KPHL strikes deal for an energy hub

KUMUL Petroleum Holding Limited (KPHL)has executed an agreement with a global oil and gas engineering and construction services provider to provide a conceptual development and feasibility analysis for an energy hub in Kikori, Gulf.
To be known as the Kikori Energy Hub, it is an extension of the Western pipeline project scope currently undertaken by KPHL.
The oil and gas services provider is KBR (formerly Kellogg Brown and Root).
KPHL managing director Wapu Sonk, pictured, said: “Now that we have completed the Pre-FEED (front end engineering design) of the Western Pipeline project, we are focusing on the downstream commercialisation options available to produce an economically sound project, and how best we can create in-country value to the people of Papua New Guinea while maximising our return on investment”.
“The extension of the Western Pipeline project scope to now include a stand-alone downstream LNG process development, combined referred to as the Kumul LNG project, is a natural progression.
“While an economic impact assessment will be undertaken to assess the in-country value to PNG, it is estimated up to 30,000 local employment opportunities will be created during the construction phase, if the project is proved feasible.”
Project director for the Kumul LNG project, Jason Pollock said: “The scope of the concept feasibility study currently being undertaken to evaluate the potential KEH economics will include a mid-scale LNG liquefaction and regional export facility to encourage future PNG electrification via gas-driven generation in remote areas, a 180MW power generation facility of which up to 100MW has been allocated for Western and Southern Highland electrification via future grid connection, a methanol processing facility to enable local petrochemical bi-product production, and a condensate stabilisation, storage and regional export facility.”