At the Gastech conference in Bangkok, Chevron’s President of Global Gas, Freeman Shaheen, announced a major push to broaden the company’s liquefied natural gas (LNG) portfolio. The U.S. energy giant plans to bring roughly 20 million metric tons per year of LNG supply capacity online, combining new production projects with existing contracts on the Gulf Coast.
New markets and diversification strategy
Shaheen emphasized that recent disruptions – the war in Ukraine and the Iran‑Israel conflict – have highlighted the need for diversified sources of energy. “The crisis reinforces the need for diversity of supply and of contracting structures,” he said, adding that reliance on spot markets can leave buyers vulnerable.
Chevron’s next growth targets include Argentina, where the company sees “great prospects” for both crude and gas development, and the eastern Mediterranean, a region Shaheen described as “very exciting.” He also mentioned potential opportunities in Australia and Africa, provided projects meet the company’s capital, fiscal and regulatory criteria.
Existing projects and regional focus
In Australia, Chevron already operates the country’s largest LNG project, Gorgon, along with the Wheatstone facility, supplying a large share of its output to Japan. Shaheen noted that Japan remains a “home base” for the company, while Singapore offers “nice structural opportunities.” He added that China and South Korea continue to be attractive markets for Chevron’s LNG.
In Southeast Asia, Chevron signed a 2024 agreement to supply Singapore’s Sembcorp Industries with up to 0.6 million tons per year of LNG beginning in 2028. The company also sees a growing willingness among state‑backed importers to sign contracts directly with portfolio suppliers rather than relying on government‑to‑government deals.
India and future contracts
When asked about India, Shaheen said the market is “very, very headline‑price driven” but expressed optimism that “great opportunities” will emerge over time. He indicated a desire to secure a deal with Indian buyers as the country’s energy demand continues to rise.
Venezuela and broader investment outlook
Chevron is also weighing a massive investment in Venezuela, where the company and its partners could spend more than $7 billion to more than double oil output by 2031. Shaheen said the project is under review along with all other opportunities in the company’s project queue.
Overall, Shaheen’s remarks underscore Chevron’s strategy of expanding its LNG footprint across multiple continents, seeking stable, long‑term contracts that support energy security for customers worldwide.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
