Chevron Australian secures 10-year gas supply deal with Alcoa

On December 17, 2024, Chevron, one of the world's leading integrated energy companies with a presence in Australia for over 70 years, Chevron Australia announced that it will supply aluminium producer Alcoa with 130 petajoules of natural gas over a 10-year period starting in 2028.

Chevron Corporation is an American multinational energy corporation specialising predominantly in oil and gas.

According to Chevron Australia's statement, the gas will be sourced from its Gorgon and Wheatstone facilities, which have a combined capacity of 530 terajoules per day, and the North West Shelf Venture, all located in Western Australia.

As reported by Reuters, Alcoa confirmed that the gas will power its alumina refineries in Western Australia.

In 2020, Alcoa secured gas supply agreements with Chevron, Warrego Energy, and Exxon Mobil to power its Kwinana, Pinjarra, and Wagerup alumina refineries in Western Australia starting in 2024.

In January 2024, Alcoa Corporation announced its intention to cease production at the Kwinana Alumina Refinery in Western Australia. The gradual shutdown will commence in the second quarter.

Reuters further revealed that a spokesperson for Alcoa reported that an unforeseen gas disruption, followed by a power outage at the Pinjarra Alumina Refinery on December 10, 2024, had disrupted the facility's process flow.

Image credit: Chevron Australia

Information credit: Reuters