New joint venture eyes LNG projects

THE Massco PNG Ltd (Masco) and CoDa PNG Ltd and Associates (CoDA) have formed a joint venture company to engage in structural and engineering designs, eyeing massive projects to roll out from the on-going liquefied natural gas (LNG) development in the country.
Massco and CoDA , a South Korean-owned entity, signed the partnership agreement yesterday, in which Masco will have 51% interest while CoDa, 49%
The deal was signed by Massco executive chairman Jerome Kairi and CoDA chief executive Joshua Chi, witnessed by managing director Caleb Insun Kim and representatives from both parties.
Hailing the signing, Kairi said: “It is a milestone achievement for a landowner company from Gobe petroleum development licence (PDL) 4 in Southern Highlands to join hands with a reputable company from sophisticated country like south Korea.”
“It signifies great improvement from the way we have come so far in reaching this agreement.
“Now, we want to tell Esso Higlands Ltd  that we have the necessary equipment, financial capacity and technical expertise that are readily available to take up bigger task at the top level.
“It’s now up to EHL to give us the scope of work for the contracts for EPC as we have met all the requirements,” Kairi  said.
He said the concept met the national content plan that stipulates landowner companies to participate in the LNG project.
When asked what areas the joint venture company was targeting at, he said the new company was  targeting projects at EPC2, EPC3, EPC5 A and EC2.
Kim said the agreement was a “marriage between CoDA and Massco” and had assured they would live through both in bad and good times”.
“We must work together, having in mind that in the future the JV company can be a major project developer like EHL if we work with passion and the philosophy to move forward.”
The partnership is backed by LABA Holdings from portion 152, Gobe Field Engineering, the umbrella company for Gobe PDL 4, and Kikori Oil Investment Ltd.
Each company owns 10% equity.