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
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.
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’