ExxonMobil eyes P'nyang gas as basis for PNG LNG plant expansion

PLATTS

The ExxonMobil-led joint venture which holds the P'nyang gas field in Western province is conducting pre front-end engineering and design studies to use the newly-discovered resource as the basis for an expansion of the PNG LNG project, partner Oil Search said Tuesday.

"The PRL 3 joint venture has agreed to move forward into the pre-FEED concept selection stage, with the primary option being to utilise P'nyang as a foundation resource for train three (at the PNG LNG project)," Oil Search said in its latest quarterly report.

"Preliminary studies on potential design concepts and costs have now commenced."

The work is expected to continue through to the end of 2012, Oil Search added.

The PRL 3 permit containing P'nyang is held 38.5% by Oil Search, 49% by operator ExxonMobil and 12.5% by JX Nippon.

ExxonMobil is also the operator of the $15.7 billion PNG LNG project, which is currently two years into a four-year construction schedule and is on track to start up in 2014.

The liquefaction facilities will comprise two LNG production trains with total capacity of 6.6 million mt/year.

Oil Search, which operates all of PNG's producing oil and gas fields, posted net output for third-quarter 2012 of 1.33 million boe, at an average of 14,466 boe/d.

Output was 26% lower than the second quarter's 1.8 million boe due to an initial curtailment and then a full shutdown of production for nearly four weeks while investigations were undertaken to identify the source of a minor oil sheen on the sea surface close to the Kumul marine terminal.

No source of any leak in the oil export system was found and loadings resumed in late August with no reappearance of the sheen, the company said.

"Once production resumed, there were some delays in establishing optimal plant operations," Oil Search added.

 "In addition, major flooding in PNG during the quarter had an impact on logistical and operational activities."

Oil Search managing director Peter Botten said strong oil production had been recorded since operations resumed and despite the shutdown, output for full-year 2012 was still expected to be within the company's 6.2 million to 6.7 million boe guidance range.

Oil Search's operating revenue for the third quarter of 2012 was $107.8 million from oil sales of 680,000 barrels.

Sales were substantially lower than in the second quarter due to the suspension of liftings during August, partly offset by higher oil prices.

Shortly after the end of the quarter, French major Total farmed into Oil Search's exploration acreage in the PNG Gulf area.

"Total has extensive experience in developing major LNG projects and has similar aspirations to Oil Search in assessing and, in the event of success, developing an LNG project in the Gulf of Papua," Botten said.

Duchess to help combat domestic violence in PNG

By Andrew Drummond of AAP

THE Duchess of Cornwall will visit a women's refuge in Papua New Guinea during an upcoming royal visit in an attempt to combat domestic violence.

The Duchess of Cornwall will visit a women's refuge in Papua New Guinea during the royal visit. AAP

Camilla, 65, arrives in Port Moresby on November 3 with husband Prince Charles for a two-night stay, the start of a Diamond Jubilee tour representing the Queen that also takes in Australia and New Zealand.
"Domestic violence is a key social problem in PNG and, given the Duchess of Cornwall's work in these sort of areas in the UK, the PNG authorities have asked her if she will visit a women's refuge ... to help draw attention to this problem, to draw it out of the shadows and enable people to undertake the vital work necessary to tackle this very difficult problem," a senior royal spokesman told media during a briefing at London's St James' Palace.
Camilla will visit the Haus Ruth Women's Refuge on November 5, while Charles meets with Prime Minister Peter O'Neill and Leader of the Opposition Belden Namah.
The royal couple will venture out of Port Moresby only once during their time in PNG, with a planned day trip to take in Boera Village and the National Bird of Paradise and Orchid Garden.
"(Papua New Guinea) really is so beautiful and the Prince is greatly looking forward to introducing the Duchess to some of its biodiversity, from Birds of Paradise - the national bird - (to) some incredible rare and beautiful orchards," the spokesman said.
Charles and Camilla leave Port Moresby on November 5 bound for Longreach to start the Australian leg of their tour.

Charles and Camilla's tour details revealed

The royal couple has a packed itinerary of events for a tour of Australia, New Zealand and Papua New Guinea next month.

