Chevron's Wheatstone Giant Is Now Fully Operational - Chevron Corporation (NYSE:CVX)
Chevron Corporation (NYSE:CVX) first discovered the Wheatstone gas field off the coast of Western Australia back in 2004. It wasnt until four years later that Chevron Corporation announced plans to begin moving forward with a major liquified natural gas hub in the area. After sanctioning the massive Wheatstone LNG endeavor in September 2011, Chevron Corporation is finally in a position to reap the spoils of this capital-intensive project. Lets dig in.
There are four offshore natural gas fields that Chevron Corporation and its partners are developing as part of the Wheatstone LNG development. Readers should note that the two most important fields are the Wheatstone and Iago fields, which are set to supply 80% of the projects natural gas needs over its lifetime.
Source: Chevron Corporation
Chevron owns an 80.2% interest in the license that covers the Wheatstone and Iago gas fields and is the operator of the related production facilities. When it comes to the LNG facility and related infrastructure (such as the LNG storage tanks, export facilities, gas plant, and the two LNG trains), these facilities are 64.14% owned and operated by Chevron. Its partners in the LNG facility include KUFPEC (Kuwaits international oil firm, 13.4% economic interest), Woodside Petroleum Limited (OTCPK:WOPEY) (13%), Kyushu Electric Power Company (1.46%), and a fund part owned by JERA (which is owned by various Japanese electric companies).
Woodside Petroleum is the operator of the Julimar....