Darina Pashchenko

WA regulators investigate methane leaks at Chevron's Gorgon gas project

WA regulators investigate methane leaks at Chevron's Gorgon gas project
Chevron's gas leak probe

Western Australia's environmental regulator is investigating repeated large methane emissions detected over Chevron's Gorgon gas project off the Pilbara coast. The inquiry follows a year of satellite observations and recent United Nations warnings about plumes linked to one of Australia's biggest LNG facilities.

Highlights

  • WA Department of Water and Environmental Regulation is investigating repeated methane leaks detected since November 2023 at Chevron's Gorgon gas complex via satellite.
  • Tanager-1 satellite observed methane emission rates of 7.8 tonnes per hour from Gorgon’s acid gas removal units, making it the highest emitter in WA.
  • Chevron faces increased regulatory and climate pressure after repeated UN warnings since July 2023, amid Australia's broader goal to cut emissions 43 percent by 2030.

Investigation focuses on repeated satellite detections

As reported by ABC News, the WA government says the Department of Water and Environmental Regulation is actively investigating the cause of repeated methane clouds detected above Chevron's Gorgon gas complex and is working with the company on an appropriate response.

A department spokesperson says it would be inappropriate to speculate on the source of the emissions while the investigation is underway. The confirmation comes after earlier uncertainty over whether the regulator had jurisdiction over the plumes, which have been observed for the past year by a United Nations-linked satellite.

Since November last year, five consecutive passes by the Tanager-1 satellite have detected large methane clouds emerging from the industrial complex. The latest reading shows an emissions rate of 7.8 tonnes of methane an hour near Gorgon's acid gas removal units, making the site the highest methane emitter in WA according to the figures cited in the report.

The Gorgon liquefied natural gas plant on Barrow Island has capacity of 15.6 million tonnes a year across three processing trains, with all LNG shipped overseas. In April, the National Offshore Petroleum Safety and Environmental Management Authority accepted Chevron's plans to install a subsea compression station and other infrastructure to maintain production at Gorgon for another 40 years.

Regulatory and climate pressure builds

Chevron says it is corresponding with the UN over its data but does not comment on the state's investigation. The UN warned Chevron about its emissions in July last year and again in August this year, while the company has not formally provided feedback to those alerts.

Methane is a more potent greenhouse gas than carbon dioxide and accounts for about 25 percent of global warming, increasing the significance of any sustained leak at a major gas export project. The case also highlights the division of regulatory oversight, with the federal Department of Climate Change, Energy, the Environment, and Water saying during Senate Estimates that emissions oversight is state-based.

WA Greens MLC Sophie McNeill criticizes the state's monitoring arrangements and says the incident shows the system needs an overhaul. Chevron is required to report emissions through the National Greenhouse and Energy Reporting Scheme, with those figures published annually, as Australia pursues its target of cutting emissions 43 percent from 2005 levels by 2030 and reaching net zero by 2050.

Our earlier article on Malaysia strengthening its fiscal buffers explained why the government is being urged to build more room in its budget to withstand recurring shocks, including climate-related disruptions, alongside geopolitical and pandemic risks. It highlighted warnings that persistently high interest rates and rising operating spending could narrow policy flexibility, prompting calls to broaden the tax base and refine targeted fuel subsidies.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.