Chevron’s $34 billion Wheatstone project is preparing to ship its first LNG next month, but the venture is unlikely to reap the revenues originally anticipated, analysts say.
Ben Tsocanos, director at Standard & Poor’s, believes the long-term cash contribution from Chevron’s two major Aussie LNG projects – Gorgon and Wheatstone – now looks far less rosy than when the projects went to FID.
“The combination of high construction costs and low oil prices will definitely hurt the economics of these projects,” Tsocanos told Interfax Natural Gas Daily.
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