US energy major Chevron's Australian subsidiary and Alcoa signed a long-term sale and purchase agreement for natural gas supply, Chevron announced on Tuesday.
Starting on January 1, 2028, Chevron will provide Alcoa with a total of 130 petajoules of gas for 10 years from the company's equity interests in the Chevron-operated Gorgon and Wheatstone facilities, and the North West Shelf Venture.
'Our significant investment in Western Australia's (WA) natural gas sector, including our share of the more than $80 billion invested in Gorgon and Wheatstone, has powered the development of WA's resources industry and continues to enable the long-term supply of reliable energy to the state,' Chevron Australia's Managing Director Mark Hatfield said.
'From fuelling high heat manufacturing processes, such as in alumina, to providing a flexible energy source for electricity generation, reliable gas supply plays a crucial role in supporting WA's energy security and economic development,' he added.
The domestic gas facilities of Gorgon and Wheatstone have a total production capacity of 530 terajoules of gas daily for the Western Australian market, accounting for approximately 50% of the state's gas supply.
Chevron holds a one-sixth stake in the North West Shelf Venture.
By Basak Erkalan
Anadolu Agency
energy@aa.com.tr