Chevron’s giant Gorgon CCS facility operated at half-capacity in first full year

  • Date: 11-Feb-2022
  • Source: Energy Voice
  • Sector:Oil & Gas
  • Country:Gulf
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Chevron’s giant Gorgon CCS facility operated at half-capacity in first full year

Chevron’s (NYSE:CVX) flagship carbon capture and storage (CCS) scheme, designed to catch emissions at the Gorgon liquefied natural gas (LNG) project offshore Australia, has operated at just over half its expected capacity in the previous financial year, according to the latest project update.

The $3 billion project, which is also backed by Shell (LSE:RDSA) and ExxonMobil (NYSE:XOM), has been dogged by technical issues affecting its performance since it was commissioned in late 2019. As a result, Chevron, which operates the Gorgon LNG development, has undelivered on its emissions capture promises.

The Gorgon joint venture, which also includes Osaka Gas, Tokyo Gas and JERA, has not met the official requirement to capture and store at least 80% of the emissions generated over the first five years of the project, or around 4 million tonnes per year. The emissions reduction target formed a key part of the environmental approval process for Gorgon, which shipped its first LNG cargo in 2016.