By FRANK ASAELI
LIQUID Niugini Gas has selected Bechtel, the largest engineering company in the US, to undertake the front-end engineering and design (FEED) for Papua New Guinea’s liquefied natural gas (LNG) project.
Bechtel will also undertake engineering procurement and contracting (EPC) work for the planned LNG facility.
Liquid Niugini aims to deliver LNG by 2012 and is working around the clock to fast-track the project with design, gas resource determination, approvals, and financing stand-alone project and to remove complexity of a third-party involvement.
The company is expected to create value for PNG and the project investors by early monetisation of the InterOil Elk/Antelope gas discovery and secure Asia and US markets at a time of LNG shortage.
A pioneer the PNG’s LNG sector, the company seeks to pave the way for new exploration projects to enhance the country’s wealth and employment.
Liquid Niugini is now ready for FEED to start with a potential investment of about K1 billion.
Liquid Niugini has also chosen ConocoPhillips’ optimized cascade process technology (OCPT) for the plant design.
Chief executive Dr Jack Hamilton said Bechtel is a world-class LNG player with extensive experience in the country.
“The combination of Bechtel’s experience, combined with the proven technology of ConocoPhillips will give us a world-class LNG outcome.
“This is another important milestone for Liquid Niugini Gas and PNG’s entry to the world LNG stage,” Dr Hamilton said.
“Bechtel is pleased to support Liquid Niugini Gas with their LNG project in PNG.
“Our integrated pipeline and LNG delivery capability will add significant value to this fast-track project development,” Bechtel Oil, Gas & Chemicals global business unit president Jim Jackson said.
The selection of ConocoPhillips technology comes on the back of the successful application of the process technology in ten LNG projects world wide.
ConocoPhillips manager, LNG technology and licensing, Jim Rockwell said they are excited about the selection of “our proven, reliable technology and look forward to applying ConocoPhillips’ more than 40 years of experience with LNG to this project”