chevron deal with japan & south korea

Chevron signs $70b gas deals


Energy deal: The gas will come from the Gorgon fields off the WA coast.

Energy giant Chevron Australia has signed deals worth up to $70 billion to supply liquefied natural gas (LNG) to Japan and South Korea.

Chevron will supply 3 million tonnes of LNG a year to Japan and South Korea, generating $70 billion in exports over the next 25 years.

The gas will come from the Gorgon gas fields off the Western Australian coast.

Prime Minister Kevin Rudd has told Parliament the project will provide an enormous boost to the national economy.

"These are massive projects that will generate economic growth, income, jobs and prosperity for the nation for decades to come," he said.

"In light of this announcement, I would congratulate Chevron Australia; these sales do not come to pass easily.

"I'll also congratulate our counterparts in the Western Australian Government."

Last month ExxonMobil signed a $50 billion deal with China to supply 2.25 million tonnes of gas over the next two decades, also from the Gorgon gas field.

The Gorgon project, a joint venture between Chevron, ExxonMobil and Shell, is expected to generate $40 billion in Government revenue and create 6,000 jobs at the peak of constructio
Related Link: For more on the Gorgon project visit our oil and gas tag page