Papua New Guinea: Highlands Earthquake Situation Report No. 7 (as of 13 April 2018)

reliefweb.int | April 13, 2018

This report is produced by the National Disaster Centre and the Office of the Resident Coordinator in collaboration with humanitarian partners. It was issued by the Disaster Management Team Secretariat, and covers the period from 5 to 11 April 2018. The next report will be issued on or around 19 April 2018.

Background

270 000 people are in need of assistance across four provinces of Papua New Guinea’s highlands.

11, 041 households (55,205 people) remain displaced in nine care centres.

91 per cent of health facilities are open, but almost 55 per cent have no water.

15,726 students in 105 schools assessed as partially or completely damaged have had their access to education affected by the earthquake.

Humanitarian operations in and around Tari, provincial capital of Hela province, remain suspended since 28 March, but inter-communal tensions reportedly abated during the reporting period.

194 aftershocks have occurred since the initial 26 February earthquake, of which six were of a 6.0 or greater magnitude.

270,000 people in need of assistance

$62M funding required

10,000 callers listened to messages containing lifesaving information per cent of health centres open metric tons of relief items transported

Situation Overview

On 26 February 2018, a 7.5 magnitude earthquake hit the Highlands Region of Papua New Guinea (PNG), affecting an estimated 544,000 people in five provinces – Enga, Gulf, Hela, Southern Highlands and Western provinces, with Hela and Southern Highlands the most affected. More than 270,000 people, including 125,000 children, have been left in immediate need of life-saving assistance. Since the initial 26 February earthquake, 194 aftershocks have occurred, of which six were of a 6.0 or greater magnitude.

The latest tracking figures available from the Displacement Tracking Matrix (DTM) implemented as part of the Shelter Cluster response, indicate that 11,041 households (approximately 55,205 people) remain displaced due to the earthquake, of which 1,250 households remain in nine care centres while 9,879 households remain within their communities.

The Shelter Cluster has proposed to adopt common definitions of settlement types defining a care centre as a displacement site where people are hosted away from their community or area of origin, and affected community as a community where people are still living within their community, even if displaced locally from their damaged/destroyed home. Two shelter response options and recommended packages have been proposed for cluster members’ endorsement corresponding to the two target groups defined above: (1) IDP household ShelterNFI return kit (for those in care centres); and (2) community reconstruction toolkit (for affected communities).

More than 90 per cent of health facilities in Hela and Southern Highlands (79 of 86) are now open and functional, but 13 of these health facilities sustained severe structural damage that continues to pose serious occupational threats to all users. Refurbishment of earthquake related structural damages remains a challenge. In particular, 55 per cent of health facilities urgently need access to safe water sources.
Traditional water sources were destroyed by earthquake-induced landslides and landslips. Water quality testing is already underway. The continual lack of access to safe drinking water significantly increases risks of waterborne diseases outbreak among affected and displaced persons. There have been sporadic reports of increasing cases of diarrheal diseases and gastrointestinal infections at health facilities in Hela and SHP due to consumption of contaminated surface water.

Since 28 March, humanitarian programmes in and around Tari, the provincial capital of Hela province, have been suspended due to increased tension and inter-communal fighting. Many partners have temporarily relocated humanitarian staff to other locations, including to the Southern Highlands provincial capital, Mendi, in view of the situation. Humanitarian partners aim to resume relief work as soon as the security situation allows. In the past week, the situation appears to be stabilizing in and around Tari, with ongoing efforts to negotiate an end to the inter-communal violence deployed by national authorities.

On 9 April, a joint team of UNICEF and Provincial Department of Education staff returning from distribution of Safe Temporary Learning Space (STLS) materials in Nipa/Kutubu district encountered a roadblock in Nipa town, manned by a group of armed men and boys. One UNICEF staff member sustained a minor injury due a rock thrown and breaking the window of his vehicle. Provincial and district officials, as well as local community representatives, have publicly apologized for the incident, and committed to ensure the safety of humanitarian staff and operations in the province. UN humanitarian operations are ongoing in Southern Highlands province.

UPDATE 2-ExxonMobil resumes quake-hit PNG LNG production ahead of schedule

uk.reuters.com
April 13, 2018

* Resumption of output, exports comes weeks ahead of expectations

* Announcement expected to drag on spot Asia LNG prices near term (Adds comment, detail, prices)

MELBOURNE April 13 (Reuters) - ExxonMobil Corp has resumed production at the Papua New Guinea liquefied natural gas (LNG) project a fortnight ahead of schedule after it was shut down in the wake of a deadly earthquake in February, its Australian partners said on Friday.
Production at the PNG LNG project was halted after a 7.5 magnitude earthquake hit Papua New Guinea’s energy-rich interior on Feb. 26, causing landslides, damaging buildings and killing 100 people.
Australia’s Oil Search Ltd and Santos Ltd said they had been advised that one train at the LNG plant near Port Moresby has re-started operations and the second train is expected to resume as gas production ramps up.
LNG exports, which were expected to resume shortly, will come weeks ahead of schedule and may put pressure on spot LNG prices, traders said. Exxon Mobil Corp had earlier advised that production would restart in May 2018.
“The recommencement of operations at the PNG LNG Project, ahead of ExxonMobil’s previously guided eight week timeframe, is a major achievement by the operator,” said Oil Search Managing Director Peter Botten.
Exxon Mobil was able to restart production earlier than expected because damage to hundreds of kilometres of pipelines that run through the mountains between gas output facilities and the LNG terminal was much less than initially feared, a source involved with the project told Reuters.
Santos is a foundation partner and holds a 13.5 percent interest in PNG LNG. Oil Search has a 29 percent stake.
Exxon Mobil declared force majeure on exports from PNG in March and the resulting uncertainty over supply drained liquidity from Asia’s spot LNG markets, traders said.
“At the time the project was halted in late February, it was a time in the year when LNG prices were to gradually fall down as demand eases,” said one industry source in Tokyo.
“The halt did have some impact in that it took longer for (Asian benchmark) prices to fall, but the impact was rather limited because demand was weak at the time,” he said.
Asian spot LNG prices LNG-AS have lost almost 70 percent from their 2014 peak to around $7 per million British thermal units (mmBtu), driven lower by a global supply overhang that developed as new production came online, especially in Australia and the United States.
Worry about the surplus has been tempered somewhat by unexpectedly strong demand out of China, India and Southeast Asia, especially over this past winter.
Before the quake, the PNG LNG project had been producing at around 20 percent above its rated capacity of 6.9 million tonnes a year.
Another trader said that although the announcement would likely weigh on prices, any fall “will be limited by summer demand expected soon from Asia.”

