Image is of the KA booth at the APNGBC Forum
Kumul Petroleum Holdings Limited (KPHL) is maximising the value of Papua New Guinea’s oil and gas.
Frank Kramer, Chief Executive Officer of Kramer Ausenco, in his capacity as KPHL Chairman, said this during his presentation at the 32nd Australia Papua New Guinea Business Forum and Trade Expo in Cairns on 17th May.
Kumul Petroleum as PNG’s national oil and gas company (NOC) is mandated to protect and maximise the value of the country’s petroleum assets and resources. It is currently responsible for managing the State’s 16.57% equity in the $19b PNG LNG Project; becoming the third largest partner and maximising its equity value in this single largest investment made by the nation to date.
The legislative mandate positions KPHL like other regional NOCs, maximising its petroleum resources in the country. By legislation KPHL will always have an option for 20.5% stake in every hydrocarbon development.
Mr. Kramer said Kumul Petroleum has a strategic plan it is working towards, and clearly identified stakeholders which include the people of PNG, the State, the Kumul Trust Structure, PALO, LLG and PGs, the PNG community, PNG business and business partners.
“We understand our responsibilities towards these stakeholders, and we will create value and opportunity for PNG and its people by becoming a major NOC,” he said.
Electricity generation was among other opportunities Mr. Kramer spoke about. Kumul Petroleum and PNG Power Limited have a Memorandum of Understanding (MOU) to develop interim and long term energy supply solutions for the growing demand for electricity in Port Moresby, and the rest of the country.
The MOU highlights mutual agreement to jointly develop reliable and cost effective electricity solutions for the nation.
“A step toward achieving this, is to deliver the Kumul Petroleum operated Port Moresby Gas Supply Project that is progressing steadily.”
“This project, once completed, will see KPHL purchase gas from the PNG LNG Project, condition it near the LNG plant site, and supply to PNG Power for its power generation needs.”
“Kumul Petroleum will work in conjunction with PNG Power to generate up to 100MW of power to be fed into the Port Moresby grid in the near term with future expansion options,” Mr. Kramer said.
KPHL is created by an Act of Parliament through the Kumul Petroleum Holdings Limited Authorisation Act 2015 which replaced National Petroleum Company of Papua New Guinea Holdings Limited.