As per the deal, Chevron will supply up to one million tons per annum (MTPA) of gas for over a ten-year period from the Gorgon and Wheatstone LNG projects, which are currently under development.
The LNG supply is scheduled to commence in 2020.
Chevron Australia managing director Roy Krzywosinski said: "We welcome the opportunity to supply LNG to China Huadian and look forward to building lasting relationships with our customers in the region as the Chevron-operated Gorgon and Wheatstone projects move into operations.
"The China Huadian agreement demonstrates Chevron’s equity gas from Australia is well-placed to meet the growing demand for natural gas in the Asia Pacific region."
Located in the Ashburton North Strategic Industrial Area, which is located 12km west of Onslow, Western Australia, the A$29bn ($29.7bn) Wheatstone LNG plant will be supplied from the Wheatstone, Iago, Julimar and Brunello offshore gas fields.
Chevron Australia owns 72% interest in Wheatstone project while other partners include Royal Dutch Shell with 6.4%, Woodside 13%, KUFPEC Australia 75, and Kyushu Electric Power 1.6%.
The project will have an initial capacity of 8.9 MTPA of LNG and also includes a domestic gas plant.
The A$43bn Gorgon LNG project involves the development of the Gorgon gas fields and the nearby Jansz-Io field, as well as a LNG plant on Barrow Island.
Chevron owns 47.3% stake in Gorgon gas project while other partners include ExxonMobil and Shell each holding 25% stakes.,
Osaka Gas , Tokyo Gas, and Chubu Electric Power hold 1.25%, 1%, and 0.417% stakes respectively.
