Gorgon Gas Project News

Svitzer wins 20-year Gorgon contract

2011-12-31T22:16:00.001-08:00

Chevron Australia, which has the majority share in the Gorgon joint venture, has awarded tug operator Svitzer a 20-year contract on the Gorgon Gas Project.

Svitzer will supply four 33m, 80-tonne bollard-pull Azimuthing Stern Drive (ASD) tugs for the project which will begin in 2014.

Ertech wins $50 million Gorgon contract

2011-11-08T07:08:00.001-08:00

Ertech Holdings has won a $50 million general services contract for the Gorgon gas project. The construction company will provide equipment and workforce to help construct a gas processing plant on Barrow Island. Ertech has delivered more than $200 million of construction work on the Gorgon gas project since 2009. This work includes the design and construction of the desalination plant, earthworks around the construction camp, and construction of landing berths at the island.

Gorgon gas project to help Australia be global no. 2 LNG supplier by 2015

2011-10-10T08:55:00.002-07:00

Australia is on course to be the second largest LNG supplier in the world by 2015. Projects such as the Gorgon gas project and Wheatstone gas project should help Australia close in on the number 2 position by the middle of the decade.

"So far in 2011, final investment decisions were reached for four Australian LNG projects," Tania Constable, head of the resources division of the Department of Resources, Energy & Tourism said.

It is believed that Australia could even overtake Qatar as the number 1 LNG supplier in the world by 2020.

Gorgon gas project to help Australia be global no. 2 LNG supplier by 2015

2011-10-10T08:55:00.001-07:00

Union says illegal workers on Gorgon gas project

2011-09-22T03:02:00.000-07:00

The Maritime Union claims a number of illegal immigrants are working on the Gorgon gas project.
The union claims that a sub-contractor of Chevron is employing crane operators and deck hands on tourist visas and paying them below award wages.

"It's just a cheap grab for labour, cheap labour that it is on these multi-multi-billion dollar projects, it's a joke" said MUA Deputy National Secretary Mick Dolman.

Rosen Group wins Gorgon Gas Project contract

2011-08-30T05:56:00.000-07:00

Rosen Group was recently awarded four major baseline pipeline inspection contracts for the Gorgon Gas Project on Barrow Island in Western Australia. The contracts are worth approximately $US9 million. Rosen has nearly 15 years of Western Australian experience.

Chevron looking to expand Gorgon gas project

2011-03-28T17:45:00.000-07:00

Chevron is aiming to approve an expansion of the Gorgon gas project within 2 years. The news was released by Chevron's vice president of technology and services, Jim Blackwell, at a briefing for analysts in New York. More that $US25 billion worth of contracts have been awarded so far at the Gorgon gas project.

Gorgon contract won by ICON Engineering

2011-02-06T20:03:00.001-08:00

A contract to build a Compensated Tension Lift Frame (CTLF) for use on the Gorgon gas project has been won by ICON Engineering.
The unit will be assembled in Perth and many of the componenents will be sourced from Australian suppliers.
The contract is worth $5.5 million.

Gorgon gas project delayed

2011-01-17T05:09:00.000-08:00

The Gorgon gas project is suffering from construction delays. The delays have already affected Australian contractor AJ Lucas who has warned its first half profits were likely to drop. AJ Lucas is contracted to provide shore crossings to link the upstream facilities for the Gorgon gas project to the onshore infrastructure on Barrow Island.

Clough wins $300m Gorgon contract

2010-12-20T06:44:00.001-08:00

Clough Ltd has won a $300 million contract for work on the Gorgon gas project in Western Australia.

"The work involves the transportation and installation of approximately 90km of 50cm pipeline, both offshore and onshore, from Barrow Island to the Dampier Bunbury Natural Gas Pipeline," Clough said.

Clough said engineering and procurement would commence immediately. Site work is expected to start and finish in 2012.

Gorgon distributing $9 billion of work to Australian firms

2010-12-01T07:28:00.001-08:00

The Gorgon gas project has delivered around $9 billion in work to Australian firms so far. Most of the work has been given to WA companies. There are currently around 85 boats and ships around Barrow Island involved with the construction of the Gorgon gas project.

Gorgon to be checked by KPMG

2010-10-27T17:30:00.000-07:00

Chevron has appointed forensic accountants from KPMG to help avoid cost overruns on the Gorgon gas project. The accountants will look through invoices from contractors and sub-contractors to ensure that Chevron is not being overcharged. Chevron has awarded $24 billion worth of Gorgon contracts in the last year.