Papua New Guinea: armed gangs attack and rob aid workers

theguardian.com
April 13, 2018

Papua New Guinea
Red Cross and Unicef staff members assaulted amid rising frustrations about level of humanitarian aid following earthquake

Red Cross and Unicef staff have been attacked while assisting after the Papua New Guinea earthquake. Photograph: Francis R. Malasig/EPA

Staff from two aid agencies have been attacked in the last week in Papua New Guinea as violence and tribal conflict hampers the efforts of relief organisations assisting in earthquake recovery.
A team of local aid workers with the PNG Red Cross was robbed and assaulted by armed assailants in Tari.
According to police and incident reports seen by the Guardian, the group of eight people, including five PNG Red Cross staff members, was robbed by five people armed with shotguns and machetes last Friday.
 They had been traveling to Tari, through Hela province, an area which has seen an escalation in violence in recent weeks.
The assailants – who appeared agitated and would not listen to explanations of the Red Cross’s role – allegedly assaulted them and robbed them of clothing and possessions.
One man was hit with a machete.
The following day a team of Unicef workers was attacked in the Southern Highlands province, with at least one person believed to have sustained injuries.
 The team had been driving back to the town of Mendi, said Unicef representative in PNG, David Mcloughlin.
“Our convoy of cars ... was attacked.
The worst affected in the attack was a government security escort car.
One Unicef staff, a medical doctor, received minor head and shoulder injuries from rocks thrown at the car and with the remaining staff all made it back safely to Mendi traumatised but physical unhurt.
“The injured staff member requiring stitches to their head was treated at a hospital in Mendi.
The government and community leaders have apologised to Unicef for the attack.
“We want to reiterate that Unicef appreciates very much the excellent cooperation and support from national and provincial government.
" We know the marauders do not represent the PNG people who have been kind, helpful and grateful for our assistance.”
Mcloughlin said after the violence began staff were transferred staff to a safe location in Mendi on 29 March.
 “Although tension in Tari has hindered our humanitarian response, we want to reaffirm that Unicef continues to remain present in the highlands region to provide assistance to needy children.
 "Our team remains in Mendi, despite the car attack, and we are operating from there.
"For Tari, we are currently reassessing the situation very closely and ready to resume relief work as soon as the security situation allows,” he said.
“The situation is unpredictable and volatile.
"Security remains a big concern and is affecting our aid delivery.
"However, Unicef will remain in the highlands region and is committed to providing clean water, hygiene education, vaccination and malnutrition treatment and psycho-social support to children affected by the earthquakes.”
Aid workers have said there is a rising sense of frustration among Highlands residents in some areas, about the level of humanitarian assistance reaching them after the earthquake seven weeks ago – and several subsequent tremors – killed more than 150 people.
More than 20,000 people are estimated to be living in informal relief centres and many affected areas remain cut off by road.
More than 140,000 people from the largely subsistence-living population are considered to be food insecure because of the mass destruction of gardens and crops.
The Highlands region is frequently beset by tribal conflicts which have worsened in intensity, and the increasingly indiscriminate targeting of victims.
 A proliferation of high powered weaponry has left the already resourced-starved police force unable to respond in many cases.
Tari hospital and airport have been closed because of recent fighting during which a number of people were murdered and houses torched.
Last week the UN pulled 12 non-essential staff members from Tari in response to the unstable security situation.
Mark Kessler, head of mission for the International Committee of the Red Cross (ICRC) in PNG said they have not pulled back from their outreach work, but there were growing frustrations and not every NGO had the same in-country recognition and experience as the Red Cross and ICRC.
Kessler said the frustrations were justified in some cases but not necessarily in others.
“The actors, whoever they are, have to be transparent on the services they can provide and when they’ll provide them,” he said.
“If they can’t provide services everyone has to be honest with the population and tell them why.
“There should [also] be a certain degree of patience, understanding and respect at all times towards humanitarian actors and government actors who are doing their best to respond in a complex environment.”

ExxonMobil resumes Liquefied Natural Gas production in Papua New Guinea

THURSDAY, APRIL 12, 2018 

*Production safely restarts ahead of schedule at the PNG LNG plant near Port Moresby

*Production to increase in the coming weeks; LNG cargo deliveries to commence soon

*Company continues to assist with humanitarian relief efforts 

IRVING, Texas – ExxonMobil said today that production of liquefied natural gas (LNG) has safely resumed at the PNG LNG project in Papua New Guinea following a temporary shutdown of operations after a severe earthquake occurred in the region on Feb. 26. LNG exports are expected to resume soon.

One train is currently operating at the LNG plant near Port Moresby. The plant’s second train is expected to restart as production is increased over time.

During the period that production was shut-in, ExxonMobil was able to complete unrelated maintenance scheduled for later in the year to allow for more efficient operations in the months ahead.

“Resuming LNG production ahead of our projected eight-week timeframe is a significant achievement for ExxonMobil, our joint-venture partners and our customers,” said Neil W. Duffin, president of ExxonMobil Production Company. “We will continue to support those communities impacted by the earthquake as we work toward fully restoring our operations. We hope our contributions and assistance will provide comfort to those in need.”

ExxonMobil is supporting multiple local and international relief agencies involved in the humanitarian response to the earthquake.

In addition to the company’s previously announced $1 million contribution for humanitarian relief, ExxonMobil crews have donated and delivered more than 37 tons of food, 14 tonnes of drinking water, 600 tarpaulins used as emergency shelters, 1,000 solar lights for households, 20 larger solar lighting units for institutions, as well as other essential supplies including water purification tablets, cooking aids and hygiene kits.

The company is also assisting with the restoration of health care facilities and community food gardens, and is providing resources to help the government address the significant task of restoring roads in the Highlands region.

