Tensions simmer over Chevron’s Gorgon fix

Tensions continue to simmer between Chevron and unions over safety fears on its Gorgon LNG project in Western Australia.

WA’s Department of Mines, Industry Regulation and Safety on July 22 said it would conduct an inspection of the LNG plant as soon as possible.

Tensions continue to simmer between Chevron and unions over safety fears on its Gorgon LNG project in Western Australia despite the US giant saying repairs were now under way after cracks were discovered at one of its gas processing trains.

Cracks up to 1m long and 30mm deep on between eight to 11 pressurised propane “kettles”, or heat exchangers, on Train 2 were discovered this month during scheduled maintenance, with the gas processing unit expected to be out of service for a further two months.

Chevron on Tuesday said a routine inspection had discovered problems with welding on the eight propane heat exchangers on Train 2, but that repairs were now being carried out rather than requiring replacements.

“Repairs are under way and we have the necessary personnel with skills and knowledge to conduct the work onsite,” Chevron said in a statement.

“Once repairs are complete, we expect to safely commence LNG Train 2 restart activities around early September.”

The Gorgon facility, which houses three LNG trains with combined capacity of 15.6 million tonnes of LNG, could face an ­extended shutdown and loss of production if the problems found in Train 2 are replicated in the other two facilities.

Despite the update, the Australian Manufacturing Workers Union said it was unsatisfied with Chevron’s response.

“We’re not satisfied with Chevron reporting on itself and repeat our call for an independent investigation by the regulator,” AMWU state secretary Steve McCartney said.

“We agree that there is highly skilled personnel onsite — many of them are AMWU members who are telling us that this is a bigger problem than Chevron is letting on. Chevron’s statement might satisfy customers and shareholders but it doesn’t satisfy us as people who put safety first.”

More than 800 people are on the Gorgon site at Barrow Island, 85km off the Pilbara coast, to carry out maintenance, raising concerns over worker safety.

The kettles were manufactured in South Korea at the same time as those made for the remaining two trains, which continue to produce and export LNG to buyers in Asia, the AMWU said.

WA’s Department of Mines, Industry Regulation and Safety on July 22 said it would conduct an inspection of the LNG plant as soon as possible.