Chevron Australia signed a five-year gas supply agreement with Alinta Energy to bolster Western Australia’s energy supply.
The gas contract will begin in July 2027
Chevron Australia agreed to supply 46 petajoules of natural gas to Alinta Energy over a five-year period starting in July 2027.
The volume will come from Chevron’s stakes in the Gorgon and Wheatstone facilities, both operated by the company, as well as the North West Shelf project.
With this long-term purchase agreement, the companies aim to ensure a continuous supply of gas to homes, businesses, and industrial customers in Western Australia. Alinta Energy is among the state’s leading gas distributors.
Gorgon and Wheatstone sustain the domestic market
Furthermore, the agreement strengthens a business relationship between Chevron and Alinta Energy that spans more than four decades. According to Balaji Krishnamurthy, president of Chevron Australia, Gorgon and Wheatstone together provide approximately 40% of Western Australia’s domestic gas supply after nearly a decade of operations.
This participation makes both projects significant assets for regional energy security. It also confirms the importance of natural gas in electricity generation and in high-consumption sectors such as mining.
Likewise, the contract allows for leveraging the capacity of consolidated projects under the domestic gas policy applied by Western Australia.
Alinta Energy gains visibility over its portfolio
For his part, Jeff Dimery, CEO of Alinta Energy, highlighted that the agreement brings greater certainty to the company’s supply portfolio.
Access to gas from Gorgon, Wheatstone, and North West Shelf will help meet future customer needs as the state’s energy system evolves.
For Alinta Energy, securing long-term natural gas also reduces exposure to supply disruptions and improves the planning of its commitments to homes, businesses, and industries.
Gas maintains its role in energy security
Finally, the agreement reflects the role that natural gas plays within Western Australia’s energy mix.
Although the system incorporates new sources of generation, gas remains a backup for electricity and an essential source for energy-intensive industrial activities.
The contract between Chevron Australia and Alinta Energy secures a defined volume from 2027 and strengthens the availability of domestic gas in one of Australia’s main energy markets.
Source and photo: Alintaenergy