A weaker U.S. dollar and…
Falling refining margins and disappointing…
Chevron, like many international oil and gas companies, plans to develop Australia’s vast natural gas resources in order to export LNG to the growing market in Asia.
Since mid-2009 it has announced 19 discoveries, the latest discovery, declared in October, was at the Satyr-4 well around 75 miles north west of Barrow Island, off the coast of Western Australia.
This morning Chevron has announced that it has made two more discoveries off the coast of Western Australia. This time the reserves are located in the Exmouth Plateau area of the Carnarvon Basin.
Related Article: Why the US should not Invest in Exporting Natural Gas
Chevron has stated that the Pinhoe-1 discovery well has an estimated 197 feet of net gas pay spread across the Barrow and Mungaroo Sands, and the second discover, the Arnhem-1 well, has around 149 feet of net gas pay in the upper Mungaroo Sands.
Meldoy Meyer, the president of Chevron Asia Pacific Exploration & Production Co. wrote that, “these discoveries in the Exmouth area are significant as they are located farther out from other discoveries in the greater Gorgon and Wheatstone development in the Carnarvon basin and indicates development potential in the broader region.”
Chevrons announcement comes on the back of news that its Gorgon Project, the joint venture to build a LNG plant on Barrow Island, is already 20 percent over its initial budget of $54.4 billion.
By. Joao Peixe of Oilprice.com
Joao is a writer for Oilprice.com