MELBOURNE, July 27 -- Chevron Australia has signed a binding sales and purchase agreement with Tokyo Electric Power Co. (Tepco) for delivery of as much as 3.1 million tonnes/year of LNG from Chevron’s Wheatstone development off Western Australia.
Chevron, together with partners Apache Energy and Kufpec, will make the deliveries over 20 years.
Chevron also is in discussions with Tepco to purchase an equity share in the Wheatstone project fields as well as a share in Chevron’s stake in the downstream processing plant and facilities.
The front-end engineering and design phase of the Wheatstone project is nearing completion and is on track for Chevron to make a final investment decision on the development by yearend.
The onshore plant site is earmarked as Ashburton North about 12 km west of Onslow on the Western Australian coast. The project will begin with two LNG trains with a total capacity of 8.9 million tpy of LNG. There will also be a domestic gas plant with sales gas feeding into the Western Australian grid.
Chevron signs first LNG sales contract for Wheatstone