K412mil extension project


PNG Ports Corporation Ltd (PNG Ports) will spend US$120 million (about K412.97 million) on the extension of the berthing at the Lae main wharf in Morobe, according to State-owned company.
Managing director Fego Kiniafa said this would be from the Australian government’s funding support of US$435 million (about K1.49 billion).
Kiniafa said the Lae main wharf had only 200 metres of key-line (ship’s anchorage space).
“So, with the US$120 million extension of the berthing, we will cover another 200m and that can make more space to cater for larger ships berthing at any one time at the Lae main wharf,” he said.
Kiniafa made these comments during a business breakfast hosted by PNG Ports in Lae this week which was attended by representatives of 32 Lae-based companies.
“This is an opportunity for PNG Ports to make this investment at this time,” he said.
“Such investment should happen five to 10 years into the future but it is happening now because of the financial assistance given by the Australian government.”
With Lae having one of the country’s busiest wharfs and a major revenue generator, PNG Ports is investing significant funding to its development so that it can generate revenue to support other port facilities in the country. Kiniafa added that PNG Ports would also invest another US$20 million (about K68.82 million) at a location in Umi in Markham, along the Highlands Highway for its container hub.
He said this was to properly store containers headed for the Highlands and Mamose as well as for containers headed to other ports in the country or overseas. He said this would also cut down on traffic because container trucks and others that were involved in the business could call into Umi container hub to drop off or pick up containers there without having to come all the way to Lae.
He told The National that these developments come under phase two of the Lae Tidal Basin project.
Kiniafa said that apart from the Lae wharf, Kavieng, Oro Bay in Northern, Kimbe and Lorengau in Manus would also be benefiting from the K1.49 billion funding.
Lae port created 51 per cent of the PNGPCL business in terms of volume and almost 50 per cent in revenue.