“While a lot of work remains to be done, we are confident that with the support of all our partners and stakeholders, we can help our friends and neighbors recover from this tragic natural disaster,” said Andrew Barry, managing director of ExxonMobil PNG.

About ExxonMobil in Papua New Guinea

ExxonMobil has had a presence in Papua New Guinea since the 1920s and currently has a workforce of 2,600 in the country, 80 percent of whom are Papua New Guineans. The company operates the PNG LNG project, an integrated development that includes natural gas production and processing facilities, onshore and offshore pipelines, and liquefaction facilities. Production and processing facilities are located in the Southern Highlands, Hela, Western, Gulf and Central provinces of Papua New Guinea. The company also has interests in oil production and fuels marketing.

World Bank raises East Asia's 2018 GDP outlook, but wary of trade war

reuters.com | March 27, 2018

JAKARTA (Reuters) - The World Bank raised its growth forecast for East Asia and the Pacific for 2018, but warned that a possible U.S.-China trade war could harm growth in countries that are part of the Chinese goods supply chain.

The Washington-based lender said in a report on Thursday it expected 2018 growth in the developing East Asia and Pacific (EAP) region, which includes China, to expand 6.3 percent, a notch up from 6.2 percent forecast in October.

The 2018 forecast is slower than last year’s 6.6 percent growth, reflecting a slowdown in China as it continues to rebalance its economy away from investment towards domestic consumption, with policies that focus more on slowing credit expansion and improving the quality of growth, the bank said.

China’s 2017 growth was a faster-than-anticipated 6.9 percent, prompting the World Bank to revise up this year’s growth projection to 6.5 percent from October’s forecast of 6.4 percent.

Sudhir Shetty, the World Bank’s chief economist for the region, said the forecast did not take into account a potential trade war between the world’s two largest economies, although he did not feel that one was imminent.

Some U.S. officials and analysts have said they believe the dispute could eventually be resolved via dialogue, but Beijing reiterated on Thursday that no formal talks have taken place.

However, Shetty noted that two thirds of Chinese goods on a U.S. list targeted for increased tariffs are made in a supply chain that stretches across the region, particularly in the Philippines, Malaysia and Vietnam.

Should the tariffs be imposed on goods assembled in China, there would be “a knock-on effect” to economies in the supply chain, Shetty told a news conference.

“That is a significant thing to be concerned about because the success of this region is based on open trade,” he added.

The World Bank suggested bolstering regional trade through mechanisms such as the ASEAN Economic Community, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and the China-led Regional Comprehensive Economic Partnership so that the region can try to insulate itself against the threat of a trade war.

“Will that completely offset the impact of a possible trade war? Probably not, but it could certainly mitigate against the worst effects of those developments,” Shetty said.

The pace of interest rate increases in advanced economies is another short-term risk for the region, Shetty said.

Interest rates in most economies in the EAP region are currently at historically low levels and monetary tightening may be needed to help offset capital outflows should rates in advanced economies rise faster than expected, he said.

This was particularly the case for countries with high debt levels or rapid credit growth, such as Malaysia, he said.

Meanwhile, countries such as Papua New Guinea, Laos and Myanmar may have to increase their fiscal buffers through a conservative fiscal stance and better public debt management, he said.

The World Bank expects the region to grow 6.1 percent in 2019, unchanged from its prior forecast, and 6 percent in 2020.

Uncertainties delaying economic recovery in the Pacific

adb.org | April 11, 2018

SYDNEY, AUSTRALIA (11 April 2018) — Growth in the Pacific is expected to remain weak in 2018, as economic and political uncertainties, fiscal challenges, and natural disasters hold back some of the region’s larger economies. The outlook projects a slow recovery, with growth picking up only in 2019, says a new Asian Development Bank (ADB) report launched today.

Expected recovery in Papua New Guinea and strong growth in Timor-Leste should contribute to Pacific regional growth picking up to 3.0% in 2019.

The Asian Development Outlook (ADO) 2018, ADB’s flagship annual economic publication, projects that Pacific economies will, on average, grow 2.2% in 2018—the same rate as last year. However, expected recovery in Papua New Guinea (PNG) and strong growth in Timor-Leste should contribute to regional growth picking up to 3.0% in 2019.

“Several Pacific countries face heightened economic uncertainty and the impacts of extreme weather events and disasters, highlighting the need to build resilience across the region,” said Carmela Locsin, Director General of ADB’s Pacific Department. “Climate-proofing infrastructure, maintaining fiscal buffers, and investing in education to expand economic opportunities are all vital for more resilient economies in the Pacific.”

PNG—the Pacific’s largest economy—was adversely affected by a major earthquake in late February this year, which will hold back growth in oil and gas production, and slow economic growth to 1.8%. However, the Asia-Pacific Economic Cooperation meetings in 2018 is expected to provide economic stimulus. The ADB report says the medium-term outlook for PNG remains positive with GDP growth likely to reach 2.7% in 2019.

After a steep growth slowdown in Fiji in the wake of Cyclone Winston in 2016, reconstruction spending, improved agricultural output, and tourism growth spurred recovery. With most cyclone reconstruction ending soon, economic growth is expected to decelerate slightly from 3.9% in 2017 to 3.6% in 2018 and 3.3% in 2019—with tourism, construction, and agriculture likely to be the main contributors.

In Timor-Leste, the economy contracted in 2017 as political uncertainty held back public spending and private investment. The 3.0% and 5.5% projected growth rates for 2018 and 2019, respectively, hinge on a solid public expenditure program after the election of a new government expected in May. A new treaty with Australia to pave way for the development of the Greater Sunrise oil field will boost the growth outlook in the long term. The report says renewed emphasis on skills development and a supportive approach to labor migration would give young people better access to employment.

Slower growth in Solomon Islands is expected in 2018 and 2019 as new construction will only partly offset a likely further decline in logging. Progress is being made in implementing a national transport plan, but challenges remain.

Growth will moderate in Vanuatu in 2018 and 2019, due to the completion of several large infrastructure projects. Vanuatu’s ambitious infrastructure pipeline is supporting its current and future prospects, but a rise in public debt poses challenges for fiscal management.

