Hyundai Heavy Industries Co., Ltd. (HHI) has announced its success in the bid for module fabrication for the Barrow Island LNG Plant of the Gorgon Project.
The Gorgon Project bid for was originally made on February 2009 and consists of 48 modules weighing approximately 190,000 tons. The contract price is more than US$2 billion, which is biggest single contract to HHI's record. The contract is effective upon signing of the contract on October 21, 2009. Module delivery is anticipated in 2012-2013.
The Gorgon Project, operated by the Australian subsidiary of Chevron (50 percent) in joint venture with Australian subsidiaries of ExxonMobil (25 percent) and Shell (25 percent), is currently estimated to cost AU$43 billion (US$37 billion) for the first phase of development. First gas is planned for 2014.
The Gorgon Project's scope includes a three-train, 15 million-metric-tonne-per-annum liquefied natural gas (LNG) facility and a domestic gas plant.
HHI has expressed its appreciation for Chevron's evaluation of its capacity and capabilities. The company said it is committed to successfully complete and deliver the project as planned.
The competition with international and compatriot rivals was fierce especially due to the downturn of shipbuilding market as result of the global economic recession. HHI stated that its success in this huge and prestigious contract will contribute to the company's growth and enhance its turnover and profit positively.
It is noteworthy that HHI will build modular concepts for a land-based LNG plant; modules are typically deployed for offshore platform projects. HHI will provide support for this concept through the successful execution of project, and the company expects that it will be able to apply a high level of expertise in this area for similar projects following Gorgon.