Chevron’s $42-billion Gorgon LNG project cleared

Clearing one of the major obstacles, the Australian federal environment ministry has approved Chevron Corp's A$50 billion ($42 billion) liquefied natural gas (LNG) venture on Barrow Island, 50 kilometrers off the West Australian coast, adding stricter conditions on managing and protecting local fauna. (See: $50 billion Gorgon LNG project awaits Australian environment ministry clearance) 

"Clearly I'm aware of the economic size of this proposal, but the specific matter I had to decide was whether or not this proposal would have an adverse affect, particularly on threatened or listed species," environment minister Peter Gerrett said in Canberra today. "I have determined that it won't."

The federal government has imposed a further 28 environmental conditions, focussed on monitoring programmes on a number of species on the island.

He admitted the island was a Class A nature reserve, but praised the ''significant'' environmental efforts of the joint venture partners, which include Chevron, Royal Dutch Shell Plc and Exxon Mobil Corp.

Environmentalists have been opposing the project from the very beginning.

The Greens reacted angrily to the decision, saying Garrett was signing off on the destruction of a unique environment.