By Meriba Tulo – EMTV News, Port Moresby
By next year, an additional 45 megawatts of power is expected to be provided to the Port Moresby power grid – through a partnership between Kumul Petroleum Holdings Limited, KPHL, and Mineral Resource Development Company, MRDC.
Both entities this week signed an MOU to partner in the construction of a power plant, which will use gas from the PNG LNG Project, to generate electricity for Port Moresby.
This is the second such power generation venture for KPHL – late last year it also entered into a partnership with Oil Search through the joint venture company “NiuPower” to also provide gas for electricity into the Moresby Grid as well.
This latest venture estimated to be worth over US$70, or close to K200 million.
According to Mr Sonk, this partnership is a demonstration of KPHL’s commitment to the country as the National Oil & Gas company.
The MRDC is an equal partner in this project – and its Managing Director, Augustine Mano, says this is also one way of adding value to returns for Oil & Gas Landowners for the long term – part of diversifying income for resource landowners.
Whilst this project may not come online prior to APEC, both KPHL & MRDC are confident of the long-term benefits – both for power consumers in NCD, as well as shareholders of both entities.