Chevron Announces Expansion of Australian North West Shelf LNG Facilities
SAN RAMON, Calif., June 10, 2005 -- Chevron Corporation announced today that the North West Shelf venture will be expanding its onshore liquefied natural gas (LNG) facilities near Karratha, Western Australia by adding a fifth LNG train.
The $1.5 billion (Aus.$2 billion) expansion project will increase the joint venture's export capacity by 4.2 million tonnes to approximately 16 million tonnes per year. During 2004, the Train 4 LNG expansion project was completed. The additions of Train 4 and Train 5 will nearly double LNG capacity at the facility.
"This expansion further demonstrates Chevron's commitment to growing its integrated gas business," said George Kirkland, Chevron's executive vice president, Upstream and Gas. "Once the expansion is complete, the facility will be among the largest LNG complexes in the world."
Kirkland added, "Australia is an important area for Chevron, and we are pleased to play a partnership role in developing the country's natural resources. The expansion is expected to deliver many benefits to Australia and further strengthen the venture's ability to market the gas resources."
The project will begin with site development work next month, with the construction work force expected to peak at 1,500 people by mid-2007. Commissioning is planned to occur mid-2008.
Chevron holds a one-sixth interest in the joint venture. In addition to Chevron's subsidiary, ChevronTexaco Australia Pty Ltd., the other North West Shelf venture participants also hold a one-sixth interest are: BHP Billiton Petroleum (North West Shelf) Pty Ltd., BP Developments Australia Pty Ltd., Japan Australia LNG (MIMI) Pty Ltd., Shell Development (Australia) Proprietary Ltd., and Woodside Energy Ltd. (operator).
CNOOC NWS Private Limited is also a member of the North West Shelf venture but does not have an interest in the North West Shelf venture infrastructure.
Chevron Corporation is one of the world's leading energy companies. With more than 47,000 employees, Chevron subsidiaries conduct business in approximately 180 countries around the world, producing and transporting crude oil and natural gas, and refining, marketing and distributing fuels and other energy products. Chevron is based in San Ramon, Calif. More information on Chevron is available at www.chevron.com.
CAUTIONARY STATEMENT RELEVANT TO FORWARD-LOOKING INFORMATION FOR THE PURPOSE OF "SAFE HARBOR" PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995.
Some of the items discussed in this press release are forward-looking statements about the planned expansion of the North West Shelf LNG facilities and Chevron's natural gas strategy. The statements are based upon management's current expectations, estimates and projections; are not guarantees of future performance; and are subject to certain risks, uncertainties and other factors, some of which are beyond the company's control and are difficult to predict. Among the factors that could cause actual results to differ materially are lower than expected demand for LNG; the potential disruption or interruption of project activities due to war, accidents, political events, civil unrest or severe weather; inability or failure of the company's joint-venture partners to fund their share of project expenditures; and general economic and political conditions. You should not place undue reliance on these forward-looking statements, which speak only as of the date of the press release. Unless legally required, Chevron undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.
Updated: June 2005