Chevron in Australian domestic gas deal

Chevron’s Australian unit has signed another deal with aluminium producer Alcoa for the delivery of domestic natural gas from its LNG projects.

Starting in January 2024, Chevron said it would supply Alcoa with an additional 37 petajoules of equity domestic gas over a “multi-year term.”

The supply deal follows an existing agreement signed by Chevron and Alcoa in December 2018 for the supply of 64 petajoules of equity domestic gas.

The energy giant will deliver the fuel from its Wheatstone and Gorgon LNG developments as well as the Woodside-operated North West Shelf facilities.

Furthermore, Alcoa will use the fuel to power three aluminium refineries in Western Australia.

At full capacity, the Gorgon and Wheatstone natural gas facilities will be able to produce 500 terajoules per day of domestic gas for the Western Australian market.

This capacity could generate electricity for about 4.3 million households, according to Chevron.