kirkland added, "Australia is an important area for Chevron, and we are pleased to play a partnership role in developing the country's natural resources. The expansion is expected to deliver many benefits to Australia and further strengthen the venture's ability to market the gas resources."

The project will begin with site development work next month, with the construction work force expected to peak at 1,500 people by mid-2007. Commissioning is planned to occur mid-2008.

Chevron holds a one-sixth interest in the joint venture. In addition to Chevron's subsidiary, ChevronTexaco Australia Pty Ltd., the other North West Shelf venture participants also hold a one-sixth interest are: BHP Billiton Petroleum (North West Shelf) Pty Ltd., BP Developments Australia Pty Ltd., Japan Australia LNG (MIMI) Pty Ltd., Shell Development (Australia) Proprietary Ltd., and Woodside Energy Ltd. (operator).

CNOOC NWS Private Limited is also a member of the North West Shelf venture but does not have an interest in the North West Shelf venture infrastructure.


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