Puma En­ergy plans $US220 mil­lion re­fin­ery up­grade in Pa­pua New Guinea

Sin­ga­pore-based Puma En­ergy, which ac­quired the down­stream as­sets of In­teroil Cor­po­ra­tion in Pa­pua New Guinea for US$525.6 mil­lion in the mid­dle of 2014, is plan­ning a ma­jor US$220 mil­lion up­grade of its Napa Napa re­fin­ery out­side Port Moresby. T

Business Advantage Papua New Guinea - - Petroleum & Gas - Busi­ness

he com­pany plans to cre­ate a more mod­ern and flex­i­ble re­fin­ery at Napa Napa, ca­pa­ble of pro­cess­ing all PNG’S do­mes­tic crude oil and con­den­sate (cur­rently sourced from the Ku­tubu oil fields in PNG’S south­ern high­lands), as well as im­ported crude from other mar­kets.

Robert Jones, Puma’s Chief Op­er­at­ing Of­fi­cer, Asia Pa­cific and Mid­dle East said that the ad­di­tional pro­cessed con­den­sate would then be sold back into the lo­cal mar­ket, or ex­ported to mar­kets such as Australia, In­done­sia and the Pa­cific is­lands, ef­fec­tively mak­ing PNG an oil trad­ing hub for the re­gion.

In­creased ca­pac­ity

Sub­ject to ap­provals, the Napa Napa up­grade would in­volve a 68% in­crease in cur­rent pro­duc­tion ca­pac­ity (from 25,000 to 42,000 bar­rels a day), the in­stal­la­tion of an ad­di­tional 10 megawatts of elec­tric­ity pro­duc­tion, the build­ing of ad­di­tional stor­age fa­cil­i­ties for crude and re­fined oil, and the up­grad­ing of the site’s two jet­ties.

‘We’re pos­i­tive about the fu­ture prospects for Pa­pua New Guinea, with it’s ge­o­graph­i­cal po­si­tion be­tween both Asia and Australia, and the US and Asia,’ said Jones, who told Ad­van­tage PNG that cur­rent es­ti­mates put the cost of the up­grade at US$220 mil­lion over two years.

‘We’re pos­i­tive about the fu­ture prospects for Pa­pua New Guinea, with it’s ge­o­graph­i­cal po­si­tion be­tween both Asia and Australia, and the US and Asia’

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