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GE Oil & Gas Awarded $400+M Contract for Gorgon Natural Gas Projects; GE Turbomachinery to Drive LNG Production and World’s Largest CO2 Injection Project

Artist’s rendering of a GE Frame-7 gas turbine, similar to the units that GE Oil & Gas is supplying for the Gorgon project. Click to enlarge.

GE Oil & Gas has been awarded a competitive bid, worth more than $400 Million, to deploy advanced liquefied natural gas (LNG) technology for the development of Gorgon, one of the world’s largest untapped natural gas fields, which also features the world’s largest ever CO2 sequestration technology project. (Earlier post.)

The Greater Gorgon Area—comprising the Jansz and Gorgon fields—has projected natural gas resources equivalent to 6.7 billion barrels of oil (boe). The Gorgon Project, operated by the Chevron (currently 50%) in joint venture with Australian subsidiaries of ExxonMobil (25%) and Shell (25%), is currently estimated to cost A$43 billion (US$37 billion) for the first phase of development. First gas is planned for 2014.

GE will supply Chevron with equipment to fulfill Gorgon’s LNG production and CO2 sequestration, as follows:

  • Three 5-MTPA GE Main Refrigerant Compression Trains, each comprising two GE Frame-7 Gas Turbines plus advanced technology liquefaction compressors, to be utilized for the production of liquefied natural gas by chilling to –160°C, ready for shipping, before re-gasification and pipeline transportation for use by domestic and industrial customers.

    The targeted production level of 15 million tonnes per annum (MTPA) LNG equates to three shipments a week leaving Gorgon’s purpose-built LNG loading jetty.

  • Six Compression Trains required to drive Gorgon’s pioneering carbon dioxide sequestration project, the world’s largest—injecting up to four times more carbon dioxide than any other project worldwide. Prior to liquefaction, the CO2 will be stripped out and injected into the depleted natural gas wells 1,300-meters deep to ensure its safe storage and the reduction of emissions.

The GE Main Refrigerant Compression Trains and the GE Compression Trains for CO2 sequestration will be manufactured and tested in Florence and Massa, Italy, then shipped in 2011 and 2012.

The demand for natural gas—the cleanest burning fossil fuel—is expected to grow by more than 67% by 2030. The Gorgon Project’s estimated economic life is at least 40 years from the time of start-up. In addition to natural gas supply for domestic Australian use, Gorgon is slated to contribute to meeting Asia’s growing need for cleaner energy. To date the Gorgon partners have signed sale and purchase agreements for LNG export into Japan and South Korea, the world’s two largest LNG import markets, as well as India and China.

The Gorgon natural gas fields are located at Barrow Island, around 130 km (80 miles) off Western Australia. Gas will be extracted and delivered via subsea and underground pipelines to gas treatment and liquefaction facilities on Barrow Island’s south east coast.

The award further strengthens GE Oil & Gas’ strategic role in the Gorgon project. In May 2008 GE Oil & Gas’ Drilling and Production business was awarded a five-year frame agreement to supply subsea equipment and support services for Gorgon. The scope of that contract includes the supply of VetcoGray manifolds, pipeline termination structures, pipeline end terminations, trees with subsea control modules, wellheads, production control systems, system integration testing, installation and operations support.



This is good news for Australia, and for the world, if the local coal fired power plants were upgraded to NG + Sun+ Wind.


Australia in the midst of a drought that is popularly thought to be CO2-related. Here they are pulling more carbon out of the ground and burning it with some deference to CO2 entrapment. Rediculous back-pedaling.


Who hasn't heard of the EXXON Valdez disaster and the enduring legacy now 20years later.
The collapse of fisheries and the cynical legal manoeuvrings that only serve to expose the two speed legal system.
One for the rich and powerful and one for the poor, hardworking taxpaying voting public, the salt of the earth etc.
One law for the voters another for those that own the govts.

With the environmental record of these companies on record
The question is at what cost?Does Australia need this corrupt behaviour? PPTEP are now passing nine weeks of spillage covering thousands of square kilometers in marine diversity hot spots adjacent to declared world heritage area. The area was declared this same month.

PTTEP wins control of new oil fields 25 Oct 2009 08:42 GMT
... company responsible for one of the biggest oil spills in Australia was yesterday given access to ... the Federal Government. The decision to grant Thai company PTTEP control of five new exploration ...

Harvey, I,d be inclined to agree with your comment but the fact is not on ounce of the dirtiest 2.5* CO2 footprint fuels IE shale sands, peat or brown coal has yet been discontinued.
A bit early to bring out the Champagne I guess it will be very vintage before then and will not last till lifeforms evolve that can pop a cork.

Carlos Fandango

I don't think Australia can sustain it's economy and way of life without extensive mining and export of their resources.

Even though they are one of the countries most at risk from AGW. They will continue to compound the problem by expanding both coal and NG production. They have a lot of it so no respite for us all anytime soon.

I think the entire political system of the country is built on this premise. No different to Saudi or any other net fossil fuel exporter.


One of the more advanced solar PV dish programs is being done down under. One guy started a company that has been working on all of this for more than 20 years. He never gave up, never gave in and never sold out. I like pioneers like that, we could use more of them.


Gorgon reminds us the petroleum industry is decades ahead of any alternative industry. Beyond technology, look at their ability to collaborate (ie w/GE) and raise capital. The BTU's in Gogon is staggering if you consider its 40 year life span. Between alternatives coming onstream and widespread investments in the petroleum industry like Gorgon, we will see a collapse in the price of oil and gas.



If you mean Solar Systems Ltd-
I've got bad news: "On 7 September 2009, Stephen Longley and David McEvoy of PricewaterhouseCoopers were appointed as joint and several Administrators of the following companies in accordance with the provisions of Part 5.3A of the Corporation Act :

- Solar Systems Pty Ltd

- Solar Power Stations Australia Pty Ltd

- Solar Systems Generation Pty Ltd

The Administrators are undertaking an immediate assessment of the operations and financial position of the companies with a view to continuing the operations on a reduced scale in order to restructure and sell the business as a going concern."

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