Clough Curtain JV Tapped for Phase 1 of PNG LNG Project

Austral-Asia O&G Developments
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PNG LNG Project
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Engineering and construction company Clough Limited announced that the Clough Curtain JV has been awarded a contract by Esso Highlands Ltd (a subsidiary of Exxon Mobil Corporation) for the early works associated with the PNG LNG project. Planning work will start immediately with work orders to be executed by the JV as budget and scope are agreed. The overall project is subject to a final investment decision.

For this upstream project, multiple work fronts will operate from the river port at Kopi to Hides in the Southern Highlands with an anticipated workforce of up to 900. The scope includes the construction of roads, bridges, wharf laydown and camp areas and other critical infrastructure.

Clough Curtain JV is a 65/35 Joint Venture between Clough Niugini, a wholly owned subsidiary of Clough Ltd, and Curtain Bros Papua New Guinea Limited. Both companies have extensive experience in delivering infrastructure projects in PNG.

John Smith, CEO of Clough Limited said he was extremely pleased to have been selected by Esso Highlands and their JV partners to execute this work together with JV Partner, Curtain Bros.

"Clough has a successful history of working in PNG over the past 25 years. We regard the LNG project as being at the core of our growth strategy, and are delighted to be awarded the first phase of this development," he said.

The Esso-operated PNG LNG joint venture proposes to build a two-train 6.3 million tones per annum liquefaction plant near Port Moresby with gas sourced from various fields in the PNG Highlands.

The PNG LNG project ownership currently consists of ExxonMobil (Esso Highlands as Operator) at 41.5%, Oil Search 34%, Santos 17.7%, Nippon Oil 5.4%, Minerals Resource Development Company 1.2% and Eda Oil Limited 0.2%. (Participation will change when the PNG State nominees join as equity participants at a later date.)

PNG LNG Project

In development to commercialize the untapped petroleum resources in the Hides, Angore and Juha fields of Papua New Guinea, the PNG LNG project will also utilize associated gas resources in the currently operating oil fields of Kutubu, Agogo, Gobe and Moran in the Southern Highlands and Western provinces of PNG.

The PNG LNG Project entered Front End Engineering and Design (FEED) in May 2008.

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