By Jonathan Samuels, Australia Correspondent, Sky News

The Prince of Wales and Duchess of Cornwall will be treated to a barbecue in the outback, an afternoon on Bondi beach and a tour of a special effects workshop used in the making of The Hobbit movie when they visit Australia and New Zealand.

Details of their packed tour, which also takes in Papua New Guinea as part of the Queen’s Diamond Jubilee celebrations, have been announced.

Camilla will be making her first trip to the three countries, in a private or public capacity, while Charles, a seasoned traveller, has visited the southern hemisphere nations many times.

Among the highlights will be a visit by Prince Charles behind the scenes of the new blockbuster movie from Lord of the Rings director Peter Jackson.

He will visit a leading workshop in New Zealand that created special effects for the much anticipated fantasy film The Hobbit: An Unexpected Journey.

The heir to the throne will meet the filmmaker on the day of his 64th birthday, November 14, and be shown make-up props worn by actors including The Office star Martin Freeman, who plays the lead character Bilbo Baggins.

A royal aide said that in the workshop, based in Wellington, Charles would "come face-to-face with rather extraordinary, rather terrifyingly in some cases, life-like prosthetics including the feet and hands of the Baggins family".

The themes of the visit include service to the community, encouragement of economic growth and innovation, promotion of youth enterprise, celebration of sport in the community and support for the Armed Forces.

Speaking about the first leg of the tour to Papua New Guinea, which begins on November 3, the aide added: "The visit is centred on the capital Port Moresby but also includes a visit to a nearby fishing village called Boera where a traditional and probably rather dramatic welcome is planned by the local inhabitants."

 In Australia, the royal couple have set themselves the task of visiting four major cities - Melbourne, Adelaide, Sydney and the capital Canberra - as well as the outback town of Longreach in Queensland and the island state of Tasmania in just six days from November 5-10.

The royal couple has willingly accepted an invitation from race organisers to play an important part in Australia's most famous racing event, the Melbourne Cup, at which Camilla will present the top prize.

"We were asked if they would like to do it, and of course they are both great racing fans ... and very touched that they've asked the Duchess to present the Melbourne Cup," Clive Alderton, private secretary to Charles and Camilla, said.

It is a starring role for Camilla, 65, who will overcome a dislike of air travel to make the long trek south.

Other events will see them highlight healthy eating in schools, meet Australian cricketers playing with disadvantaged youngsters and promote the wool trade.

The final leg to New Zealand, from November 10-16, will see the royal couple meet popular children's author Lynley Dodd, writer of the Hairy Maclary stories about the adventures of a hairy dog.

The final day takes the royal travellers to Christchurch to see how residents have rebuilt their lives after last year's devastating earthquake.

Details of the tour come as a new survey commissioned by the Australian Republican Movement shows 48% of Australians want a republic.

However, perhaps riding on the popularity of the Duke and Duchess of Cambridge, only 45% of under-30s questioned want a republic - fewer than any other age group apart from those 70 or over.

Indonesia police fire rubber bullets on rally, 8 hurt

From: AFP

INDONESIAN police yesterday fired rubber bullets on students at a pro-independence rally in the restive region of Papua, in clashes that injured at least eight protesters, witnesses said.

Hundreds of police were deployed as around 300 people gathered outside the University of Papua in Manokwari, and a clash broke out with students hurling stones at the officers, according to an AFP reporter at the scene.
Police then fired rubber bullets on the crowd and four demonstrators were hurt, the AFP reporter said, while another four were injured in clashes with officers.
The eight were taken to the local hospital but a doctor there indicated none of their injuries were serious.
Rally organisers, the youth secessionist West Papua National Committee (KNPB), also said four people were shot at the protest and taken to hospital.

Local reporter and activist Oktovianus Pogau said he was beaten badly by five policemen as he pulled out his wallet to present his press card.
"They punched me twice in the face and tried to strangle me. They hit other journalists and I saw at least two people get shot," Pogau said.
Manokwari police chief Agustinus Supriyanto declined to comment on the violence and would only say that the incident was being evaluated.
Police had rejected the students' request to demonstrate outside the university and ordered the demonstration be shut down.
The demonstration was one of several in Papua on Tuesday which were organised by the KNPB ahead of a meeting later in the day in London of international lawyers who are backing a Papuan independence referendum.
International watchdog Human Rights Watch (HRW) condemned the police action, saying the students had a right to protest.
"Police should stop the excessive use of violence in Papua. It should investigate officers who ordered the violence," Jakarta-based HRW researcher Andreas Harsono said.
The protests were the first major pro-independence rallies since Indonesian police shot dead KNPB's deputy chairman Mako Tabuni in June, which sparked a wave of anger that saw cars and homes set ablaze.
Papua - a vast, mineral-rich region in the east of Indonesia that shares an island with Papua New Guinea - has a mostly Melanesian population, ethnically different from most Indonesians.
Jakarta annexed the former Dutch colony in 1969 and has since faced a low-level insurgency