The economic outlook for the North Pacific economies is mixed, with tourism expected to recover in Palau, but capacity constraints could limit infrastructure investment-driven growth in the Federated States of Micronesia and Marshall Islands. The report notes that improving education can equip a young labor force with better skills to fill domestic employment over the long term.

Moderate growth in the South Pacific economies of Cook Islands, Samoa, and Tonga is seen this year and the next. Damage caused by Cyclone Gita which hit Tonga in February 2018 is projected to push the economy into a slight contraction. Growth in Samoa will fall sharply this year as one of the country’s biggest employers—a manufacturing plant—closes operations. The Cook Islands’ economy is expected to expand by 3.5% in 2018, supported by tourism.

Economic prospects for the small island economies of Kiribati, Nauru, and Tuvalu are weakening. Growth is projected to decelerate slightly in Kiribati and Tuvalu, but more significantly in Nauru due to the winding down of the Regional Processing Centre for asylum seekers. Public investments financed by development partners are expected to drive economic growth in these countries throughout 2018 and 2019.

ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members—48 from the region.

Violence and landslides block aid access to Papua New Guinea quake victims

reuters.com | April 12, 2018

Violence rooted in tribalism and frustration at the slow response following earthquakes in Papua New Guinea was blocking efforts to reach those in need, aid workers said on Thursday.

Three tremblors have hit Papua New Guinea, one of the world’s poorest countries, since the remote, mountainous highlands region was rocked by a magnitude 7.5 quake on Feb. 26. The latest, a magnitude 6.3 aftershock, struck on April 7.

At least 132 people have been killed, 500 injured and about 43,000 uprooted from their homes, while 270,000 are urgently in need of assistance, aid agencies said, with the scale of the emergency testing the nation’s finances and capacity.

The United Nations and the International Planned Parenthood Federation (IPPF) said they had to withdraw teams from the Hela provincial capital of Tari after violence erupted on March 28.

“There were houses set on fire and some people were murdered in Tari,” said Robyn Drysdale, a doctor and deputy humanitarian director with IPPF.

“It just means aid will be slowed even further, because aid workers won’t want to go into those areas,” she told the Thomson Reuters Foundation by phone from the capital, Port Moresby.

A spokesman for the United Nations children’s agency, UNICEF, said the situation in Tari was still tense and staff have remained in the Southern Highlands provincial capital of Mendi, where they were relocated.

In another incident on April 7, a group of men attacked a UNICEF convoy that was returning to Mendi after visiting health facilities in the Southern Highlands district of Nipa-Kutubu, said David McLoughlin, the agency’s country representative.

“We know the marauders do not represent the PNG people who have been kind, helpful and grateful for our assistance,” he said by email, adding that UNICEF “will continue to stay in the highlands to help children in need”.

Drysdale said some people were frustrated with the slow delivery of aid, which was hampered by landslide damage to many of the roads in the mountainous region, which were already in poor condition.

She said tensions were also inflamed by long-running tribal rivalries over rights to land and resources, and payments made to groups by companies exploring for oil on traditional land.

The World Health Organisation has warned of “the high potential of waterborne and vaccine-preventable disease outbreaks” in quake-affected areas.

Quakes are common in Papua New Guinea, which sits on the Pacific’s “Ring of Fire”, a hotspot for seismic activity due to friction between tectonic plates.

Key gas field for PNG LNG expansion gets huge resource upgrade

platts.com | April 12, 2018

Papua New Guinea's PNG LNG has had a huge increase in upstream gas resources, which will support the plan to almost double the facility's export capacity, project participant Oil Search said Thursday.

The gas resources increase is in the P'nyang field in PRL 3, where Oil Search has 38.51% stake, resulting in 1C gross contingent gas resources more than tripling to 3.51 Tcf, and certified 2C contingent gas resources rising to 4.36 Tcf, Oil Search said.

"Combined with gas resources in the Elk-Antelope fields in PRL 15, Oil Search believes there is now approximately 11 Tcf of certified gross undeveloped 2C gas resource available to support the proposed development of 8 [million mt/year] of additional, globally competitive LNG capacity at the existing PNG LNG plant site," Oil Search managing-director Peter Botten said.

"Importantly, there is in excess of 8 Tcf of 1C resource, which will greatly assist marketing activities within each venture."

Oil Search holds a 29 per cent interest in PNG LNG, along with operator ExxonMobil (33.2 per cent), Santos (13.5 per cent), Kumul Petroleum Holdings (16.8 per cent), JX Nippon Oil & Gas Exploration Company (4.7 per cent) and Mineral Resources Development  Company (2.8 per cent).

PNG LNG currently has a nameplate capacity of 6.9 million mt/year but consistently operates above it. In December, it averaged 8.6 million mt/year and is expected to be able to maintain rates above 8.5 million mt/year when operational.

RESTART BY EARLY MAY

PNG LNG was forced to close on February 26 due to a 7.5 magnitude earthquake in the PNG Highlands.

An ExxonMobil spokeswoman said Thursday that the projection gave on March 5 that it would take approximately eight weeks to complete repairs and restore production remains on track. Roughly eight weeks from March 5 will take the restart to the end of April or start of May. It may take some time to ramp back up to full production rates.

Oil Search said Thursday that ongoing discussions are taking place between the joint venture partners as well as the PNG government on the preferred development concept for LNG expansion, which proposes one new train underpinned by gas from P'nyang and the PNG LNG project fields, and two trains dedicated to Papua LNG, supplied with gas from the Elk-Antelope fields.

"The joint ventures are targeting entry into front end engineering and design on this expansion in the second half of 2018," Botten said.

RBC Capital Markets analyst Ben Wilson said the question for the JV parties and what will likely ultimately determine the value of the additional resource will be the timing when the additional gas from P'nyang gets developed.

"P'nyang is currently the furthest gas from Hides along the Hides to P'nyang trend and would require longer pipelines and more capex to be developed," he said.

The JV parties will likely be looking to develop gas in an order that is closer and hence cheaper to Hides, he said.

"There is still a chance that gas from Muruk will usurp P'nyang in the order of development with further drilling at Muruk-2 later this year that should firm up that resource size following initial booking of gas this year (pre-drill expectations were in range of 1-2 Tcf) with that trend estimated to hold up to 10 Tcf of unrisked gas," he said.

