Chevron assures investors Gorgon on track

Chevron has told investors Gorgon is on track and will start production in the middle of 2015.

"We want to reiterate the project is on track and we are on target for a mid-2015 start up,’’ CFO Pat Yarrington told investors.

Ms Yarrington said 20 of the 21 “critical process modules” for the first of two trains (production facilities) were in place, along with common facilities at Gorgon’s Barrow Island base.
“The remaining train will arrive shortly and it really becomes a process of hooking up and commissioning,’’ Ms Yarrington said.

Cobham Aviation secures Gorgon gas project contract extension

Cobham Aviation Services has secured a contract extension with Chevron to service the Gorgon gas project on Barrow Island. It will see the company use a fourth aircraft to service the project.

Ryan Both, Cobham’s general manager regional services said the contract extension reflected Cobham’s ability to deliver customised services and unique operational requirements to the resources industry.

“We have a long-term relationship with Chevron Australia with more than 50 Cobham aircrew, including pilots and cabin crew, now supporting flight services for the Gorgon Project,” Both said.

Gorgon Gas Project Expansion Approved

A proposal to expand the Gorgon gas project on Barrow Island in Western Australia has been approved by WA's environmental watchdog. The Environmental Protection Authority said yesterday it was satisfied that increasing Chevron's footprint on the island from 300ha to 332ha was ecologically acceptable provided it met certain conditions. The authority has recommended Chevron offset the impact to the area by extending a program to transfer and reintroduce threatened species for a further two years.

Chevron doubtful about fourth train for Gorgon gas project

Chevron's Chief Financial Officer has casts doubts on the fourth train expansion of the Gorgon gas project. Patricia E. Yarrington said that the cost structure is different today than it was in 2009 when the first three trains were taken to final investment decision. She said the cost structure has “elevated” and that has put at risk some of Australia’s global competitiveness.

“From a Chevron standpoint, we are going to look at Train 4 and assess it under those new conditions and look at it relative to other opportunities in our portfolio. Obviously Gorgon Train 4 has certain brownfield advantages, but we need to take those advantages, lay in the new macro-conditions that we see in Australia, and take a look at the whole portfolio activity,” she said.

For existing construction work, Gorgon is 70% complete with 14 of the 21 LNG Train 1 process modules installed, three more in transit, and the remainder scheduled to follow rapidly.

Theiss wins $212m Gorgon gas project contract

Thiess has won a new contract worth $212 million for work on Chevron's $52 billion Gorgon project in Western Australia.
Thiess will deliver ‘miscellaneous civil works’ at the liquefied natural gas (LNG) project over the next two years under the new contract, it said today.
The company already holds contracts for other work at Gorgon and Chevron's Wheatstone LNG project, also in WA.

DeepOcean wins Gorgon gas project trenching contract

DeepOcean UK has been awarded a trenching contract by Subsea 7 to carry out work on the Chevron-operated Gorgon gas project in Australia.

DeepOcean will be responsible for the project management, engineering and associated trenching works of approximately 70km of main umbilical for the Gorgon and Jansz-Io field developments.

Gorgon contract won by ICON Engineering

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 distributing $9 billion of work to Australian firms

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.

PM praises Gorgon carbon project

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.

Mermaid Marine secures Gorgon contract

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

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.

AGR Drilling Get Gorgon Contract

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

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 contract won by Kencana

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.

Gillard tours Gorgon gas project site

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.

Gorgon to push resources salaries higher in WA

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.

Unions quick to defend Gorgon job salaries

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

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.".

Chevron Signs Gorgon Gas Deal With Nippon Oil

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.

$60m Gorgon contract won by Monadelphous

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.