Bank of PNG opens its bill tap facility tomorrow

 By MALUM NALU

Bank of Papua New Guinea opens its bill tap facility, part of its liquidity management tools, to the public as of tomorrow (Thursday), as well as Friday and Mondays, The National reports.

Small investors can purchase Central Bank Bills (CBB)from a minimum K10,000 to a maximum K100,000 for fixed maturities in 28, 63, 91, 182 and 364 days.

The yield offered for each maturity at the tap will be the CBB weighted average rates determined at the weekly auction plus or minus a margin, which will not exceed 1%.

Trading under the CBB tap facility will be conducted at the Bank of PNG, ToRobert Haus ground floor.

The bill tap facility will be used to influence the price of money so as to achieve its objective of price stability.

“The objective of offering the tap facility is to encourage a wider participation by the general public, in particular small investors, in the securities market, hence contributing to the development of the retail market for government securities,” bank Governor Loi Bakani announced yesterday.

Bakani making the announcement yesterday.-Nationalpic by MALUM NALU

 “The tap facility is not intended to undermine the role of the commercial banks and other registered bidders who participate in the wholesale market for government securities.

“The tap facility is open to the general public, which includes individuals, private companies, church groups and others that are not registered bidders with the Bank of PNG.

“Licensed financial institutions such as commercial banks, finance companies, savings and loans societies, insurance companies, superannuation funds, micro banks and other registered bidders are not eligible to participate at the CBB tap facility.

“Government agencies or institutions and Bank of PNG staff are not permitted to participate in the CBB tap facility.”

Before investing in CBB tap, an investor must have a commercial bank account, and open a CBB account with an investor identification form with the BPNG.

“The total volume of CBBs to be traded on the market under the tap facility will be determined on a weekly basis by the monetary policy committee (MPC) and approved by the Governor,” Bakani said.

“Announcements will be done by the bank on the total amount on offer and term details.

“The application account must not be higher than the amount on offer for that week and only one application per term is allowed.”

Oil Search output falls

Oil Search still expects to achieve its full year production guidance despite a minor oil spill and loading terminal shutdown contributing to a 26 % plunge in quarterly output.
The company, Australia's third largest oil and gas producer, produced 1.33 million barrels of oil equivalent in the three months to the end of September.
It was a 26 % fall on the previous quarter and 11 per cent retreat from the September quarter in 2011.
Oil sales revenue of 685,000 barrels was 57% weaker and revenue was slightly offset by a higher average realised oil price of $US114.67 ($A111.60) a barrel but still 49 per cent weaker at $US107.8 ($A104.91) million.
The company expects production of 6.2 to 6.7 million barrels, having produced 4.59 million barrels for the first nine months of 2012, compared to 5.05 million barrels at the same time in 2011.
Oil Search had to suspend operations at its main producing fields in Papua new Guinea for most of August after an oil spill of up to eight litres at its Kumul Marine Terminal.
Bad weather hampered the investigation into the source of the spill, which was never found, and no spills have occurred since.
In better news, the company brough in French energy major Total earlier this month as a 50% partner in five onshore and offshore gas exploration projects in the highly prospective Gulf of Papua region.
Oil Search is a 29% partner in the $16 billion PNG LNG project due to begin production in 2014.
Oil Search shares were steady at $7.60.

PNG cricketers show passion and skills

The Chronicle

( from left ) Charles Amini, Norman Vanua, Peter Anderson (coach), and Toua Tom from Papua New Guinea cricket team . Photo Nev Madsen / The Chronicle Nev Madsen

TOOWOOMBA cricketers got a special treat Sunday when Peter Anderson and his team of Papua New Guinean cricketers rolled into town for their first representative game in the Garden City.   

