Gorgon Project

Gorgon Project

The Gorgon Project is one of the world’s largest natural gas developments and carbon dioxide injection projects, located on Barrow Island, off the north-west coast of Western Australia. Operated by Chevron Australia, with partners ExxonMobil and Shell, the Gorgon Project represents a major milestone in the global energy sector, integrating large-scale liquefied natural gas (LNG) production with advanced environmental management strategies. The project has been instrumental in positioning Australia as one of the world’s leading LNG exporters while also pioneering carbon capture and storage (CCS) initiatives to reduce greenhouse gas emissions.

Background and Development

The Gorgon gas fields were first discovered in the early 1980s, lying beneath the seabed of the North West Shelf region. The area contains vast reserves of natural gas and associated carbon dioxide. Following decades of exploration and planning, the Gorgon Project was officially approved in 2009, marking the beginning of one of the most complex engineering and environmental undertakings in Australian history.
The total cost of development exceeded A$54 billion, making it the largest single resource project ever constructed in Australia. Chevron holds a 47.3% stake, with ExxonMobil (25%) and Shell (25%) as key partners, alongside minor investments from Japanese and Korean companies involved in long-term LNG supply contracts.
Construction commenced in 2009, and the first LNG shipment was exported in March 2016. The project was strategically designed to meet the rising global demand for cleaner-burning natural gas, particularly in Asia, where energy consumption continues to expand.

Location and Infrastructure

Situated on Barrow Island, a Class A Nature Reserve known for its unique biodiversity, the Gorgon Project required stringent environmental controls during construction and operation. Despite its remote location, the island hosts an extensive industrial complex that includes:

  • Three LNG processing trains, each capable of producing 5.2 million tonnes per annum (MTPA) of LNG, for a total capacity of approximately 15.6 MTPA.
  • A domestic gas plant capable of supplying 300 terajoules per day to Western Australia’s energy grid via an undersea pipeline.
  • Extensive offshore gas production facilities located about 130 kilometres from the island.
  • A carbon dioxide injection system designed to capture and store CO₂ from gas processing operations deep beneath the island.

The project sources gas primarily from the Gorgon and Jansz-Io fields, located in water depths of up to 1,350 metres.

Liquefied Natural Gas Production

At the core of the Gorgon Project is the LNG production process, which involves extracting natural gas from offshore reservoirs, transporting it via subsea pipelines to the onshore plant, and then cooling it to -162°C to convert it into a liquid form for export.
The liquefied gas is loaded onto specialised LNG carriers bound for major energy markets, including Japan, South Korea, China, and India. These long-term supply contracts provide stable revenue streams for Australia’s economy and support the transition to cleaner energy sources compared with coal.

Carbon Capture and Storage (CCS)

One of the defining features of the Gorgon Project is its Carbon Dioxide Injection Project, which ranks among the largest CCS operations in the world. Approximately 14% of the raw gas extracted from the Gorgon and Jansz-Io fields consists of CO₂. Instead of venting this gas into the atmosphere, Chevron and its partners developed an ambitious plan to inject the CO₂ deep underground into a saline aquifer located more than two kilometres beneath Barrow Island.
The CCS system was designed to store up to four million tonnes of CO₂ per year, reducing total project emissions by roughly 40%. The process involves:

  1. Separating CO₂ from natural gas during processing.
  2. Compressing and dehydrating the captured CO₂.
  3. Transporting it via pipeline to injection wells.
  4. Injecting it into the Dupuy Formation, a deep geological reservoir.

The system became operational in 2019, following technical delays related to water management and equipment calibration. It has since been regarded as a benchmark for global CCS deployment, although initial performance fell short of original targets due to operational challenges.

Environmental and Conservation Management

Operating within a designated nature reserve required extraordinary environmental measures. Barrow Island is home to several protected species, including the Barrow Island euro and the burrowing bettong. To safeguard these habitats, Chevron implemented one of the most comprehensive biosecurity programmes in industrial history, ensuring that no invasive species were introduced to the island during construction.
Additionally, the project’s design included extensive monitoring programmes for air quality, groundwater, marine life, and vegetation. The company collaborated with environmental scientists and government agencies to ensure compliance with strict regulatory standards established by the Western Australian Environmental Protection Authority (EPA).

Economic and Strategic Significance

The Gorgon Project has had profound economic implications for Australia. It contributes billions of dollars annually in exports, taxes, and royalties, while also creating thousands of jobs in engineering, construction, and operations. The project has strengthened Australia’s position as a key supplier of LNG to Asia-Pacific markets, helping to meet regional energy demands with lower-carbon fuel alternatives.
Strategically, Gorgon has supported bilateral energy relations with Japan, China, and South Korea, countries seeking to diversify their energy mix and reduce dependence on coal. The project also aligns with Australia’s long-term energy transition strategy, balancing economic growth with environmental responsibility.

Challenges and Criticism

Despite its achievements, the Gorgon Project has faced criticism over environmental performance and technical setbacks. The carbon capture and storage system initially failed to meet expected injection rates, leading to higher-than-anticipated CO₂ emissions during early operations. Chevron acknowledged these issues and committed to investing in system upgrades and offset projects to compensate for the shortfall.
Environmental groups have also raised concerns regarding marine dredging, gas flaring, and the project’s overall carbon footprint, arguing that LNG, while cleaner than coal, still contributes to global greenhouse gas accumulation. In response, Chevron has reinforced its sustainability framework and increased transparency in reporting emission metrics.

Global Context and Future Outlook

As one of the flagship energy projects of the 21st century, the Gorgon Project continues to shape global discussions on energy security, emissions reduction, and technological innovation. Its integration of LNG production with large-scale CCS provides a model for balancing industrial activity with environmental stewardship.
Future phases of the project may involve enhancements in CCS efficiency, potential expansion of domestic gas supply, and collaboration on renewable energy integration within the broader portfolio of Chevron’s operations. Lessons learned from Gorgon’s experience are influencing the design of new CCS initiatives worldwide, from the United States to the Middle East.

Originally written on May 7, 2010 and last modified on October 15, 2025.

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