Chevron Awards BHGE Contracts for Next Gorgon Phase

Chevron Awards BHGE Contracts for Next Gorgon Phase
The new equipment will facilitate a second development phase within the Greater Gorgon area offshore northwestern Australia.

Chevron Australia Pty Ltd. has selected Baker Hughes, a GE company (BHGE) to supply subsea production system (SPS) equipment under a 15-year master service order (MSO) and well completion equipment under a second contract, BHGE reported Monday.

According to BHGE, the new equipment will facilitate a second development phase within the Greater Gorgon area offshore northwestern Australia to maintain gas supply to the downstream liquefied natural gas (LNG) plant. In April of this year, Chevron stated that “Gorgon Stage Two” (GS2) includes expanding the project’s subsea gas gathering network needed to maintain long-term natural gas supply to the 15.6 million tonne per annum (mtpa) LNG plant and domestic gas plant on Barrow Island.

BHGE stated Monday that the SPS scope of supply includes:

  • 13 subsea production trees
  • Two eight-slot manifolds
  • 13 MS-700 SFX fatigue-resistant wellheads and specialty connectors and pipes systems
  • 16 Sem2K subsea control systems and associated equipment

Visal Leng, president for the APAC region with BHGE, noted the company’s oil and gas campus in Jandakot, Western Australia, will support the expanded Gorgon subsea infrastructure.

“An in-country team will also support testing, installation and commissioning activities and, once the second stage is brought online, will provide operational support to maintain equipment availability, along with storage and maintenance of spare parts and tooling,” said Leng.

BHGE added that it will supply the following well completion equipment and services under a separate five-year contract:

  • Coring work
  • Liner hangers
  • Completions
  • Wellbore cleanup technology

“These latest contracts are a clear sign of BHGE’s continued gas technology leadership, and ability to compete and win big projects,” said Graham Gillies, vice president for subsea production systems and services with BHGE. “We have been providing cost effective, advanced technology solutions to Chevron for more than a decade and, through this MSO, will continue to do so, thereby de-risking project execution and driving technology standardization.”

Chevron owns a 47.3-percent interest in the Gorgon Project, which can produce up to 2.6 billion cubic feet of natural gas and 20,000 barrels of condensate per day from the Greater Gorgon area offshore Western Australia and has been exporting LNG from a three-train liquefaction terminal on Barrow Island since March 2016. Other project owners include ExxonMobil (25 percent), Shell (25 percent), Osaka Gas (1.25 percent), Tokyo Gas (1 percent) and JERA (0.417 percent).

During the first phase of Gorgon, BHGE supplied gas turbines, subsea production systems and pipeline pre-commissioning services, the company stated.


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