And according to Mr Anderson, we might well be seeing a bit more of them now they are playing as part of the Webb Shield series for the first time.  

 He said the entire team grew up in circumstances fairly unimaginable to most of us pampered Aussies and their enthusiasm was an inspiration.  

 And if local cricket enthusiasts get a chance to see the team in action, he recommends they take it.

"Nearly all of these players came from the same village in PNG, a third world country where 20 of them will live in a little hut," Mr Anderson said.
"They're a fantastic, well-mannered and humble group of people and they have so much passion.
"They just love the game and I don't over-coach them.
"There are three or four who are easily world-class."
He said the enthusiastic group has been following a gruelling schedule and in the past week have played two 50-over games, two T-20 matches, completed a two-hour fielding session with the International Cricket Council, a club game on Saturday and then on to Toowoomba Sunday.
Monday you'll find the team in Burleigh Heads playing yet another match, but Mr Anderson said they would be slotting in some time to relax in the surf.
To find out more about the fast-growing world of PNG cricket see cricketpng.com.

PNG takes PM's golf title in Fiji

ByRashneel Kumar

Fiji Times

PAPUA New Guinea (PNG) won the Pearl Prime Minister's Golf Challenge 2012 Four Men Team Progressive Ambrose event at the Pearl Resort Golf Course in Deuba on Saturday.

Led by their Prime Minister Peter O'Neill, the PNG side defeated their Fijian counterpart by five strokes.
Fiji skippered by the President Ratu Epeli Nailatikau had some top local golfers but they failed to overcome a strong 40 teams PNG side to win the inaugural tournament.
Tournament co-ordinator Iliasa Labaibure was thrilled with the level of competition between the teams from both countries.
He said good weather and perfect greens contributed to the success of the tournament.
"The competition was really good. We got to see some good golf today (yesterday) and the participants really enjoyed the day," Labaibure said.
Labaibure said the successful inaugural tournament had set a good platform for the event next year.
He said the challenge was on Fiji to snatch the title from PNG next year.
"This was the first year for this tournament and we expect and bigger and better event next year."
The Fijian team had the likes of former prime minister Sitiveni Rabuka, Minister for Foreign Affairs Ratu Inoke Kubuabola, Minister for Sport Viliame Naupoto, Sir Jim Ah Koy, Ratu Isoa Gavidi, Ratu Tu'uakitau Cokanauto and Sir Timoci Tuivaga, to name a few.

Papua New Guinea is here to help Fiji: O’Neill

Papua New Guinea Prime Minister, Peter O’Neill, looks out at Suva City from the roof top of the Grand Pacific Hotel on Saturday. Photo: NAVNEET NARAYAN

By ELLEN STOLZ of Fiji Sun

Papua New Guinea’s Prime Minister Peter O’Neill has reassured current and potential investors that his Government will continue to support Fiji.
“We have no trouble stating that Fiji will return to a democratically elected Government and the assurances we are getting from the Prime Minister and the rest of the leaders from the Government shows us it is happening,” Mr O’Neill said.
The PNG head made these comments as he was given a tour of the Grand Pacifi c Hotel in Suva on Saturday.
He said: “We see no reason why our investors should not continue to invest in Fiji. We have every confidence that the economy will continue to do well in fact we know it will improve.”
He also applauded the efforts done to the ‘Grand Lady’ or the Grand Pacific Hotel and said: “At times we tend to forget about buildings that hold so much historical value. I know that by the time the work on the hotel is complete that it will once again become a historical landmark for Fiji.
We cannot wait to see the project completed in 2014.”
The Fiji National Provident Fund, the National Superannuation Fund of Papua New Guinea and the Lamana Group, also of PNG, have come together to collaborate on the project.
The collaboration also indicates growing ties between the two Melanesian Spearhead Group countries.
Mr O’Neill also reaffi rmed PNG’s position when it came to Fiji and encouraging investors to the region and the country.
“We have a lot of Fijian investment going into PNG also and we are encouraging that and we encourage more investment from PNG to Fiji.
“Trade between our two countries has increased every year and we look forward to that continuing because it provides a lot more opportunities for our services in terms of employment and also income earning opportunities,” Mr O’Neill said.
He added that countries like Australia, New Zealand and others in the region were starting to engage with Fiji more and that the sooner Fiji returns to more engagement with the Pacific the better.
Of closer Melanesian ties, Mr O’Neill said: “We will discuss about labour mobility within the region.
“I think that Fiji has a lot of skilled people who can find employment in our country and we are trying to relax some of our visa requirements so that many of them can enter the workforce easily and this is also vice versa from people from PNG to come to Fiji and work.”

