Australia: AusGroup Lands Gorgon Pipe Support Structures Contract from Chevron

AGC Industries Pty Ltd (‘AGC’) an AusGroup subsidiary, a leading Australian based fabrication, construction and integrated services company, announces today that it has been selected by Chevron Australia Pty Ltd to fabricate and supply the adjustable pipe support structures for the Gorgon Upstream Project, one of the world’s largest natural gas projects and the largest single resource natural gas project in Australia’s history.

The contract scope includes the fabrication, supply, testing, inspection, storage and delivery of adjustable pipe support structures weighing in excess of 900 metric tonnes.

The A$12 million dollar award is the second of its kind recently awarded by Chevron to AGC for local fabrication to the Gorgon Project. AGC will utilise its fabrication facilities in Kwinana, south of Perth with completion due in 2012.

“The Gorgon Project is a significant investment for Western Australia’s energy production and for AGC,” said Stuart Kenny, AusGroup Acting Managing Director and CEO. “This latest contract award continues to underline the excellent relationship we have built with Chevron, while demonstrating our ability to deliver fabrication projects using local resources.”

“Our recent growth in both capability and experience will enable the safe and effective delivery of this contract, while maintaining our Perfect Day safety philosophy.”

The Gorgon Project is a joint venture of the Australian subsidiaries of Chevron (approximately 47 percent), ExxonMobil (25 percent) and Shell (25 percent), Osaka Gas (1.25 percent), Tokyo Gas (one percent) and Chubu Electric Power (0.417 percent).

AusGroup’s order book now stands at AU$282 million.

Source:AusGroup , June 29, 2011; Image:Chevron

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