He noted that Oil Search recently outlined that it was re-examining plans to accelerate gas from existing PNG LNG fields that would be used to front load the PNG LNG expansion train.

ExxonMobil announces 84 per cent increase in P’nyang resource, potential expansion in PNG

ExxonMobil
Wednesday, April 11, 2018

2 trillion cubic feet of gas added to P’nyang field resource estimate
Recoverable resource now estimated at 4.36 trillion cubic feet of gas
Supports three-train LNG plant expansion concept

IRVING, Texas – Exxon Mobil Corporation today announced that the size of the natural gas resource at the P’nyang field in Papua New Guinea has increased to 4.36 trillion cubic feet of gas, an 84 percent increase from a previous assessment completed in 2012.
The increase supports a potential significant expansion of operations in the country.
The independent recertification study by Netherland Sewell and Associates follows the successful completion in January of the P’nyang South-2 well, located in the Western Province of Papua New Guinea.
The results support ExxonMobil’s discussions with its joint venture partners on a three-train expansion concept for the PNG LNG liquefied natural gas (LNG) plant near Port Moresby, with one new train dedicated to gas from the P’nyang and PNG LNG fields and two trains dedicated to gas associated with the Papua LNG project.
“The increase in the estimated resource size of the P’nyang field helps illustrate the tremendous growth opportunities for our operations in Papua New Guinea,” said Liam Mallon, president of ExxonMobil Development Company.
“We are working closely with our joint venture partners and the government to progress the P’nyang field development proposal and secure the licenses needed to develop this world-class resource.”
The development concept, which would add approximately 8 million tons of LNG annually, would double the capacity of the existing LNG plant operated by ExxonMobil.
“This investment would extend our gas pipeline infrastructure into the country’s Western Province and have a meaningful and lasting economic impact for Papua New Guinea and its people,” Mallon said.
The P’nyang field is located within petroleum retention license 3, which covers 105,000 acres (425 square kilometers). ExxonMobil affiliates operate the license with a 49 percent interest in the block. Affiliates of Oil Search have a 38.5 percent interest and JX Nippon has 12.5 percent interest.
Papua LNG is seeking to commercialise the Elk-Antelope fields located in petroleum retention license 15 in the Gulf Province of Papua New Guinea.
An ExxonMobil affiliate holds 37.1 percent interest, and affiliates of operator Total S.A. and Oil Search Limited have 40.1 percent and 22.8 percent interest, respectively.  

Scandal-tainted Papua New Guinea football chief quits

SPORTS CGTN
2018-04-11

Scandal-tainted football chief David Chung has quit as head of the Papua New Guinea Football Association, days after resigning as Oceania Football Confederation (OFC) president over corruption concerns.

Chung stepped down on Friday as Oceania's top football official citing "personal reasons." But FIFA subsequently revealed an audit had uncovered "potential irregularities" in the construction of a lavish new Auckland headquarters for the OFC.
The world governing body has temporarily suspended all funding to Oceania. The fall of Malaysian-born Chung is now complete after he also resigned as president of the PNGFA, a position he had held since 2004, a statement on its website said Wednesday.
"To ensure good governance and accountability at all levels, the executive committee of PNGFA will adhere to the status of PNG Football Association and comply with the process in electing a new president of PNGFA," said Vice President John Wesley Gonjuan.
"In the meantime, it's business as usual." The FIFA audit raised concerns about the construction of a sports hub in Auckland that Chung said would become "The Home of Football" in the Pacific region.
With a reported budget of 15 million NZ dollars (10.9 million US dollars), it was a pet project of Chung, who had led the OFC since 2010.
The New York Times has reported that Chung and former OFC General Secretary Tai Nicholas awarded contracts for the scheme without tender to companies with no track record in the area.
It claimed the audit showed many of the companies were set up just before the contracts were awarded and questioned their relationship with those driving the project.
The newspaper alleged the OFC's executive committee was planning to suspend Chung for "gross dereliction of duty or an act of improper conduct" at a meeting last weekend before he fell on his sword.
Nicholas quietly resigned in December, also citing personal reasons.

Highlands loses first round in Frieda River arbitration

miningweekly.com | April 10, 2018

PERTH (miningweekly.com) – ASX-listed Highlands Pacific is facing a $12.4-million bill relating to the Frieda River copper/gold project, in Papua New Guinea, after the first stage of arbitration found in favour of project partner PanAust.

Highlands, which has a 20% interest in the Frieda River joint venture (JV), has been arguing that a feasibility study submitted to the Papua New Guinea government as part of an application for a special mining lease in June 2016, was incomplete, and that the company’s free carry should continue.

However, an arbitrator has determined in the first stage of an arbitration process that Highland’s free carry for the Frieda River project feasibility study ended on the date of the lodgment of an application for a special mining lease.

The arbitration will now proceed to the second stage, with Highlands telling shareholders that it will be contending that other provisions of the JV agreement should be applied to make PanAust liable in the first instance for the full cost of the feasibility studies undertaken since June 2016, with the right for Highlands to pay its share at a later date, if the project proceeds.

If Highlands is unsuccessful in the second stage, and if the cash calls made by PanAust are held to be valid, the ASX-listed company will be expected to pay its share of project expenditure from June 2016 to May 2018, which amounts to some $12.4-million.

In this case, the company could either elect to pay the amount, or have its share in the JV dilute by around 2.2%.

Meanwhile, the permitting process for the Frieda River project is continuing, although the Papua New Guinea authorities are awaiting the completion of current feasibility study work, which is scheduled for the second half of 2018.

