Chevron gets closer to expanding Gorgon

By Russell Searancke Wellington

 13 December 2012 23:59 GMT

Chevron is finalising its contracting plan for both the offshore and onshore developments of the Gorgon liquefied natural gas expansion project in Australia.

The US supermajor had intended to begin front-end engineering and design on the fourth-train expansion about now but, given the 40% cost blowout and schedule slippage at the foundation three-train project, Chevron has postponed the process until next year.

A company spokesperson confirmed FEED would begin in 2013 “assuming stable fiscal terms”.

Sources said mid-2013 was probably a realistic time for FEED awards.

Chevron and its Gorgon joint venture partners, ExxonMobil and Shell, want the sequencing of Train 4 and the foundation project to be right, so deferring the start of Train 4 FEED…

Become an Upstream member!

Membership includes a subscription to our weekly newspaper providing in-depth news from the energy industry, plus full-access to this site and its archives. Still not convinced? Try our free trial.

Already a member?

Login

Upstream share price index