THE Government is moving to start work on the downstream processing of gas with the Konebada petroleum park (KPP) just outside of the city.
Energy and Petroleum Minister William Duma disclosed during a two-day petroleum and energy seminar last week in Port Moresby that a draft white paper outlining the country’s downstream petroleum policy will soon be presented to the Government for endorsement.
The proposed KPP and other similar parks proposed for Oriomo in Western province and Wewak in East Sepik were industrial centres essential to the success of the downstream processing policy.
“These parks will operate as special economic zones and will benefit from a tailored and regulatory regime,” Mr Duma said.
He said under the downstream policy, the Government was confident of eventually attracting investments in liquefied petroleum gas (LPG), methanol, DME, fertilisers and possibly, gas-to-liquids (GTL).
“Our plans to harness Papua New Guinea’s gas reserves to generate electricity will also pave the way for investments in refineries such as aluminum, nickel and copper,” Mr Duma said.
KPP project manager Kila Ai gave an update of the project stages 1 and 2 of the special economic zone.
The project last April was awarded land titles.
Mr Ai noted the proposed Konebada town centre was to be located at portion 578 at the junction of Papa/Lea Lea and Napa Napa roads.
He said work had begun on the construction of initial buildings, including a project site office, police station, health centre, staff housing and civil works for road access.
Mr Ai said other developments included the completion of an environmental impact assessment the report of which was received by the KPP authority working group.
The report highlighted most feasible areas for a green field development.
Assessment was also carried out on the water sources to locate future processing plants.