PERTH Dec 7 U.S. major Chevron Corp's (CVX.N)
gas sale agreement with Japan's Tokyo Electric Power (9501.T)
is worth A$90 billion ($82.5 billion), and is the biggest
Australian LNG supply agreement ever signed, the West
Australian government said on Monday.
Japan's top utility TEPCO has signed a deal for 3.1 million
tonnes of LNG from Wheatstone a year for 20 year, plus it has
bought a 15 percent equity stake in the project that could give
it another 1 million tonnes.
TEPCO will also take an 11.25 percent stake in the
Wheatstone gas processing facility. The Nikkei newspaper
reported on Sunday that TEPCO will invest more than 300 billion
yen ($3.34 billion).
Chevron declined to comment on the value.
The first phase of Wheatstone consists of two LNG
processing trains with a total capacity of about 8.6 million
tonnes per year. Chevron is aiming to approve the project in
2011 and is targetting first LNG shipment in 2016.
($1=1.091 Australian dollar)
(Reporting by Fayen Wong; Editing by Michael Urquhart)