PERTH (miningweekly.com) – The Western Australian state government has welcomed a decision by US energy major Chevron to proceed with the second stage of the Gorgon project expansion, off the coast of Western Australia.
Premier Mark McGowan said Chevron's subsea development at the Gorgon natural gas project will create hundreds of Western Australian jobs, continued domestic gas supplies and provide a major boost to the state's economy.
The Gorgon joint venture partners announced the decision to proceed with the Gorgon Stage 2 project (GS2), with drilling set to commence off the North-West coast next year.
The project is expected to create hundreds of jobs over several years in areas including drilling, subsea installation, pipe-laying and project management as well as ongoing operational jobs into the future.
"This is a major state-building project that will deliver a significant boost to our economy,” McGowan said.
"This investment is another sign that Western Australia is getting back on track, the economy is improving, confidence is up and jobs are being created.”
The additional Gorgon subsea facilities will maintain the supply of gas for the life of the project, over the next 30 to 40 years.
Gorgon comprises a three-train, 15.6-million tonne-a-year liquefied natural gas (LNG) facility and a domestic gas plant with the capacity to supply 300 terajoules of gas per day to Western Australia.
Last month, the government announced plans to establish an LNG jobs taskforce to establish Western Australia as an LNG hub, and ensure industry and government work collaboratively to maximise benefits that flow from the local LNG industry.