PM praises Gorgon carbon project

2010-10-11T00:13:00.000-07:00

The prime minister of Australia, Julia Gillard, visited the Gorgon gas project site last Saturday to praise the environmental credentials of the operation. The Gorgon gas project features the world's biggest carbon capture and storage program. At its annual meeting last week, the Carbon Sequestration Leadership Forum recognised the Gorgon gas project for its leadership in carbon capture and storage.

Leighton wins Gorgon contract

2010-09-29T19:13:00.000-07:00

A subsidiary of Leighton has won a massive contract to deliver civil and underground works on the Gorgon gas project. The $800m contract is in addition to the company's current Gorgon work which include a jetty and marine structures.

Mermaid Marine secures Gorgon contract

2010-09-21T20:37:00.000-07:00

Mermaid Marine has secured a shipping contract for the Gorgon gas project. The 3-year contract is worth more than $80 million and includes the provision of a towing tug, barge and landing craft. The barge will be uses to transport fuel from the mainland to the Gorgon site.

Chevron board may visit Gorgon site

2010-09-10T22:09:00.000-07:00

The board of Chevron is to visit Perth at the end of this month to mark the first anniversary of its decision to approve the Gorgon gas project in Western Australia. Considering the board is making the trip from Houston to Perth, it would be strange for them not to go that little bit further and visit the Gorgon site during their stay in Western Austalia. Chevron's board includes a former Daimler Chrysler co-chairman and the current chairman of Wells Fargo.

Neptune gets 2 more Gorgon contracts

2010-08-30T08:54:00.000-07:00

Neptune Marine Services has won 2 more contracts to provide dive and vessel support services on the Gorgon gas project. Neptune Marine Services is a leading subsea engineering solutions/services provider with a presence in Australia, the United States, and the United Kingdom.

The contracts give the company an extra 14 months work at the Gorgon site.

Gorgon accommodation ship damaged

2010-08-14T23:52:00.000-07:00

The ship used to accommodate workers at the Gorgon gas project site has been damaged. As previously reported by gorgongasproject.com, the cruise liner MS Finnmarken was brought to Barrow Island to house construction workers on the Gorgon site. It is believed the ship pulled away from its mooring at the Gorgon site and continued to sail to Dampier despite damage to its hull. The Western Australian government is now investigating the incident as it may have put the lives of some of the 270 workers on board at risk.

Monadelphous wins Gorgon contract

2010-07-29T07:58:00.000-07:00

Monadelphous has won an $85 million contract for the installation of onshore pipelines, cables and tubes at the Gorgon gas project. Managing director of Monadelphous, Rob Velletri, said "This contract supports our objective of sustainable long term growth through expansion of our services with quality customers such as Chevron".

AGR Drilling Get Gorgon Contract

2010-07-01T19:51:00.001-07:00

AGR Drilling Services will provide excavation services to the Gorgon gas project as part of a $7 million contract wtih Van Oord Australia. The excavation project is expected to save the Gorgon owners a substantial amount of money by allowing for a 90km pipeline to be laid in a more direct route to shore.

Fairstar wins Gorgon contracts

2010-06-03T05:47:00.000-07:00

Two transportation contracts for the Gorgon gas project have been awarded to Fairstar Heavy Transport. Under the terms of the agreements, Fairstar will provide its two semi-submersible heavy transport vessels for the transportation of modules and related project materials from various construction sites to to Gorgon gas project site on Barrow Island.

Gorgon and Wheatstone to create over 16,000 jobs at peak

2010-05-20T05:50:00.000-07:00

Chevron has said that it expects the Gorgon and Wheatstone projects to create 16,500 jobs at their peak.
The Gorgon gas project is expected to supply 8% of global lng when fully operational.

Environmental Problems with Gorgon

2010-05-06T20:14:00.001-07:00

The Greens have accused the WA State Goverment of negligence in protecting the environment on Barrow Island, home of the Gorgon Gas Project. They say that the government is failing to monitor the environment properly and point out the fact that environment officers meant to protect the island have not been employed yet. The government replied by saying that the selection process for six fly-in, fly-out conservation positions on Barrow Island was "now drawing to a conclusion".

Gorgon contract won by Kencana

2010-05-05T04:09:00.001-07:00

Kencana of Malaysia has won a $51.7 million contract for fabrication work in the Gorgon gas project. As part of the contract the company will supply pre-assembled racks for the fabrication of the marine and jetty structures at the Gorgon project site.

