Japanese company Jera has announced that it has taken delivery of its first Liquefied Natural Gas (LNG) Shipment which was supplied by Chevron Corporation (NYSE:CVX).
The LNG cargo was shipped from the Chevron’s Wheatstone project which is located in Australia and it marks Jera’s first LNG cargo. The cargo arrived on Sunday at the Futtsu LNG terminal which is owned by Tokyo Electric Power. The terminal is located at the Tokyo Bay in Chiba Chevron announced a month ago that it had released the first LNG shipment for Jera from its Wheatstone LNG project which commenced production in the early October.
Jera is currently the largest LNG buyer in the world and it currently has contracts for the purchase of 5.2 million tons of LNG annually from the Wheatstone project. The latter has two units which are capable of supplying 8.9 million metric tonnes of LNG every year to its market in Asia when running at full capacity. Jera expects to receive roughly 6 LNG cargoes from the project each month after the second train kicks off in 2018.
“After the second train starts up in 2018, JERA will receive around six LNG cargoes per month from the project,” one of the officials revealed.
Chevron runs the Wheatstone LNG facility in Australia in partnership with its Australian subsidiaries as well as Woodside Petroleum Limited, Kyushu Electric Power Company, PE Wheatstone Pty Ltd and the Kuwait Foreign Petroleum Exploration Company (KUFPEC). The facility is located near Oslo in Western Australia and it started operating on October 9 this year. It is still not fully operational though once it kicks into high gear, then production and delivery will also take place at a higher rate.
The delivery of the first shipment to Jera marks a milestone step not only for the Japanese firm but also for Chevron. The latter aims to remain committed to the safe and reliable delivery of clean natural gas for the customers in the Asia-Pacific region.
Chevron stock closed the latest trading session on Monday at $117.23 after a 0.04 percent gain compared to the value of the stock during the previous close.