In October PNG will participate in the 22nd World Energy Congress (WEC) in Daegu, South Korea. The article mention KOGAS as being the lead in the consortium bidding on IOC's Gulf LNG project. That's common knowledge but this article also discusses PNGs goal of rural electrification and how it will use its own resources to achieve 70% electrification by 2030. It mentions that 16.4% of that will be from LNG. I would expect that that's not all LNG, but will be a combination of LNG and natural gas. PNG appears to be ready to take some of its gas allocation in-kind per comments made by IOC in a release and in their Dec presentation at the PNG mining and petroleum conference. I think some believe that the in-kind would only be taken out of anything above their standard 22.5%. However, that Dec presentation states that that the option exists no matter what. It also appears that there's a very good chance png will not take anything above its 22.5% standard ownership due to not having the financial resources to do so. But we should expect the in-kind option even from their 22.5%.
PAPUA New Guinea’s participation in the the 22nd World Energy Congress (WEC) in Daegu, South Korea will enhance the country’s energy sector.
Korean Ambassador to PNG, Lee Whiejin, said areas of interest to PNG could include efficiency in energy production, adoption of global technology, reliable accessibility and sustainable consumption. PNG can also benefit from a clean energy research and technology partnership with Korea, according to Mr Whiejin, considering the latter’s wealth of experience and expertise in clean energy technology. Korea’s Daewoo Engineering and Construction company is currently installing two trains for the multi-billion dollar PNG LNG Project. Another Korean firm, Korea Gas Corporation (Kogas), currently leads an East Asia consortium that is negotiating with InterOil over a potential partnership in the Gulf LNG Project. As the leading importer of LNG into Korea, Kogas offers expertise in areas of supply which can be beneficial to PNG.
PNG is currently experiencing unprecedented economic growth with energy consumption – both industrial and domestic – expected to rise and consequently create the need for access to reliable energy supply.
The PNG Government, as part of its PNG Development Strategic Plan (DSP) 2010-2030, aims to provide 70 per cent of its population with access to electricity by 2030. Under the 2013 National Budget, funding will target the rural electrification program which is overseen by the PNG Power Ltd (PPL).
Considering the remote locations of PNG’s rural communities as well as the geography of PNG’s landscape, pulling power lines and other infrastructural developments can be costly. Therefore, forging a partnership with Korea to maximize its renewable energy source supply efficiently, would benefit the country in the long-term.
The WEC would run from October 13-17 and be held at the EXCO (Exhibition and Convention Center) in Daegu. In terms of primary energy consumption, Korea was ranked 8th globally in 2010 with petroleum being the most used source at 39.7%, coal followed at 28.9%, LNG at 16.4% and nuclear energy at 12.2%.