Nearly 3,000 jobs created at Gorgon

2010-04-27T05:15:00.001-07:00

The Gorgon gas project has generated almost 3,000 jobs so far according to Chevron. The company currently emplyos 1,800 people in Australia but is due to hire a further 700 people this year. Gorgon and other gas projects in Australia are the centrepiece of Chevron's growth strategy.

Gorgon workers to live on luxury liner

2010-04-14T19:40:00.001-07:00

Chevron has announced plans to house Gorgon construction workers on a luxury liner. The workers will live there until a permanent settlement is built on Barrow Island. The liner is called the Finnmarken and is from Norway. The vessel can accommodate 350 workers.

Gillard tours Gorgon gas project site

2010-03-31T23:37:00.000-07:00

Deputy Prime Minister Julie Gillard toured the construction site of the Gorgon gas project this week as part of a tour of LNG projects in Western Australia.
The Deputy PM encouraged people down on their luck in the eastern states to look at projects such as Gorgon for job opportunities. The Gorgon construction site is not much to see at the moment, but by 2014 Barrow Island will be home to the most sophisticated LNG project in the world.

Aker Solutions wins Gorgon contract

2010-03-30T00:23:00.000-07:00

Norwegian company Aker Solutions has won a $100 million contract to supply subsea umbilicals to the Gorgon gas project.
Around 264km of steel tube umbilicals will be supplied to Gorgon in order to connect the subsea production system to a liquified natural gas plant.
The umbilicals will be manufactured in Moss, Norway.

Deputy Prime Minister to visit Gorgon project site

2010-03-30T00:18:00.000-07:00

Deputy Prime Minister Julia Gillard is expected to visit the site of the Gorgon gas project today.
Gillard was in Perth yesterday to announce a training fund.

Gorgon to push resources salaries higher in WA

2010-03-22T08:36:00.001-07:00

Resources salaries are expected to start rising soon as projects such as Gorgon ramp up. Salaries have been flat recently, but the increase in business activity should increase salaries within the next few months. This year has brought renewed confidence to the resources sector in Western Australia.

General Electric awarded Gorgon LNG contract

2010-03-06T01:19:00.000-08:00

General Electric (GE) has been awarded a number of contracts on the Gorgon gas project in Western Australia.
The value of the contracts is more than $1.2 billion Australian dollars.
The contracts were awarded by Chevron and include the supply of 5 turbines to produce power for the project. A number of jobs will be created as a result.

Unions quick to defend Gorgon job salaries

2010-03-01T19:01:00.001-08:00

West Australian Construction union boss Kevin Reynolds has defended the Gorgon pay deal saying workers deserved compensation for the isolated lifestyle. He said "They are locked away on this prison island", referring to the remote location of Barrow Island. The pay deal will see tradesmen paid up to $160,000 a year, with labourers being paid up to $150,000 a year.

Gorgon workers to be paid up to $150,000 a year

2010-02-23T04:17:00.000-08:00

Gorgon contractor Thiess has agreed to pay labourers and tradesmen up to $150,000-a-year. Workers will get a 9 day break every 26 days and up to 5 weeks annual leave.
The head of the Construction, Forestry, Mining and Energy Union, Kevin Reynold said @I wouldn't say they're massive pay rises, but it's a reasonable settlement for an agreement for workers who have got to work in some of the harshest conditions in the bloody country and work 70 hours a week to achieve that sort of money.".

Gorgon to help Australia enter new boom period

2010-02-16T02:24:00.001-08:00

Rising Asian demand for cleaner-burning fuels from projects such as Gorgon may boost Australia's economy by 0.25 percent a year over most of the next decade says a leading analyst. LNG projects could also increase tax revenue by A$125 billion during the next 10 years. LNG projects valued at more than A$80 billion are scheduled for final investment decisions in 2010.

New gas find could boost Gorgon

2010-01-30T23:06:00.000-08:00

A new gas discovery offshore in Western Australia could be a new supply of gas for the massive Gorgon gas project on Barrow Island. Chevron Australia managing director Roy Krzywosinski welcomed the new discovery. The gas find is in the Yellowglen-1 exploration well around 250 kilometres north-west of Onslow.

Royal Boskalis Westminster to start work on Gorgon port

2010-01-19T08:15:00.001-08:00

Royal Boskalis Westminster is due to start work soon on the port for the Gorgon gas project. The port project is worth $720 million. Royal Boskalis Westminster is a Netherlands-based company. It is claimed to have the world's largest dredging fleet.

Chevron Signs Gorgon Gas Deal With Nippon Oil

2010-01-10T08:41:00.000-08:00

Chevron has signed a 15-year deal to sell Nippon Oil Corp 4.5 million tons of liquefied natural gas from its Gorgon project in Western Australia. The agreement is to deliver 0.3 million tons a year of LNG to Nippon Oil.

