PNG LNG project venture signs design contract

Rick Wilkinson
OGJ Correspondent

MELBOURNE, Aug. 31 -- The 50-50 engineering joint venture of Clough Australia, Perth, and BAM International, the Netherlands, has been awarded a letter of intent to proceed with the design and construction of the LNG and condensate offloading jetty proposed for ExxonMobil group’s PNG LNG project in Papua New Guinea.

The subcontract has been awarded by the Chiyoda JGC joint venture and is valued at $287 million (Aus.). The award comes after a 9-month tender process.

Clough-BAM will construct the jetty adjacent to the planned LNG manufacturing plant, which is to be about 20 km northwest of the nation’s capital Port Moresby. There will be a 500-strong workforce employed for the jetty construction which is described as a 2.4 km-long trestle and substation design plus a loading platform and a single berth.

Engineering, procurement, and planning for the project has already begun under a separate $10 million advanced work order made in early August.

It is Clough’s third contract for the ExxonMobil-operated $15 billion, two-train 6.6 million tonne/year PNG LNG project with is expected on stream in 2014.

The Clough-Bam JV was originally established in 1965 and has participated in a number of projects around the world in the last 45 years.