Gorgon LNG - Optimising Gas Supply

Abstract The Gorgon project represents a tremendous vote of confidence in the hydrocarbon potential of the Carnarvon Basin, with foundation field resources underpinning a lifecycle of future gas supply projects developing the wider deepwater resource base. With the foundation development costs mostly sunk and production ramping up, investment exposure is at its lifecycle peak and there is intense focus on safe and reliable operations. However, there is also a need to continue to mature upstream gas supply opportunities. Projects to continue developing the foundation fields are already moving through the planning and development process. Looking beyond those, activities are in progress for selecting the first wave of future gas supply projects and beginning their first steps of development planning. Distant, deepwater developments carry multiple risks with complex geology, costly and therefore limited data acquisition and record-breaking flow assurance requirements. Long development schedules result in limited ability to respond to uncertainty in foundation subsurface outcomes. Opportunities to maximise lifecycle value include standardisation of "subsea building blocks" and careful planning of new infrastructure to capture geographical and execution synergies. Chevron and its joint venture participants have invested in an extensive deepwater exploration and appraisal program and are well-positioned to plan for the future. Building a gas supply plan involves a complex combination of portfolio and project principles and processes, drawing upon multiple disciplines and functions in the value chain including exploration and appraisal, early concept project planning, major capital project execution and base business operations. At this early stage in the Gorgon lifecycle, a pragmatic approach has been taken to deliver effective portfolio planning, providing both the long term view and driving the near term selection decisions for the next wave of supply projects. This paper describes some of the insights and trade-offs being learned and applied in developing the gas supply plan.