"We are working hard to deliver LNG from the Gorgon Project safely, reliably and in an environmentally responsible manner to our customers in Japan and Korea," said Roy Krzywosinski, Chevron's Australian head.

Chubu of Japan to buy part of Gorgon LNG project

2009-11-25T04:56:00.001-08:00

Japanese utility Chubu Electric Power Co is to 0.417% of Australia's Gorgon LNG project from U.S. oil giant Chevron. The stake is said to be worth around $170 million.

Chubu also said it would buy 1.44 million tonnes of LNG per year from the project's operator Chevron for 25 years from 2014.

$60m Gorgon contract won by Monadelphous

2009-11-19T00:48:00.000-08:00

Monadelphous Group Ltd has won a $60 million contract for facilities management services at Chevron's massive Gorgon liquefied natural gas project on Barrow Island in Western Australia.

Monadelphous is scheduled to commence work on site at Barrow Island in February. The contract is initially for three years, with the option for two further one-year extensions.

Gorgon project could get bigger: Chevron

2009-10-08T07:37:00.000-07:00

Chevron has said that it would like to expand its recently announced Gorgon liquefied-natural-gas project in Western Australia, but that will depend on the available reserves and completion of third production train.

"From Day One, we've always looked at a master plan that would allow us to put five trains on the island," Chevron's George Kirkland said on the sidelines of the World Gas Conference.

In addition to Chevron's operating stake of 50% in Gorgon, Exxon Mobil Corp and Royal Dutch Shell PLC each hold a 25% share.

Gorgon to generate 10,000 jobs

2009-09-28T12:28:00.000-07:00

The massive Gorgon Gas Project in Western Australia is expected to create up to 10,000 direct and indirect jobs. Already around 1,000 people are already working on Gorgon's design and procurement. Chevron has already received a number of unsolicited applications from jobseekers for all operations, engineering, supply chain and logistics areas.

Gorgon logistics services contract won by DB Schenker

2009-09-25T03:38:00.000-07:00

The Integrated Logistics Services (ILS) contract for the Gorgon Gas Project has been won by DB Schenker. The contract is worth around AU$590 million.

Ron Koehler, CEO Schenker Australia Pty Ltd, commented: "We have a successful track record in upstream and downstream oil and gas projects given our ability to deliver services on time and in budget. We are proud to be part of such a significant project as Gorgon and committed to deliver a best in class service. Already we have in place a core project team, whose numbers will be growing significantly following the commencement of operations on the 15th of September 2009."

Contractors vie to secure Gorgon gas deals

2009-09-18T04:07:00.001-07:00

The Gorgon gas project has contractors lining up for a slice of the $43 billion it is expected to cost to build. Already $2 billion has been signed-off and about 1,400 new jobs created.
One of the contractors who has recently secured a Gorgon deal is Compass Australia, which won a 150 million three-year contract to feed workers on the gas project.
The company is planning to hire 1,000 people in WA during the next 8 months.

The Gorgon project, Australia's all time biggest resources project, is due to start producing gas for sale in 2014.

Korea Gas Corp agrees to buy Gorgon gas

2009-09-16T03:45:00.000-07:00

Korea Gas Corp has agreed to buy 1.5 million tons of liquefied natural gas a year from Chevron. The gas will come from the Gorgon gas project. It is the largest long-term LNG deal ever signed between Australia and South Korea and is estimated to be worth 30 billion Australian dollars ($26 billion). The South Korea government-owned buyer has an option to extend the 15-year agreement for a further five years.

Clough Wins 20% Share of Gorgon Construction Contract

2009-09-15T04:20:00.000-07:00

Clough has won a 20% share of a A$2.7 billion engineering and construction contract for the Gorgon gas project in Western Australia. The Perth-based company was awarded the contract by Chevron. Chevron and partners Exxon Mobil and Shell signed an agreement yesterday to build the A$43 billion Gorgon venture.

Gorgon Gas Project gets final approval

2009-09-14T09:05:00.000-07:00

The partners in the Gorgon gas project in Western Australia officially gave the project the final go ahead in Perth on Monday.

Chevron, Shell and Exxon Mobile have all now approved final investment in the project. The decision was welcome by the Prime Minister of Australia, Kevin Rudd, who said:

"The Gorgon investment will be Australia's largest-ever resources development and is expected to generate $300 billion in Australian export earnings".

