Chevron and Tohoku Electric have signed a preliminary agreement to sell 1 million tpy of LNG to the company for 20 years.
The Chevron operated Wheatstone LNG project is scheduled to come online in 2016, with this latest deal 80% of production will go to Asian customers. The foundation stage of the project will have a capacity of 8.9 million tpy but this will likely be expanded to 25 million tpy.
Wheatstone has already lined up a number of Japanese customers, as after the devastating tsunami that struck the country, the nations nuclear ambitions have been significantly scaled back and LNG is being used to fill the void for power generation. Chubu Electric Power, Tokyo Electric Power Company (TEPCO) and Kyushu Electric have all already signed supply agreements with Wheatstone LNG.
Chevron's partners in the Wheatstone project are Apache Corporation , Kuwait Foreign Petroleum Exploration Company (KUFPEC), Royal Dutch Shell RSDa.L and Kyushu Electric.
Written by Peter Farrell.
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/14052012/wheatstone-lng-to-supply-20-million-tonnes-of-lng-to-tohoku/