PNG LNG Project: Offshore Pipeline Complete

The PNG LNG Project’s offshore pipeline is now complete following the final tie-in to the onshore pipeline in December 2012.

The final tie-in – or connection – took place at the Omati landfall in the Omati River in Papua New Guinea, where the pipeline from the land (onshore) meets with the  offshore (undersea) pipeline.

The offshore pipeline is approximately 407 kilometres long and connects to the 292-kilometre-long onshore pipeline, which begins at Hides. Welding of the offshore pipeline began in October 2011; since then the progress has been rapid.

“This is another example of the progress being made across the PNG LNG Project, despite difficult conditions,” said PNG LNG Project Executive Decie Autin. “We are just over 75 percent complete across the entire Project and on target for first gas deliveries in 2014.”

Autin attributes the progress to the company’s most important resource: people.

”Our accomplishments have only been possible because of the extensive efforts of a strong team who have pulled together to make this Project possible,” she said.

Elsewhere in the Project, the 2.4km jetty at the LNG Plant Site is almost complete, and hydrotesting of the two LNG tanks is underway. The major activities coming up for 2013 include the completion of the Komo Airfield and onshore pipeline, continuing construction of the Hides Gas conditioning Plant, and ongoing drilling activities. The PNG LNG Project is an integrated development that includes gas production and processing facilities, onshore and offshore pipelines and liquefaction facilities. Participating interests are affiliates of Exxon Mobil Corporation (including Esso Highlands Limited as operator), Oil Search Limited, National Petroleum CompanyPapua New Guinea, Santos Limited, JX Nippon Oil and Gas Exploration, Mineral Resources Development Company and Petromin PNG Holdings Limited.

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February 18,2013