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Chevron Australia signs long-term gas supply deal with Alcoa
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Chevron Australia signs long-term gas supply deal with Alcoa
Dec 16, 2024 8:02 PM

Dec 17 (Reuters) - U.S. oil giant Chevron's ( CVX )

Australian unit said on Tuesday it would supply a total of 130

petajoules of gas to aluminium producer Alcoa ( AA ) over a

10-year period starting 2028.

The gas will be supplied from Chevron's ( CVX ) 530 terajoules-a-day

Gorgon and Wheatstone facilities, and North West Shelf Venture

in the state of Western Australia, Chevron Australia said in a

statement.

Separately, Alcoa ( AA ) said the gas would be used to power its

alumina refineries in Western Australia.

Alcoa ( AA ) had previously secured gas supply deals with Chevron ( CVX ),

Warrego Energy and Exxon Mobil ( XOM ) in 2020 to power its

Kwinana, Pinjarra and Wagerup alumina refineries in the state

from 2024 onwards.

However, the aluminium company said in January that it would

stop production at the Kwinana refinery, citing challenging

market conditions and the facility's age.

A spokesperson from Alcoa ( AA ) said an unexpected gas disruption

and subsequent power outage at its Pinjarra Alumina Refinery on

Tuesday had impacted process flow.

"Alcoa ( AA ) continues to restore refining operations at the site

and the cause of the disruption is being investigated," the

spokesperson said.

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