At the signing ceremony, WA Premier Colin Barnett said "The project will create about 10,000 jobs during the peak construction phase with more than 3,500 direct and indirect jobs sustained throughout the life of the project".

Chevron to give official go-ahead for Gorgon next week

2009-09-11T03:43:00.000-07:00

Chevron are expected to give the official go-ahead to the Gorgon gas project on Barrow Island next week. The company will approve an investment of about A$42 billion. California-based Chevron currently owns 50% of the project with Exxon and Shell each owning 25%. With the help of Gorgon, Australia may jump to first or second among global LNG producers within 10 years.

Chevron signs $70 billion Gorgon gas deal with Japan and South Korea

2009-09-10T03:04:00.001-07:00

Chevron has announced it has signed deals to sell $70 billion worth of LNG from the Gorgon gas project to Japanese and South Korean companies.

Australian Prime Minister Kevin Rudd has told Parliament that the 20-25-year deal will provide 3 million tonnes of LNG to the companies every year.

The record trade deal smashes ExxonMobil's $50 billion deal last month to sell gas to PetroChina.

Gorgon may be world's biggest CO2 storage project

2009-09-09T04:32:00.000-07:00

The Gorgon Gas Project could become the world’s biggest carbon capture and storage (CCS) project. The Gorgon Project aims to extract natural gas from the Gorgon and Jansz fields over a 40 year period. It is Australia’s largest energy resource project, forecast to generate more than $200 billion in sales and to double Australia’s annual production of Liquified Natural Gas (LNG).

Australian steel industry worried about being locked out of Gorgon gas contracts

2009-09-08T04:46:00.001-07:00

The Australian steel industry is worried about not getting access to the contracts for the Gorgon Gas Project on Barrow Island in Western Australia. The Australian Steel Institute recently complained to the WA premier Colin Barnett. In their complaint, the institute said that Australian companies were not being given the opportunity to compete for work on the massive gas project. The reply from the premier provided little encouragement to Australian steelmakers.

The chairman of the institute, Ian Cairns, said "These are Australian resources. These major projects are on Australian soil. We're going to be operating them and taking advantage of them but we are certainly not getting a fair crack at the construction work involved in them, which is massive".

World-class team required for Gorgon Gas Project - Citigroup Analyst

2009-09-04T04:17:00.000-07:00

A Citigroup analyst has said that the majority of work on the Gorgon Gas Project will be given to international companies with expertise in gas projects.

The analyst, Julian Bu, said that "much of the expertise seems to reside offshore, not in Australia".
Bu also said that downstream, domestic contractors’ roles are mostly limited to earth-moving, completing civil works and mechanical and electrical engineering.

The Gorgon Gas Project is a joint venture between Chevron, ExxonMobil and Shell.

Chevron believed to be talking to China about Gorgon gas

2009-09-03T02:59:00.000-07:00

Chevron is believed to be in talks with China Petroleum & Chemical Corp and China National Offshore Oil Corp to sell some of its uncommitted 3 million tons of gas in the Gorgon Gas Project.
The uncommitted gas is believed to be valued at over $65 billion over 20 years.

The talks come after Exxon signed a $50 billion deal with PetroChina Co. to provide gas from the Gorgon Gas Project.

Rudd to visit Gorgon site

2009-08-31T09:47:00.001-07:00

The Prime Minister of Australia, Kevin Rudd, will today tour the site of the proposed $50 billion Gorgon gas project on Barrow Island.

Australia's largest proposed resources project is being built on an A-class reserve in the north-west of Australia.

Last week Federal Environment Minister Peter Garrett gave Gorgon the final approval needed to make the project a reality.

WA Premier welcomes approval of Gorgon Gas Project

2009-08-27T02:52:00.000-07:00

Colin Barnett, the Premier of Western Australia, has welcomed the decision to approve the Gorgon Gas Project by Federal Environment Minister Peter Garrett.

The Premier said today "I don't think any project in Western Australia has had the degree of scrutiny of the Gorgon project'. He also said he was pleased that federal and state governments could agree on the project.

The Gorgon Gas Project is worth around $50 billion.

Gorgon Project Approved by Peter Garrett

2009-08-26T08:37:00.000-07:00

The Australian Federal Environment Minister Peter Garrett gave the go-ahead to the Gorgon Gas Project on Barrow Island today. Garrett travelled to Barrow Island with Chevron representatives to assure himself that the environment would be taken care of during all phases of the project.

In doing so, Garrett imposed nearly 30 further environmental conditions on the project (Barrow Island is home to a number of endangered species and is often referred to by environmentalists as Australia's Ark).

Construction is now due to start on the project later this year.