Exxon expects Papua New Guinea LNG project to restart in May

reuters.com | April 11, 2018

NEW DELHI (Reuters) - ExxonMobil Corp expects to restart production from its Papua New Guinea liquefied natural gas (LNG) project at the start of May after it was shut following an earthquake in February, ExxonMobil LNG Vice President Emma Cochrane said on Wednesday.
The $19 billion LNG facility, opened in 2014 in a remote location in one of Asia’s poorest and most politically troubled countries, has been closed since the powerful 7.5 magnitude earthquake.
The project is considered one of the world’s best-performing LNG operations, despite the challenge of drilling for gas and building a plant and pipeline in the remote Papua New Guinea jungle.
Australia’s Oil Search and Santos are Exxon’s main partners in the project.
The LNG export terminal may not be able to produce at full capacity at first and will likely ramp up gradually, Cochrane said on the sidelines of the International Energy Forum.
“We are hopeful that we will be able to start in the beginning of May. We are actually ahead of schedule,” Cochrane told Reuters.
ExxonMobil has said there has not been any indication that the 700 km (435 mile) pipeline that delivers gas to its coastal LNG plant had been damaged by the quake, which flattened villages, killed dozens of people and spoilt water sources.
Cochrane also said the company has recertified the reserves in its P’nyang field in Papua New Guinea, and the reserves are higher than it previously thought.
“That gives us the potential to expand the facilities in the P’nyang field for the PNG LNG foundation project,” she said.
Exxon is likely to take a final investment decision this year on expanding its Golden Pass LNG terminal in Texas - a joint venture between Qatar Petroleum, ExxonMobil and ConocoPhillips , Cochrane said.
The company intends to expand its facility in Qatar, but “they have still not made a decision on partnering,” Cochrane said.
“We very much hope that Exxon Mobil will be a part of that story. But Qatar Petroleum is still considered their partnership choices.”

Project Brief: Papua New Guinea Earthquake Response Common Service

reliefweb.int | April 1, 2018

Click for a full PDF report

On 26 February 2018, a 7.5 magnitude earthquake struck the highlands region of Papua New Guinea, resulting in a Government-declared state of emergency for Hela, Southern Highlands, Western and Enga provinces. Some 465,000 people are estimated to be affected with 247,000 requiring immediate assistance.

The affected areas have significant access challenges. Majority of humanitarian items must be flown in as roads are not always reliable. In terms of communications, there are limited radio towers and existing FM radio has limited range due to mountains.

With affected communities desperately needing information on aid and assistance, humanitarian actors quickly mobilised to establish a coordinated approach to communicating with communities to more rapidly respond and reach a greater number of affected people with the limited collective resources available. With this, a Communicating with Communities Working Group coordinated by the United Nations Resident Coordinators’ Office under the Protection Cluster was formed.

To reach communities with life-saving messages and alerts, an information line was established using audio streaming over mobile phones – essentially turning mobile phones into radios - with support from Digicel and UN Women. Community members can dial into the information line to hear short updates from humanitarian agencies - 50,000 text messages to be sent twice weekly to promote an information line and share key messages. An additional 10,000 automated calls will be made to the affected area, playing the short messages once the call is connected.

PNG LNG terminal expected to restart in May after earthquake shut down - executive

reuters.com | April 11, 2018

SINGAPORE, April 11 (Reuters) - Exxon Mobil expects to restart production from its PNG LNG project in Papua New Guinea at the beginning of May after it was shut following an earthquake in February, Exxon LNG Vice President Emma Cochrane said on Wednesday.
The liquefied natural gas (LNG) export terminal may not be able to produce at full capacity at first and will likely ramp up gradually, said Cochrane on the sidelines of the International Energy Forum.
The May target for a restart is ahead of schedule, she said. 

MAF orders up to seven Cessna Caravans for Papua New Guinea

by Kerry Lynch, ainonline.com
April 10, 

Textron Aviation received an order from the Mission Aviation Fellowship International (MAF) for five Cessna Caravans that will be used to transition the MAF fleet in Papua New Guinea.

Mission Aviation Fellowship Cessna Caravan at Kagamuga Airport in Mt Hagen on. This is one of three MAF planes actively involved in earthquake disaster relief work.

The order, which Textron Aviation said is the single largest aircraft investement made by MAF, includes an option for two more. The Caravans on firm order will be delivered this year and placed into service in Papua New Guinea by mid-2019.
 The aircraft will join three existing Caravans in the region as MAF transitions to an all-Caravan fleet there, Textron Aviation said.
“With an all-Caravan fleet powered by the dependable PT6 engine, significant gains in reliability and mission impact will be achieved,” said William Nicol, MAF International aviation director.
“The Caravan provides capability that ensures an effective, efficient, and sustainable operation—a critical consideration when operating with limited infrastructure in challenging conditions, where remote access often becomes a matter of life and death.”
MAF has served the isolated communities of Papua New Guinea since 1951, bringing in aid workers, long-term development specialists, mission workers, doctors and nurses, teachers, and water engineers.
The missions have delivered food, medical supplies, and relief, water, and education to those living in remote areas.
MAF has gradually expanded its Caravan operations over past decade, Textron Aviation said, noting the turboprop single has now been operated into 95 percent of more than 230 remote bush airstrips.

Disgraced David Chung leaves PNGFA

by Ola Bjerkevoll, footballoceania.com
April 10, 2018

After first leaving his posts as President of the Oceania Football Confederation and Senior Vice President of FIFA, David Chung has now also resigned from the President role at the Papua New Guinea Football Association.

David Chung is now gone from all positions he held less than a week ago. Photo credit: OFC

The PNGFA confirmed the news earlier today in a statement.
The resignation comes after a week where Chung first stepped down from the OFC and FIFA citing personal reasons, but has later come under a cloud of suspicion surrounding corruption in regards to the building process of the OFC’s Home of Football in Auckland.
 The OFC are preparing to investigate the matter and a committee well be put in place at the next congress in June.
Vice-President John Wesley Gonjuan thanks Chung in the statement released by the PNGFA for the work he has done for football in the country.
The statement continued with Gonjuan assuring that everything will go as normal at the PNGFA:“To ensure good governance and accountability at all levels, the Executive Committee of PNGFA will adhere to the status of Papua New Guinea Football Association and comply with the process in electing a new President of PNGFA.
“In the meantime, its business as usual at PNG Football Association, we will continue on with the planned activities for the year which includes, National Soccer League, National Youth tournaments during the school holidays, Besta FA Cup Regional & Finals, Women’s Regional Tournament, Referees & Coaching development programs, PNGFA Football Development Programs and Education Centre Program.”
The statement also touched upon the matter of the breakaway rebel football association, the Football Federation Papua New Guinea (FFPNG), started a little over a year ago, which have been in conflict with the PNGFA and Chung in particular since they broke off from the original FA.
“PNGFA hereby encourage our member associations who have strayed from PNG Football Association to come forward and communicate with the Secretariat to rectify their situations and comply with the PNG Football Association Statutes requirements,” the statement read.
David Chung has been under heavy criticism from the Papua New Guinea government for his lack of interest in trying to find a solution to the best for football in the country and was described as a stumbling block by PNG’s Vice Minister for Sports Wesley Raminai, who has tried to mediate between the two sides.
Raminai also said, “He has been deliberately delaying our efforts to address this issue.”

