The road to nowhere

Twas total chaos on the Erima to 9-Mile Road yesterday as traffic came to a complte standstill and it was much faster walking than driving. 

The public relations of the contractir, Dekenai Construction,is so poor that the thousands of people who use this road don't know what the hell is going on. 

I remember, back in Lae in the late 1990s and early 2000s, when Australian company Barclay Bros was carrying out roadworks, they had a very popular and successful radio programme where one of their managers would talk rugby league and then give a roads update.

 Unfortunately, Dekenai doesn't fall into that class, and we continue to suffer every day. and I know this only too well as an 8-Mile resident.

Gordon Market Pig Sty

For a city that hosts the Melanesian Festivalf of Arts and Culture at the end of this month, Pacific Games in a little over 12 months from now, and APEC in 2018, , Port Moresby continues to have pig stys in its midst, filthy and stinking buses and taxis, and litter, litter everywhere.
 This is Port Moresby, home of the LNG processing plant, and said to be the richest and fastest-growing city in the Pacific...in a country that has gone backwards big time since 1975.

Why ExxonMobil's US$19 billion LNG project is a big deal

By Bob Ciura
June 10, 2014 

The Motley Fool

 

The role of liquefied natural gas, or LNG, is increasing among the integrated oil and gas super-majors. Giants like ExxonMobil (NYSE: XOM  ) and Chevron (NYSE: CVX  ) are spending huge amounts of money to build massive LNG plants around the world.
For these two behemoths, the tantalizing potential of emerging market energy demand has prompted each one to build LNG facilities in the Asia-Pacific region. Chevron management stated in its last presentation that LNG demand will nearly double by 2025.
For ExxonMobil, its Papua New Guinea LNG plant is an exciting catalyst because of its enormous production potential. And, this potential is getting very close to materializing since the company just took the first LNG shipment.
This marks the beginning of a long and highly profitable journey for ExxonMobil, one that will leave it and its shareholders measurably better off.
LNG from PNG
ExxonMobil has a large number of high-profile projects lined up this year, so it might be easy to overlook an individual project in such a far place as Papua New Guinea. But you'd be wise to pay close attention to this particular LNG project because its production potential is truly amazing.

Source: pnglng.com

Over the $19 billion project's expected 30-year lifespan, ExxonMobil expects to produce 9 trillion cubic feet of gas. Each year, project capacity is pegged at 6.9 million tonnes. The first shipment just occurred, headed to Tokyo Electric Power in Japan, ahead of schedule. Other major customers for the project's output include China Petroleum and Chemical and Osaka Gas. Production toward a second shipment is ongoing now that additional wells are coming online.
The project is an integrated one, with gas production and processing facilities stretched across several provinces of Papua New Guinea. These facilities, which include a gas conditioning plant and liquefaction facility, are connected by roughly 435 miles of pipelines.
In a statement, Neil W. Duffin, president of ExxonMobil Development Company, stated:

The PNG LNG project exemplifies ExxonMobil's leadership in project execution, advanced technologies[,] and marketing capabilities. Our demonstrated expertise will enable us to progress other LNG opportunities in our portfolio, including expansion opportunities in Papua New Guinea and to meet growing global demand.

This project mimics Chevron's own huge LNG projects, which are situated in Australia. The end result for both companies is to serve the large (and growing) demand for energy in the emerging markets, Asia more specifically.
Chevron is nearing completion of two separate projects in Australia called Wheatstone and Gorgon. Wheatstone is a $29 billion project which includes two LNG trains with a combined capacity of 8.9 million tonnes per annum and a domestic gas plant. First shipments are expected in 2016. Meanwhile, the Gorgon development is one of the world's largest LNG projects. Gorgon is about 80% complete, and management expects first shipments next year.
Why LNG matters
Liquefied natural gas holds great promise. As a liquid, it's much easier and more cost effective to store and ship. In fact, LNG occupies up to 600 times less space, according to an industry report from Royal Dutch Shell.
And, since energy demand across the globe is set to rise in the near future, LNG represents a huge opportunity.
It should come as no surprise, then, that integrated super-majors ExxonMobil and Chevron are getting ready to begin production on their own LNG projects. Both companies have situated massive LNG production facilities near Asia to easily accommodate the rising demand from Japan, China, and other nations.
ExxonMobil's $19 billion LNG facility in Papua New Guinea just shipped its first cargo, an exciting start to a long and highly productive venture. LNG will surely assist in getting production going in the right direction again for both companies, which couldn't come at a better time.

Phillipines, Papua New Guinea face EU import ban

by AFP

RUSSELS: The European Union (EU) on Tuesday warned the Philippines, one of the world’s largest fishing nations, and Papua New Guinea (PNG) that they face an import ban if they do not curb illegal fishing.
The European Commission said it had failed to make progress in talks with both countries and decided to issue a formal warning—a “yellow card” —that they must reach EU standards on illegal, unreported and unregulated fishing.
If the Philippines, listed as the 12th biggest global fishing nation, and PNG fail to come up to scratch “through dialogue and cooperation . . . then the EU can proceed to trade measures,” the commission said.
The position will be reviewed within six months to see if the two countries have made enough progress on action plans drawn up by the EU, it added.
In March, the EU banned fish imports from Belize, Cambodia and Guinea for “acting insufficiently against illegal fishing.”
The commission similarly warned Panama, Fiji, Togo, Sri Lanka and Vanuatu in 2012 and South Korea, Ghana and Curacao in 2013 but on Tuesday said most of these countries had “cooperated constructively” with Brussels.
Illegal fishing is estimated to account for 15 percent of the world catch annually, with the EU importing about 65 percent of its seafood.
Fisheries in the Philippines and PNG are under huge pressure from growing populations and environmental damage.
The EU imported fish worth 165 million euros from the Philippines in 2013 and 108 million euros from Papua New Guinea.

