NEWS ARCHIVE

Gorgon downstream FEED contract formally awarded

THE Kellogg Joint Venture Gorgon has been formally awarded the Front End Engineering and Design ...

The JV comprises Halliburton subsidiary Kellogg Brown and Root 30%, JGC Corporation 30%, Hatch 20% and Clough 20%.

The contract also includes an option for an engineering, procurement and construction management (EPCM) contract for the downstream section of the project.

The downstream project will include two LNG trains, each with a capacity of 5 million tonnes a year to be built on Barrow Island, Western Australia.

Earlier this month, the Gorgon Joint Venture announced it had decided to move the upstream and downstream sections of the project into FEED, and that the downstream contract would be awarded to the KJVG later this month.

The upstream contract, covering sub-sea production facilities and pipelines, has been awarded to a JP Kenny-Technip joint venture.

The Greater Gorgon area is one of the largest undeveloped natural gas accumulations in the region, estimated to contain 40 trillion cubic feet of recoverable natural gas.

A final investment decision is likely in mid-2006. First gas from the field is expected in 2010.

The Gorgon partners are Chevron (operator) 50%, Shell Australia 25% and ExxonMobil 25%.

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