The delivery of 70,000 mt of LNG to Tokyo Gas’ Ohgishima LNG terminal in Yokohama city of Kanagawa prefecture, is part of a 25-year (with a five-year extension) 1.1 million mt/year FOB agreement with Chevron Australia, it added.

“This is the fourth delivery of LNG from projects in which Tokyo Gas has secured participation rights, following the Darwin LNG project, the Pluto LNG project and the Queensland Curtis LNG project. With this delivery, Tokyo Gas now receives LNG from 12 projects in five countries,” the Japanese utility said in a statement.

Tokyo Gas concluded a LNG sales and purchase deal and an agreement for participation with Chevron in the 15.6 million mt/year Gorgon LNG plant on Barrow Island in September 2009, it said.

The Gorgon LNG project is a joint venture comprising Chevron (47.333%), ExxonMobil (25%), Shell (25%), and Japanese utilities Osaka Gas (1.25%), Tokyo Gas (1%) and JERA (0.417%).

The $54 billion Gorgon project, which is Australia’s largest ever resource development, made its first shipment in March this year, to Chubu Electric Power in Japan, but had encountered problems after that, S&P Global Platts previously reported.

It was forced to shut down following the first shipment, due to a problem with the propane refrigerant circuit. At the time, Chevron said LNG production from Train 1 would resume within 30 to 60 days of the shutdown, but production only restarted mid-June.

It was then unexpectedly shut and evacuated July 1 after a gas leak, which resulted in a delay to its second cargo that loaded by July 3 on LNG carrier Marib Spirit and delivered to the Dapeng LNG terminal in China’s southern Guangdong province, according to Platts trade flow software cFlow.

Chevron said earlier in the year that ramp-up to full capacity of Train 1 is expected to occur six-to-eight months from initial start-up of the facility, and that Train 2 and 3 modules were on site with construction progressing.