Simon says, 'let's help our PNG children'

Our good brother Simon P Merton, who is in Australia recovering from a heart condition, is not one to sit back.
 He is filling a container with school supplies for the disadvantaged children of his adopted home in Popondetta, Northern province. 
His efforts caught the attention of the local newspaper, Caboolture News, which featured his efforts in last Wednesday's edition. 

SIMON SAYS, as a footnote, that he is "not a former PNG resident" as the paper says but a full PNG citizen.

Trainee pilots role models for PNG

ALASTAIR PAULIN

- © Fairfax NZ News

TAKING TO THE SKIES: Left to right, Siolima Walo, 26, Marie Auka, 19, Gail Rivu, 21, Selina Kule, 22.Picture by OLIVER WEBER

Nelson Aviation College is part of an ambitious experiment to lift the status of women in Papua New Guinea.
Four women from PNG have started a 68-week course at the Motueka pilot training school, on full scholarships funded by the governor of Central Province, Kila Haoda.
The innovative move is part of a plan by the Central Province government to raise the education level and perception of women in the country. The women's progress towards gaining a pilot's licence is being publicised in PNG so that they can act as role models in a country where only around 5 per cent of women are in waged work, according to Unesco.
"It is important in PNG and especially in the Central Province that I promote gender equality, in an industry that is dominated with males," said the governor.
The college's chief flying instructor, Jeremy Anderson, flew to PNG in early March to help select the women. He said the novel scheme attracted 100 applications and he met 10 shortlisted women.
He said they were all well educated, all at university with interests in hard sciences, and he was primarily looking for qualities of teamwork, honesty, leadership and the ability to learn.
The four women are living on campus in Motueka and in May, will be joined by the fifth scholarship recipient, who is currently in pilot training in Fiji.
Anderson said Central Province chose to work with NAC because it had a good reputation and already had links with Air Niugini, PNG's national carrier.
He said the women could be good candidates for jobs with the airline or one of the other airlines in PNG.
He said the school hoped the programme would be the start of an ongoing relationship with Central Province, and there had been talk of another five women coming once the first group had completed their training. The school now has five private students from PNG enrolled as well.
"We're very keen to support them because the aim of equality is very important.
"It's a big deal for them, it's a big deal for the people of Central Province, and we look forward to getting them trained and returned to PNG so they can inspire others," said Anderson.
Trainee pilot Marie Auka said: "We are proud to be selected as pioneer female cadets under the Central Female Pilot Scholarship Programme. This is not only a milestone but an honour and a privilege for us. We are still adjusting to the cold weather, however we are enjoying the hospitality and the friendly nature of people all around us. We hope to learn a lot about the culture and the people of New Zealand as well as learning how to fly."

Nautilus Minerals and PNG resolve issues, sign accord

3

 

By: Henry Lazenby

Mining Weekly

 

TORONTO (miningweekly.com) – Deep-sea mining hopeful Nautilus Minerals and the Independent State of Papua New Guinea (PNG) last week settled their financing differences and signed an agreement that would enable the Solwara 1 project to move forward toward production with the full support of the State.
Under the agreement, the State would take an initial 15% interest in the project, with an option to take a further 15% interest within 12 months of the agreement becoming unconditional. The State had paid Nautilus a non-refundable deposit for its initial 15% interest of $7-million.
The company’s TSX-listed shares have more-than-doubled in the past five days, and on Friday continued with its ascent, gaining up to C$0.13 a share in early trading, and closed up 20% at C$0.48 apiece.
Toronto-based Nautilus on Thursday said that the agreement was conditional upon the State, through a subsidiary of Petromin PNG Holdings, securing by July 31, the $113-million in funding for the State's 15% share of the capital required to complete the development phase of the project up to first production.
These funds would be placed in escrow until Nautilus had satisfied certain conditions for their release.
Among the requirements were that Nautilus would need to secure chartering of a production support vessel and secure certain intellectual property rights for the State.
The agreement envisions the parties creating an unincorporated joint venture to operate the project. After first production, Petromin's subsidiary would contribute funds in proportion to its interest.
Nautilus said that if the conditions of the agreement were satisfied and the State completed buying its 15% interest in the project, the ongoing arbitration concerning Nautilus' claim for damages related to the termination of the State equity option agreement dated 29 March, 2011, shall be dismissed.
However, if the State did not complete the transaction, then the position the parties were in prior to signing the agreement would be reinstated.
Nautilus CEO Mike Johnston said that the company was pleased to have achieved an amicable resolution of its issues with the State.
"This step represents a major vote of confidence in Nautilus Minerals and the Solwara 1 project. Through this joint venture, the State will provide a significant capital investment and will retain a direct interest in the long-term success of the project. We look forward to working closely with the State and Petromin on Solwara 1, which will generate significant economic activity within the State and the province of New Ireland," he said.
Johnston added that Nautilus was now focusing its attention on securing a suitable vessel arrangement and would continue with its discussions with potential vessel partners, while also undertaking a tender process with shipyards experienced in building offshore construction vessels. The company intends to have a vessel solution in place before the end of the year, he said.
Johnston continued to enjoy the support of the board, with his interim role as president and CEO having now been made permanent.
News agency Reuters on Monday reported that construction of Nautilus’ deep-sea mining robot was complete.
The Solwara 1 project sits about 1 500 m underwater, and is a seafloor massive sulphide deposit, which forms along hydrothermal vents where mineral-rich fluids spurt from cracks in the ocean crust.
Equipped with cameras and three dimensional sonar sensors, the robot is driven by two pilots from a control room on the vessel above, attached via a giant power cable.