Papua New Guinea.
State (NPCP, MRDC and Petromin)
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.
As at the end of the second quarter 2013, the overall project was approaching 90% 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 140 million work hours to date.
The Komo airfield had been in operation since early May, and construction was progressing at the Hides Gas Conditioning Plant. The three gas turbine generators, the main low voltage switch room, the instrument air receiver, the air compressor skids and the flare knockout drum had all been received and set onto foundations. Drilling continued at Hides with two drilling rigs in operation on four wells. The B1 well was drilled and cased at total depth, with the tubing and tree to be installed once operations were complete on the B2 well.
Over 600 kilometres of onshore and offshore pipeline had been completed, and the LNG plant was scheduled to receive commissioning gas in the coming months from Kutubu. Construction was progressing on the remaining 80-kilometre section of onshore pipeline between Kutubu and the Hides Gas Conditioning Plant. The spineline pipeline from the Hides well pads to the Hides Gas Conditioning Plant was under construction.
At the LNG plant site, progress continued to plan with commencement of commissioning of power generation units. Commissioning gas will enter the plant in coming months. The load-out jetty was complete as were the navigational aids for shipping. Both LNG tanks had been pneumatically tested and perlite insulation was complete on the North LNG tank and underway on the South LNG tank.
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PNG LNG is on track for first LNG in 2014.