Chevron Targets 25MM Tons/Year Capacity at Wheatstone

SYDNEY(Dow Jones Newswires), July 26, 2010

Chevron said Monday that its proposed Wheatstone liquefied natural gas plant in Western Australia state will have a maximum annual production capacity of 25 million metric tons.

Developing the project at such a scale near the port of Onslow on the Pilbara coast would reduce the need for future expansions by the company, and also "lessens the need for future LNG-related developments" nearby, Chevron said in a statement to regulators on the environmental impact of the Wheatstone project.

The Wheatstone project also includes a plant with a capacity of 625 million cubic feet of natural gas a day that will supply the domestic market, Chevron said.

That's equivalent to around 15% of the project's LNG sales.

Chevron said it remains on track to make a final investment decision on the Wheatstone project in the second half of 2011.

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