Perhaps now there can be a solution to the problems football in Papua New Guinea face.

FIFA corruption concerns prompt Oceania probe into David Chung


thedailystar.net | April 9, 2018

The Oceania Football Confederation (OFC) said Monday it will investigate "potential wrongdoings" after a FIFA audit into construction of its lavish new Auckland headquarters raised corruption concerns.
The move comes after the sudden resignation of OFC president David Chung two days before a meeting to discuss the FIFA findings.
Chung resigned on Friday citing "personal reasons", but FIFA subsequently revealed its audit had uncovered "potential irregularities" in the Auckland project.
FIFA said it had temporarily suspended OFC funding, part of a zero-tolerance approach to corruption introduced in response to numerous scandals that have tarnished its reputation in recent years.
The OFC said it agreed to meet all FIFA requirements to resume funding, conduct a forensic audit of the case and carry out its own investigation.
"The OFC Executive Committee has appointed an external lawyer to lead an internal investigation into potential wrongdoings and to take legal action if required," it said in a statement.
The FIFA audit raised concerns about construction of a sports hub in Auckland that Chung said would become "The Home of Football" in the Pacific region.
With a reported budget of NZ$15 million ($10.9 million), it was a pet project of Chung, the head of Papua New Guinea football who had led the OFC since 2010.
The New York Times reported that Chung and former OFC general secretary Tai Nicholas awarded contracts for the scheme without tender to companies with no track record in the area.
It claimed the audit showed many of the companies were set up just before the contracts were awarded and questioned their relationship with those driving the project.
The newspaper alleged the OFC's executive committee was planning to suspend Chung for "gross dereliction of duty or an act of improper conduct" at a meeting on Sunday before he fell on his sword.
Nicholas quietly resigned in December, also citing personal reasons.
The OFC has long had issues with governance and transparency.
Chung's predecessor Reynald Temarii of Tahiti was forced out in 2010 after being implicated in a vote-selling scandal during an undercover newspaper sting.
In November, former Guam FA president Richard Lai, who served on FIFA's auditing body, was barred from football for life after admitting to accepting almost $1 million on kickbacks.
OFC's current headquarters in Auckland, opened only eight years ago, is named after former president Charlie Dempsey, who created an uproar in 2000 during the vote to award the 2006 World Cup.
Dempsey had been instructed by Oceania to vote for South Africa but abstained from the final ballot, effectively handing the 2006 tournament to Germany.
He later said he withdrew after being placed under "intolerable pressure" but never fully explained his actions.
Reports in German media in 2015 alleged Dempsey had been paid $250,000 on the eve of the vote by a sports marketing firm linked to the German bid.

Australian minister launches Adventist project in Papua New Guinea

by Darren Yorio, adventistreview.org
April 9, 2018

ADRA initiative seeks to improve water supply, climate resilience, and adult literacy.

Australian Foreign Affairs Minister Julie Bishop launched an Adventist Development and Relief Agency (ADRA) Papua New Guinea (PNG) community empowerment project in the Kavieng District, New Ireland Province, on March 21, 2018.

Australian Foreign Affairs Minister Julie Bishop with Florence of Naliut, who shared her experience as beneficiary of ADRA PNG's literacy program. Photo: ADRA PNG

The ADRA-managed Inclusive Community Empowerment Project (ICEMP) will provide a clean water supply, greater resilience to climate change, and improved adult literacy for more than 12,000 people in the area.
The event was significant as it was the first time that a PNG Incentive Fund project is officially launched in the country by an Australian Federal Minister.
The Incentive Fund provides grants to high-performing organisations to improve service delivery and provide economic opportunities for the people of PNG.
 It is funded by the Australian Government.
The official launch included the signing of the project agreement by Australian High Commissioner to PNG Bruce Davis, and ADRA PNG Board chairman and Papua New Guinea Union Mission president Kepsie Elodo.
Bishop was welcomed with a traditional New Ireland “Sing-sing” dance and met with recipients of the project. She acknowledged the work of ADRA — the humanitarian arm of the Seventh-day Adventist Church — in PNG and expressed her passion for seeing more women and girls empowered in communities in Kavieng District, with improved opportunities for learning and sustainable livelihoods.
ICEMP is a 30-month project that was developed closely with representatives of the local community, who identified key issues affecting the livelihoods of their villages, particularly for women and girls, including water and sanitation, literacy, and climate change.
Communities also proposed the integration of leadership and governance programs to promote more women into leadership roles with the goal of improving household income levels.
ADRA PNG acknowledged the support of the Australian Government, which provided a 3.7 million PNG kinas grant to the project (about 1.14 million US dollars).
ADRA PNG is also grateful for the support of ADRA Australia in providing match funding and program effectiveness support.

ADRA PNG is part of ADRA International, which delivers relief and development assistance to individuals through an international network with presence in more than 130 countries, regardless of their ethnicity, political affiliation, or religious association. By partnering with communities, organisations, and governments, ADRA is able to improve the quality of life of millions through disaster response, community health, livelihood and agriculture, social justice, and other impact areas.

As the oldest publishing platform of the Seventh-day Adventist Church, the Adventist Review (est. 1849) provides inspiration and information to the global church through a variety of media, including print, websites, apps, and audio and video platforms.Content appearing on any of the Adventist Review platforms has been selected because it is deemed useful to the purposes and mission of the journal to inform, educate, and inspire the denomination it serves.Unless identified as created by “Adventist Review” or a designated member of the Adventist Review staff, content is assumed to express the viewpoints of the author or creator of the content.

High risk of disease outbreaks in earthquake-hit Papua New Guinea - UNICEF and WHO

UNICEF

PORT MORESBY, 9 April 2018 – UNICEF and the World Health Organisation (WHO) have cautioned about the high potential of waterborne and vaccine-preventable disease outbreaks in earthquake-affected areas of Papua New Guinea.