2014 Elections
On the 2014 elections, he said: “The Papua New Guinea Government has offered to assist wherever we can both fi nancially and in terms of technical support if we are required to do so; we stand ready to assist Fiji in whatever capacity we can,” he said.
“The discussions that we have had with the Prime Minister indicate that the framework for the constitution is going well and the consultations with the stakeholders are going well and we are happy with the progress that has been made so far,” he said.

F$82m marina development project launch

ByAna Madigibuli

Fiji Times

Monday, October 22, 2012

THE Pearl South Pacific Resort and Spa launched its $82million marina development and apartment plan on Saturday.

Papua New Guinea Prime Minister Peter O'Neill launched the project in the presence of Fiji and PNG government officers and business stakeholders.
He said the unveiling of the marina development plan for the Pearl Pacific Resort by Mineral Resources Development Company (MRDC) was an example of capitalising on investment opportunities.
"I commend MRDC, Petroleum Resources Kutubu, and Mineral Resources OK Tedi for the strategic investment. I've been told that the Pearl Resort has a reputation as a popular destination for tourists," said Mr O'Neill.
Pearl Resort managing director Augustine Mano said they were happy with the investment.
"The new expansion will include 92 two and three-bedroom apartments which can be divided into a total of 126 rooms and sold as part of the inventory of the existing resort," he said.
"The Marina apartments will be centered around an exclusive pontoon marina development that will allow approximately 36 private mooring berths plus luxury superyachts berth on the river frontage."
He said it would be the first for Fiji and the South Pacific.
"Within the marina complex will be a bar and grill that will overlook the boats and marina boardwalk," he said.

PNG investments to impact Pacific

Report by: Mika Loga

Fiji Broadcasting Corporation

Investors in Papua New Guinea are taking the country’s business sector by storm, pumping hundreds of millions of dollars into the economy.
Their investments are significant in the Bank of South Pacific, Credit Corporation, Mineral Resources Development Corporation which own the Pearl Resort in Pacific Harbour, Naswan joint venture with the Fiji National Provident Fund and Lamana Development Company which are re-developing the old GPH site.
NASFUND Papua New Guinea Chairman Mel Tagolo says, they’d like to see their investment have a significant impact in the Pacific region.
“I like to see our investment in the pacific this is the region where we are and if we put in more investment in this region then that means we’d be providing employment, training, skills transfer and all that that can remain in this region and those sought of skills attract investment come to our region.”
Investors are injecting much of their cash in the financial and tourism sectors creating thousands of jobs for our locals.

PNG to boost ties wth Fiji

By Ana Madigibuli

Fiji Times

Monday, October 22, 2012

Papua New Guinea Prime Minister Peter ONeill at the launch at the Pearl Hotel in Pacific Harbour. Picture: ATU RASEA

PAPUA New Guinea Prime Minister Peter O'Neill says PNG is looking to further strengthen its current trade arrangements, including areas of labour mobility.

Prime Minister Peter O'Neill said commercial investments by Fijian companies have also increased, likewise by PNG companies in Fiji. This, he said, continued to strengthen the economies of both countries.
Mr O'Neill also commended Prime Minister Commodore Voreqe Bainimarama for the progress made in the rewriting of the constitution and preparation for the election in 2014.
He said when he met Commodore Bainimarama in September last year, he had made it clear that issues confronting the people of Fiji are best left to the Fijian themselves to resolve.
"I am pleased with the progress made so far and I have assured the Prime Minister that the Papua New Guinea government stands ready to support in whatever capacity in this regard," Mr O'Neill said.
"Our two countries established formal diplomatic ties 37 years ago, but religious and people-to-people links were established long before that. Today, our relation has been enhanced further in the areas of commerce, trade and technical cooperation."
He said the two countries co-operate at the regional level and global front on issues such as climate change, food security, poverty alleviation, gender equality and education.