BP, Chevron Back $2 Billion North West Shelf Development Phase

  • Greater Western Flank Phase 2 to tap 1.6 trillion cubic feet
  • Project due to start gas production in second half of 2019

BP Plc, Chevron Corp. and the other partners in Australia’s largest oil and gas venture approved a $2 billion expansion in the project, the fourth major gas development at the North West Shelf in the past seven years.

The Greater Western Flank Phase 2 off the north-west coast will develop 1.6 trillion cubic feet of gas from six fields, the operator of the North West Shelf, Woodside Petroleum Ltd., said Friday in a statement. This project will start production in the second half of 2019, Woodside said.

The North West Shelf, which accounts for more than a third of Australia’s oil and gas production, represents investments of more than $34 billion, according to the project’s website.

The six equal participants own a 16.67 percent share. In addition to Woodside, BP and Chevron, the partners are BHP Billiton Ltd., Royal Dutch Shell Plc and Japan Australia LNG (MIMI) Pty, which is a joint venture between Mitsubishi Corp. and Mitsui & Co.

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