20/07/2012 - 10:02

GE, Chevron announce long-term Gorgon contract

20/07/2012 - 10:02

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GE's Girish Saligram outside the company's Jandakot facility.

GE and Chevron have signed a $600 million long term service agreement over the Gorgon Project.

Under the 22 year contractual service agreement, GE’s Oil & Gas division will maintain power generation, compression trains and other associated equipment.

GE Oil & Gas head of contractual services Girish Saligram said “this is a very significant contract, for 3 cycles, we do have a number of contracts that go for an extended period of time but this is a very important contract for us.

“We have a lot of global expertise in this area and this project is about making we sure we can execute them in Australia.”

Mr Saligram said the Gorgon Project differed from other GE LNG projects they worked on due to Barrow Island’s Class A nature reserve classification.

“The quarantine requirements have been much stricter.”

The contract will involve scheduled maintenance, monitoring and diagnostics of the equipment GE installs for Chevron, as well as supplying access to local engineers for the $43 billion project - the largest single resource natural gas project in Australia’s history. 

GE will also manage planned maintenance inventory as well as supply initial spare parts, with its first contract performance manager is scheduled to begin working in October.

Parts supplied by GE for the project include five 130 megawatt gas turbines and 20 subsea trees and wellheads, used to control and manage the production of gas from subsea wells.

GE’s Jandakot service and maintenance centre, completed in September of last year, is expected to provide 4,000 training days for GE and external contract staff in 2013.

Mr Saligram said the facility will be used to familiarise Chevron employees with the systems and technology GE provides for them.

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