Chevron Australia has announced the signing of two major gas contracts in Western Australia.

 

Under the agreements, gas from the Chevron operated Gorgon Project will be purchased through long term contracts by Western Australia’s largest energy retailer, Synergy and the State’s leading energy generator, Verve Energy.

 

Verve and Synergy have both entered into contracts for a combined 125 terajoules per day for 20 years term starting in 2015.

 

Roy Krzywosinski, managing director Chevron Australia said, “We are pleased to have finalised two significant long-term domestic gas sales contracts for the Gorgon Project and we welcome Synergy and Verve as valued customers.”

 

“Domestic gas is an important energy source for Western Australia and these contracts mean more gas and competition for the local market.”

State Minister for Energy Peter Collier welcomed the deal, saying that it significantly increased energy security for the state.

 

“The reaching of these agreements provides long term and reliable domestic energy supply, which will enable us to maintain a strong and vibrant economy in conjunction with an additional stream of energy security,”

 

 

The Gorgon Project is due to deliver domestic gas to the market in 2015.