Rihanna Sam (4 years old) is from Mendi and is suffereing an infection in her femur after her leg was broken during the earthquake.© UNICEF/UN0184899/Mepham

Major concerns include watery diarrhoea due to water contamination from landslides, poor sanitation and personal hygiene management; and the vaccine-preventable diseases due to already low immunisation coverage in the Highlands region.
According to the National Department of Health (NDOH), about 70-80 per cent of children in the severely-affected provinces are not protected against preventable diseases – with routine measles coverage in Southern Highlands and Hela provinces in 2016 just 18.2 per cent and 27.6 per cent, respectively.
”At this stage of the emergency response, it is critical to restore the delivery of basic health services to the affected communities, such as the immunisation of children, said Dr Luo Dapeng, WHO Representative in PNG.
“We will continue to work closely with the NDOH, provincial health authorities and partners to respond to these risks and to prevent a secondary emergency arising from disease outbreaks”.
Karen Allen, UNICEF Representative for PNG, said that the current situation of children and families is a perfect situation for the emergence of disease outbreaks.
“We are really worried because a majority of children in the affected areas already have low immunity,” said Allen.
 “Now, as they are living in the crowded shelters with poor-hygiene conditions, inadequate clean water and little knowledge to protect themselves, children are becoming much more vulnerable to diseases, including vaccine-preventable and water-borne diseases.”
The February 26 earthquake of 7.5 magnitude and its hundreds of aftershocks have caused severe damage to nearly 65 per cent of health facilities in Hela and Southern Highland provinces.
About 13 per cent of health facilities remain closed.
However, most of the health facilities that re-opened can only attend to emergency services.
The Government estimates that 270,000 people are in need of urgent assistance. About 125,000 of them are children, of which 55,000 are children under five years old.
UNICEF and WHO are supporting the Government to conduct a measles and rubella immunisation campaign for children under five years old in the earthquake-hit areas in order to curb the risk of potential outbreaks.
 In addition, basic medical supplies and essential medicines for maternal and newborn health will be provided to ensure pregnant women and newborns have medical support for pregnancy related care. Just a few days after the earthquakes, UNICEF has distributed vaccines to the affected communities to protect some 31,700 children against measles and rubella, pertussis, pneumonia and tuberculosis.
In the Southern Highlands, the Provincial Health Authority (PHA) with support from WHO sent nine mobile teams by helicopter to vaccinate children in remote settlements referred to as care centers.
WHO has also supported the two provinces of Hela and Southern Highlands in establishing the Health Emergency Operation Center and the installation of surveillance systems to detect unusual disease reports.
 Local health authorities and community members have been trained to rapidly respond to disease outbreaks.
UNICEF and WHO are also stepping up the effort to improve water and sanitation system and hygiene practice in the affected areas. Hygiene kits and water purification tablets have been distributed to affected communities, while emergency pit latrines and rain water collection tanks are being built.
 At temporary shelters and child-friendly spaces, children also learn to protect themselves through hygiene-promotion activities.

OFC appoints lawyer to probe 'potential wrongdoing' by David Chung

fresnobee.com | April 9, 2018

Amid fresh claims of financial misconduct linked to senior FIFA officials, the Oceania Football Confederation has appointed an external lawyer to lead an investigation into "potential wrongdoing."
The OFC announced the move Monday in fallout from a FIFA audit of the tendering process around a $20 million construction project at its headquarters in Auckland which caused David Chung to unexpectedly resign as president.
He also lost his position as FIFA's senior vice president.
The Malaysia-born Chung quit on Friday citing personal reasons, though after FIFA cut funding to Oceania, saying it found "potential irregularities" in the construction process.
Chung led the OFC for seven years and his resignation came only two days before the annual meeting of the 14-nation confederation's congress in Auckland.
In resigning, Chung gave up his positions as the most senior of FIFA's eight vice presidents and a member of its ruling council.
The OFC Congress decided at its weekend meeting not to appoint a new president, even on an interim basis, until it next meets in June, likely in Moscow ahead of the World Cup.
It said the confederation will be led by the executive committee until an election is held in June.
 The new president will serve until Chung's tenure would have ended in 2019.
The OFC said the lawyer it had appointed would lead an external investigation into potential wrongdoing and would take legal action if required.
"A forensic audit has been ordered to review, in detail, the processes taken in relation to the OFC Home of Football and the financial processes adopted by the OFC administration in past years," the confederation said in a statement.
 "The OFC Executive Council has pledged to cooperate with all relevant authorities throughout this process.
"OFC will set up a reform committee to review the current OFC constitution, policy and practice activity."
That committee will be confirmed in June. The statement said the OFC will make no further comment while various investigations are ongoing.
The OFC Home of Football was a project closely associated with Chung, a businessman now living in Papua New Guinea and head of the PNG soccer association since 2004.
 The confederation announced the project had a budget of $20 million, thought to be substantial for a project of its nature.
According to the New York Times, the FIFA audit found Chung and OFC secretary general Tai Nicholas, who resigned in December citing personal reasons, had hired, without issuing a tender, a company to construct the headquarters which had no experience of the work required.
The project would have included an office building, two soccer fields and other facilities.
Investigators are reported to have found close relationships between the companies advising the OFC on the project and those chosen to complete it.
The Times said all companies were set up shortly before being awarded contracts "with no track record of experience and sub-contracted their works to other companies."
It found a company set up by Chung might have had links to the one hired to work on the project.
Oceania is the sixth and smallest of FIFA's confederations and is composed of 14 nations — of which 11 are FIFA member federations — spread across the Pacific, including New Zealand.
Chung succeeded Reynald Temarii, who was forced out of the OFC presidency in 2010 after being caught in a British newspaper's undercover sting into World Cup bid vote-buying.
With important FIFA business pending for the 2026 World Cup host contest, Oceania could appoint an interim member to the FIFA Council to replace Chung at a key June 10 meeting in Moscow.
 That meeting is set to decide if both candidates — Morocco and the joint United States-Canada-Mexico bid — will go ahead to a June 13 vote of the full FIFA membership.

___

This story has been corrected to show that the OFC secretary general is Tai Nicholas, not Tai Nichols.