Unveiling a novel concept that would transform the dynamics of gas pipeline infrastructure market in Australia, Chevron has recently outlined a Trans Carnarvon Basin Trunkline or TCT. Reportedly, the Managing Director of Chevron, Nigel Hearne described the latest concept at an oil and gas conference in Adelaide which had been organized by the Australian Petroleum Producers and Explorers Association.
As per reliable sources, the concept aims to develop an interconnected Carnarvon Basin where a multi-user offshore pipeline would bring gas from the undeveloped fields of Exmouth, Scarborough, and Thebe to the Wheatstone, Pluto, and North-West shelf facilities.
Speaking on the efficacy of the concept, Nigel Hearne was quoted stating that the idea would allow gas from offshore fields to flow where it is required the most through an onshore interconnector across the Burrup Peninsula. He further commented that the value creation and the opportunities for system optimization are immense as combining this concept with existing pipelines that interconnect with the Dampier Bunbury natural gas pipeline would prove to be significant.
The implementation of the concept might lead to Chevron’s gas being processed at the Pluto LNG and Woodside operated North-West Shelf facilities. Moreover, the gas of other energy firms is likely to be processed at the Wheatstone plant of Chevron. This would bring about a paradigm shift of sorts in the gas pipeline infrastructure market of Australia, cite analysts.
According to reliable sources, the Chief Executive Officer of Woodside, Peter Coleman appeared supportive of the pipeline concept, however, he further noted the challenges that the concept might face owing to the financial structures of both firms and the taxation system of Australia.
Commenting on the concept, Coleman was quoted stating that the existing tax systems did not encourage the collaboration and it would take some time to work upon the modalities of the concept. He further appeared optimistic about the project and mentioned that the challenges shouldn’t prevent both the firms from working on the concept.