Wednesday, January 6, 2010

Schenkers Awarded Massive Gas Project Logistical Support Contract

Gorgon Project Major Win for Oil and Gas Division
Shipping News Feature

AUSTRALIA - DB Schenker has won the contract to supply national and global logistics support to the Gorgon Project by Kellogg Joint Venture, a consortium between Chevron, ExxonMobil and Shell. The four-year deal is expected earn Schenker’s some A$500 million (£285 million) and see the freight giant shift more than two million tons of cargo.

The Gorgon Project is one of the biggest gas exploitation schemes in the world, with a total investment value of £22.5 billion and an estimated 40 trillion cubic meters of gas thought to lie in the Gorgon field off the northwest coast of Australia.

Schenker’s will take charge of freight and logistical requirements for the production of a new extraction and storage facility to service the field at Barrow Island as well as importation of equipment from around the world.

The contract has been hailed by DB Schenker as proof of recognition of their success in offering top rate services to the oil and gas industries. Ron Koehler, CEO Schenker Australia Pty Ltd, said that: “We have established ourselves as a key player in the provision of logistical services for oil and gas exploration and production projects. DB Schenker's international network enables us to provide the contracted services at the agreed times and within the defined budget.”

This was supported by the Chairman of Schenker’s, Thomas C. Lieb, who said: “We are proud to participate in such a significant enterprise. Providing logistical services for complex projects like this one is a challenge that we can master thanks to the experience and expertise of our specialists.”

Initial work on the project will begin shortly on Barrow Island. Plans call for the first gas to be produced in 2014.