Chevron's Gorgon to ship first LNG cargo by year-end

It is pleased to hear that the biggest single resources project ever built in Australia is moving forward.

We hope more resource projects will be able to start construction and operation to stimulate Australian economy with international companies including Japan.   

According to the Australian Financial Review today, Chevron will ship its first LNG cargo from the $US54 billion ($70.7 billion) Gorgon project before year's end and said the monster venture would be "nicely profitable" despite the drop in crude oil prices.

"We're pleased with the progress we've seen, particularly over the last several months," Mr Johnson, incoming head of upstream, told investors in a briefing overnight Australian time of construction at Gorgon and Chevron's second megaproject in Australia, the $US29 billion Wheatstone LNG venture.

"Gorgon is a world-scale project that is expected to deliver prolific cash generation over the next 40-plus years and we are getting close to seeing it come to life," he said.

"If you look at Gorgon and Wheatstone, they'll be nicely profitable even down at low prices if you look at depreciation rates we expect and opex, they'll be nicely positive," Mr Watson said.

Ref: http://www.afr.com/p/markets/market_wrap/chevron_gorgon_to_ship_first_lng_I6VK8B2FMfa151CnLJT8SL