Gorgon LNG Achieves First Cargo to Tokyo Gas

Published at 03:35PM - 12/09/16

Tokyo Gas has received its first delivery of liquefied natural gas (LNG) from the giant Gorgon LNG project off Western Australia.

The first shipment of LNG from the project operated by Chevron to Tokyo Gas was received at the company’s Ohgishima LNG Terminal in Yokohama City, Kanagawa Prefecture.

“This is the fourth delivery of LNG from projects in which Tokyo Gas has secured participation rights, following on the Darwin LNG project, the Pluto LNG project and the Queensland Curtis LNG project. With this delivery, Tokyo now receives LNG from 12 projects in five countries,” Tokyo Gas informed in a statement.

Gorgon LNG Achieves First Cargo to Tokyo Gas

The delivery taking place today amounted to approximately 70,000 tonnes of LNG, which is enough to meet the city’s annual gas consumption needs for approximately 220,000 average households.

Overall, the Gorgon LNG project has the capacity to produce 15.6 million tonnes of LNG per year.

Gorgon LNG Sends First Cargo to Tokyo Gas
Gorgon LNG Export Plant

The latest shipment follows a sale and purchase agreement of LNG signed in September 2009 whereby Tokyo Gas formalised its involvement in the Chevron-led project.

The project has three LNG trains, each with a capacity of 5.2 million tonnes per year. Although it was approved in 2009, major cost hikes leading to construction delays meant the project was only able to start up in 2014.

Gorgon LNG Advances after Long Delay

The Australian export plant suffered a prolonged shutdown earlier this year caused by the detection of a gas leak.

Since it was launched in March 2016, the US$54 billion (£41.09 billion) LNG venture had only exported a total of four cargoes, with its first LNG shipment seven years after the official start of construction works.

The Gorgon LNG project sources gas from the Gorgon and Jans-lo fields, with gross resources of approximately 40 trillion cubic feet of gas and a liquefaction capacity of 15.6 million tonnes per year.

The project is operated by Chevron (47.3%), with partners ExxonMobil (25%), Shell (25%), Osaka Gas (1.25%), Tokyo Gas (1%) and JERA (0.417%).

 

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