PNG LNG

 

Location

Papua New Guinea.

Participants

Santos (13.5%)
ExxonMobil (operator)
Oil Search
Nippon Oil
State (NPCP, MRDC and Petromin)

Overview

Sanctioned in December 2009, the PNG LNG project will develop gas and condensate resources in the Hides, Angore and Juha fields and associated gas resources in the operating oil fields of Kutubu, Agogo, Gobe and Moran in the Southern Highlands, Hela and Western Provinces of Papua New Guinea.

The gas will be transported by pipeline to a gas liquefaction plant 25 kilometres north-west of Port Moresby with a capacity of 6.9 mtpa.

PNG LNG has binding LNG sales agreements with four Asian buyers.

Project Status

As at the end of the first quarter 2013, the overall project was over 80% complete and remained on track for first LNG in 2014. Construction continued to progress at the LNG plant and upstream locations and the workforce had completed over 122 million work hours to date.

At the Hides Gas Conditioning Plant, the major civil works were complete and construction activity was focused on structural steel, piping and cabling installation. The Komo airfield was nearing completion and the first cargo flights which will carry Hides Gas Conditioning Plant equipment were targeted for May 2013. Drilling continued on three wells at Hides, with two drilling rigs in operation.

600 kilometres of onshore and offshore pipeline had been completed, and were on schedule to receive commissioning gas later in 2013. Construction was progressing on the remaining 100 kilometre section of onshore pipeline between Kutubu and the Hides Gas Conditioning Plant and wells.

At the LNG plant site, the processing equipment was in place for the two LNG trains and installation of piping, instrumentation and cabling was progressing. The load-out jetty was in a pre-commissioning phase and both LNG tanks had been tested. The plant flare system was complete and the utilities and power generation units were being prepared for commissioning.

For more information please go to www.pnglng.com.

First production

PNG LNG is on track for first LNG in 2014.