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GE Oil & Gas Power Generation and Subsea Equipment Wins Bring Gorgon Project Awards to Over $1.1 Billion

GE Oil & Gas logo GE Oil & Gas technology has again been selected to support the development of Gorgon, one of the world's largest untapped natural gas fields, which also features one of the world's largest ever carbon-dioxide (CO2) sequestration technology projects.

Building on GE's announcement in October that it was awarded a $400 Million contract to supply Gorgon's LNG refrigeration and C02 reinjection components, under today's announcement GE will supply five (5) 130 MW Frame-9 Gas Turbines in a modularized solution to meet the power generation needs of Barrow Island's gas treatment and liquefaction facilities.

In addition, GE Oil &s Gas' Drilling and Production business will supply the Subsea Production System that will be installed between 60km and 140 km offshore Barrow Island, in 200 to 1,350 meters water depth. This award is made under a five (5) year frame agreement to supply subsea equipment and support services for Gorgon that was signed in May 2008.

Claudi Santiago, President and CEO of GE Oil & Gas said:

"I am delighted that GE Oil & Gas has again been selected by Chevron, this time to meet Gorgon's substantial subsea equipment and power generation requirements with high performance, efficiency and reliability. These further contract wins strengthen our partnership role in the project, confirming our technology leadership position which is built on a proven, diverse and integrated solutions portfolio."

GE will supply Chevron with equipment to fulfill Gorgon's LNG refrigeration, CO2 sequestration and Power Generation needs as follows:
  • Five (5) 130 MW Frame-9 Gas Turbines in a modularized solution to meet the power generation needs of Barrow Island's gas treatment and liquefaction facilities;
  • Three (3) Main Refrigerant Compression Trains driven by Six (6) Frame-7 Gas Turbines required for Gorgon's production of 15 million tonnes per annum (MTPA) LNG; and,
  • Six (6) Compression Trains to power Gorgon's pioneering carbon dioxide sequestration (C02) project, one of the world's largest, injecting up to four times more carbon dioxide than any other project worldwide.
The GE Power Generation Frame-9 Gas Turbines will be manufactured in Belfort in France and Florence in Italy, then will be fully preassembled for the first time in modules, with all controls and auxiliaries, and tested in Massa in Italy before being shipped to Australia between July 2012 and mid-2013. The Frame 7 Mechanical drive Gas Turbine will be manufactured in Greenville in the US while the Main Refrigerant Compressors will be manufactured in Florence and Massa in Italy where the complete trains will be string tested. The CO2 train will be fully built and tested in Florence.

In addition, GE will supply Chevron with equipment to produce gas from the offshore Gorgon and Jansz fields, as follows:
  • Twenty (20) Subsea Trees - 7" VetcoGray subsea trees with retrievable choke modules to control and manage the production of gas from subsea wells;
  • Twenty (20) Subsea Wellheads - VetcoGray subsea wellhead systems;
  • Production Controls Systems - used to monitor and control the complete subsea infrastructure, controlled remotely from Barrow Island;
  • The supply of five (5) Pipeline Termination Systems, five (5) Manifolds, thirty-four (34) Pipe Line End Terminations and several other structures, including Pig Launchers/ Receivers and Umbilical Distribution assemblies, 45 spools and 18 multibore well jumpers;
  • The complete scope will total approximately 10,000 tons of structures in arguably one of the largest ever fabrication scopes in a subsea development project to date.
The subsea equipment supply will be managed from GE Oil & Gas offices in Perth Australia, with equipment being manufactured and supplied from other GE facilities around the world, including Aberdeen and Nailsea in the UK, Norway and Singapore. First deliveries are planned for Q2 2011.

The Gorgon Project is operated by an Australian subsidiary of Chevron and is a joint venture of the Australian subsidiaries of Chevron (approximately 47 percent), ExxonMobil (25 percent) and Shell (25 percent), Osaka Gas (1.25 percent), Tokyo Gas (one percent) and Chubu Electric (0.417 percent). The Gorgon Project is developing the Greater Gorgon gas fields, located between 130km and 200km off the north-west coast of Western Australia. The Greater Gorgon gas fields are estimated to contain resources of about 40 trillion cubic feet of gas, Australia's largest-known gas resource. For more information visit www.chevronaustralia.com.

Published 08/03/2010

GE Oil & Gas (www.ge.com/oilandgas) is a world leader in advanced technology equipment and services for all segments of the oil and gas industry, from drilling and production, LNG, pipelines and storage to industrial power generation, refining and petrochemicals. FGE Oil & Gas also provide pipeline integrity solutions, including inspection and data management. As part of their 'Innovation Now' customer focus and commitment, GE Oil & Gas leverages technological innovation from other GE businesses, such as aviation and healthcare, to continuously improve oil and gas industry performance and productivity. GE Oil & Gas employs more than 12,000 people worldwide and operates in over 100 countries.

GE is a diversified global infrastructure, finance and media company that is built to meet essential world needs. From energy, water, transportation and health, to access to money and information, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit (www.ge.com)

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