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July 5, 2021

Chevron Australia selects Aker for contract worth $814.6m

The Norwegian firm will provide subsea compression technology at the Jansz-Io Compression Project, offshore Western Australia.

By Archana Rani

Chevron Australia has selected Aker Solutions to offer subsea compression technology for the $4bn (A$6bn) Jansz-Io compression (J-IC) project.

Aker noted that negotiations with Chevron to finalise the deal are still progressing and the deal could be valued at approximately $814.59m (Nkr7bn).

The move follows the decision by Chevron and its partners to develop the J-IC project, which aims to exploit the low-pressure reserves from the Jansz-Io field.

It is also intended to help sustain plateau production rates for the Gorgon project facilities located on Barrow Island (BWI).

The Jansz-Io field is located nearly 70km north-west of the Gorgon gas field and 220km off the coast of Western Australia in the north-west direction.

These two fields form part of the larger Gorgon Project, which also involves onshore elements, including a three-train LNG plant, a domestic gas plant, CO₂ removal and compression facilities.

An upgrade to the existing Gorgon development, the J-IC involves construction and installation of a floating field control station (FCS), and 135km long subsea power cable, which will be linked to Barrow Island.

Work also includes construction and installation of approximately 6,500t of subsea compression infrastructure, which will be connected to the Jansz-Io Midline Pipeline Termination Structure via a manifold structure.

Chevron plans to complete construction and installation work on the project in five years.

Chevron Eurasia Pacific exploration and production president Nigel Hearne said: “Using world-leading subsea compression technology, J-IC is positioned to maintain gas supply from the Jansz-Io field to the three existing LNG trains and domestic gas plant on Barrow Island.

“This will maintain an important source of clean-burning natural gas to customers that will enable energy transitions in countries across the Asia Pacific region.”

Chevron operates the Gorgon project with a 46.3% stake. Other partners include the Australian subsidiaries of ExxonMobil (25%), Shell (25%), Osaka Gas (1.25%), Tokyo Gas (1%) and JERA (0.417%).

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