Chevron says WA gas discovery will support 2 more huge gas projects
US energy company Chevron said on Wednesday that its newest gas discovery in Western Australia's Carnarvon Basin should buttressed the company's huge Gorgon and Wheatstone liquefied natural gas exploration projects.
Chevron Asia Pacific Exploration and Production Co president Jim Blackwell said that the company's Sappho-1 exploration, located about 140 kilometre of Onslow, so far drew an estimated 75 metres of net gas pay.
Mr Blackwell underscored the development as "latest in a succession of back-to-back discoveries that underscore our exploration capabilities and they will underpin the Gorgon and Wheatstone projects."
The giant energy firm's $43 billion Gorgon project on Barrow Island is a joint venture with ExxonMobil and Shell and currently stands as Australia's biggest resources development initiative.
On the other hand, Chevron's Wheatstone exploration site on the north side of Barrow should reach an estimated cost of $10 billion, with the project wholly owned by the company.
Company vice-chairman George Kirkland expressed confidence that the mammoth gas find would eventually support Chevron's long-term goal of establishing a natural gas business which could service the energy requirements of Australia and the Asia-Pacific region.
Chevron currently maintains a 50 percent interest in the permit that operates the Sappho-1 well, with Shell and ExxonMobil holding an identical 25 percent stakes each on the exploration project.