Chevron signs major gas sales agreement with Alinta Energy
- Chevron signed an agreement to sell 46 petajoules of natural gas to Western Australia's largest gas retailer, Alinta Energy.
- The five-year supply deal is scheduled to commence in July 2027 from three established local energy projects.
- The transaction aims to support Western Australian energy security during a period of market supply tensions.
Chevron (NASDAQ:CVX) executed an agreement to sell 46 petajoules of domestic natural gas to Alinta Energy over a five-year period starting in July 2027.
The medium-term domestic contract comes amid ongoing supply coordination discussions between Western Australian gas producers and industrial buyers regarding local market fuel availability.
"Another demonstration of the way LNG developments, under WA's long-standing domestic gas policy, have enabled a well-supplied domestic gas market, benefiting homes, businesses and vital industries," said Chevron Australia President Balaji Krishnamurthy.
The agreement specifies that the fuel will be sourced directly from the Gorgon, Wheatstone, and North West Shelf liquefied natural gas facilities located in Western Australia.
Following the announcement, the Chevron share price was down at $174.05.
The two companies elected not to disclose the specific commercial values, pricing structures, or financial terms of the transaction.
Alinta Energy stated that securing fuel volumes from these three processing sites remains essential to meeting the long-term utility requirements of its commercial and residential customer base.
