Chevron begins LNG production from Wheatstone Train 2 in Australia

Chevron has commenced production from the second liquefied natural gas (LNG) train at the Chevron-operated $34bn Wheatstone project, located 12km west of Onslow, Western Australia (WA).

The company now operates a five-train LNG business in the country with access to a natural gas resource base off the coast of the region.

With a peak capacity production of 8.9 million tonnes per annum (Mtpa) of LNG, the project is estimated to account for 6% of the Asia Pacific region’s total future LNG production.

The project is scheduled to deliver production over an estimated 30 years of operation.

Chevron Australia managing director Nigel Hearne said: “With the Chevron-operated Wheatstone and Gorgon LNG facilities now operational, we are delivering a significant new source of energy for customers in the region, as well as contributing to significant levels of investment into the Australian economy.”

Meanwhile, the company expects to begin production from the domestic gas plant later this year, which is anticipated to add another 200 terajoules a day into WA’s domestic gas network.

Expected to generate more than 300 full-time operational jobs, the project is operated by Chevron Australia with a 64.14% stake under a joint venture (JV).

Other JV stakeholders are Australian subsidiaries of Kuwait Foreign Petroleum Exploration Company (KUFPEC) (13.4%), Woodside Petroleum (13%), Kyushu Electric Power Company (1.46%), and PE Wheatstone, part-owned by JERA (8%).

Through the Wheatstone, Gorgon and the North-West Shelf projects, Chevron has a production capacity of 15.8Mtpa.

During the construction phase, Wheatstone provided employment to 7,000 workers.

WA premier Mark McGowan said: “This achievement is yet another sign that WA is getting back on track – the economy is improving, confidence is up and jobs are being created.

“Oil and gas projects help drive our economy, generating jobs in the industry and revenue with flow-on effects to the rest of the economy.”