Wison Offshore, KBR Cooperate on PNG FLNG Project

China’s Wison Offshore & Marine November 2 signed a memorandum with US firm KBR for cooperation on a 1.5mn my/yr floating LNG liquefaction unit in Southeast Asia.

Both parties will associate and collaborate with each other on a mutually exclusive basis for the Floating LNG project of Papua New Guinea’s Kumul Petroleum Holdings, Wison said.

In August 2017, KBR announced it was awarded a contract by Kumul Petroleum for the conceptual development and feasibility study services for an energy hub in the Kikori region of the Gulf Province of Papua New Guinea.

The energy hub, to be known as the Kikori Energy Hub, is an extension of the Western Pipeline Project scope currently being undertaken by Kumul Petroleum.

The scope of the conceptual feasibility study includes potential for a mid-scale liquefaction and regional export facility to encourage future PNG electrification via gas driven generation in remote areas, a 180MW power generation facility of which up to 100MW has been allocated for Western and Southern Highland electrification via future grid connection, a methanol process facility to enable local petrochemical bi-product production, and a condensate stabilisation, storage and regional export facility.

The feasibility study will also include location and technology screening studies for the LNG liquefaction facility that will identify the most economically feasible concept, inclusive of a floating LNG facility, a gravity based structured LNG facility or an onshore based LNG facility. The study is scheduled for completion later this year.

Shardul Sharma