Western Australia’s energy supply has been further secured, with the first natural gas flowing into the State’s integrated domestic system from the Chevron-operated Gorgon Project on Barrow Island off the northwest coast of Western Australia.
State Development Minister Bill Marmion said the Liberal National Government was committed to the domestic reservation policy, with the gas to be supplied to Synergy and customers.
“Gas is fundamental to our lives, providing energy to industries which support thousands of West Australian jobs. That is why this first 150 terajoule per day tranche of domestic gas from Gorgon is such an important milestone,” Mr Marmion said.
“As the project becomes fully operational, domestic supplies from Gorgon could increase to 300 terajoules per day.
“This gas is another economic benefit from this immense project, with $34 billion invested to date within Australia, and 455 contracts awarded to Western Australian companies.”
Energy Minister Mike Nahan said the Gorgon Project would supply foundation customer Synergy with 125 terajoules per day of gas over the next 20 years.
“This significant long-term contract with Synergy ensures supply into the future for the State’s industrial, commercial and household use,” Dr Nahan said.
“Natural gas continues to be an essential energy source as a reliable and cost-effective way to generate electricity.
“It plays a key role in ensuring we are able to meet our energy needs of the future and in providing a clean energy future.”
Chevron Australia managing director Nigel Hearne said the Gorgon Project is a significant new source of cleaner-burning energy for Western Australia and will be a leading domestic gas supplier for decades to come.
“This is a significant development for domestic gas in Western Australia and we are committed to being a safe and reliable supplier of domestic gas to our customers,” said Hearne.
Domestic gas from the Gorgon Project will be transported to the mainland via a 90 kilometre pipeline, connecting into the existing Dampier to Bunbury Natural Gas Pipeline.
The Gorgon Project is the most significant entry into the Western Australian domestic gas market for almost thirty years. At full capacity and subject to market demand, the Gorgon Project could supply up to 300 Tj/d of gas to the Western Australian market, equivalent to generating enough electricity for 2.5 million households.
