• 2 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 5 minutes Middle East on brink: Oil tankers attacked off Oman
  • 8 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 1 min The Inconvenient Truth Of Electric Cars
  • 13 hours Here We Go: New York Lawmakers Pass Aggressive Law To Fight Climate Change
  • 2 hours Climate change & Wildfires: More Wildfires To The Western U.S., Will Affect Tens Of Millions Of People
  • 2 hours Hard To Believe: UAE Will Work To Defuse Middle East Tension
  • 4 hours Oil Demand Needs to Halve: Equinor
  • 2 mins The Plastics Problem
  • 3 hours Iran downs US drone. No military response . . Just Completely Destroy their Economy. Can Senator Kerry be tried for aiding enemy ?
  • 5 mins Cherry Picking Climate Data
  • 13 hours Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 4 hours Green vs. Coal: Bavaria Seeks Fast-Track German Coal Exit in Snub to Merkel Plan
  • 10 hours Solar Panels at 26 cents per watt
  • 15 hours Is $60/Bbl WTI still considered a break even for Shale Oil
  • 12 hours Hydrogen FTW... Some Day
  • 11 hours Section 232 Uranium
  • 9 hours Huge UK Gas Discovery
Alt Text

Russia Pushes Back Against “Freedom Gas”

The global gas market has…

Alt Text

Australia Remains Dividend On Roaring LNG Sector

Australia’s LNG sector is booming…

Jen Alic

Jen Alic

 

More Info

Premium Content

Chevron Lands Million-Ton LNG Futures Buy in Australia

Chevron has announced that Chubu Electric Power Co. of Japan has signed a binding agreement to purchase 1 million tons of LNG annually from the Wheatstone project in Australia for up to 20 years.

Wheatstone is a joint venture owned by Chevron (64.14%), Apache Energy Ltd. (13%), Kuwait Petroleum Corp. (7%), Royal Dutch Shell Plc. (6.4%), Kyushu Electric Power Co. (1.64%) and PE Wheatstone Pty Ltd., which is partly owned by Tokyo Electric. The Chevron-operated Wheatstone project, in Western Australia, will eventually have an 8.9 million-ton annual LNG capacity with two LNG trains and a gas plant. Wheatstone will begin supplying LNG in 2016. 

Related article: LNG Exports Threaten High Gas Prices in the US as Shale Production Slows

The deal means that more than 80% of Chevron’s equity LNG from Wheatstone is already covered under long-term purchase agreements with Asian customers. It also signals that the Wheatstone project has solidly demonstrated its geographical status and market capacity to supply Asia customers.

Chevron (NYSE: CVX) is very well-positioned here. Overall, it holds an 80.17% equity interest in Wheatstone, as well as in the fields that provide 80% of the project’s gas. 

Japan—the world’s largest LNG importer—bought 87.3 million tons of LNG last year alone, with its utilities boosting demand for thermal power generation in the wake of Fukushima.

By. Jen Alic of Oilprice.com




Download The Free Oilprice App Today

Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News