Category Archives: Energy

Trainees Undergo Two-Day Course In Petrophysical Interpretation


Eight Papua New Guineans were given a chance by Oil Search to undertake a two-day course on petrophysical interpretation in Port Moresby.
These trainees were from the Department of Petroleum and Energy (DPE) and Oil Search.
The course served as an introduction to petrophysics and its application in the oil and gas industry.
This is the second course following the Sequence Stratigraphy course, which was held in August.
Knowledge in petrophysics provides accurate measurements used to calculate the volume of hydrocarbons in a field.
In the oil and gas industry, an accurate estimate of the volume of hydrocarbons is critical in order to make key business decisions.
The training was conducted by Ray Spicer, a petrophysical adviser with Oil Search.
Mr Spicer has worked in many of the world’s petroleum provinces, with experience and exposure to both onshore and offshore drilling in Australia, Indonesia, PNG, New Zealand, China, Russia, Former Soviet Union, Middle East and North Africa.
He is an international expert with a career spanning more than thirty years in petrophysics.
“A lack of proper understanding of petrophysics can lead to poor decisions resulting in the loss of millions of dollars,” Mr Spicer told participants.
Boio Arua, acting senior geologist with DPE, and one of the five young female attendees, said the two-day course has taught her a lot.
“The key takeaway for me is the ‘quick look’, where you just look at the logs and you are able to quickly tell if it’s a reservoir or non-reservoir,” Arua said.
The underlying commercial rationale for the oil and gas industry is the finding, assessment, development, production, and delivery of hydrocarbons for sale at a profit.
Petrophysical interpretation helps geoscientists in many ways, but importantly it can help with reservoir identification and characterisation, seal and fluid identification, assessment of the amount of hydrocarbon in a reservoir and how easily the reservoir fluid will flow to the surface. It also provides valuable input for well-deepening decisions.

Source: Post-Courier.

Power Project Welcomes LO Participation

Source: Post-Courier



Landowners can be given the first right of refusal as equity shareholders in the proposed US$120 million (K375 million) Port Moresby power project.
This is according to Kumul Petroleum Holdings Limited (KPHL) managing director Wapu Sonk, who says participation by resource landowners in the project was welcome.
He says this can be achieved through equity participation by the Mineral Resources Development Company (MRDC) in NiuPower Limited.
NiuPower is the entity created by KPHL and Oil Search Limited to underwrite the US$120 million gas fired power station.
LNG project landowners were angered at not being part of the project and threatened to disrupt the US$19 billion investment demanding they own the power station.
Hela landowners said that they had been denied the opportunity to participate in the new project, which will use gas from the PNG LNG liquefaction plant near Port Moresby.
“NiuPower has always been keen to bring in additional equity partners.
“Of course any equity participation must be on commercial terms consistent with the terms agreed between NiuPower and PPL.
“Otherwise there will be substantial increases in the cost of power to PPL and its customers,” Mr Sonk said.
He said Kumul Petroleum and Oil Search had previously invited the State owned MRDC to take equity in NiuPower’s investments to ensure landowner participation in the development of the Port Moresby power station.
“This offer remains open and NiuPower is awaiting engagement from MRDC to discuss the commercial terms for equity participation.
“We, therefore, urge landowners to work constructively with MRDC to achieve their participation in this milestone power project,” he said. Mr Sonk added that following the establishment of the power station, generation requirements for the National Capital District will be covered for a number of years.
“With the creation of NiuPower and the development of the gas fired Port Moresby power station, Kumul Petroleum and Oil Search directly contribute to the government’s energy objectives of electrifying 70 per cent of PNG by 2030, today estimated at around 10 per cent.
“We recognise that electrifying PNG is a development game changer that will improve the lives of our people in line with Vision 2050,” Mr Sonk said.

Photo Courtesy: Loop PNG

Government to leave for India

Source: Loop PNG

The Minister for National Planning and Monitoring, Richard Maru, is set to lead an official PNG delegation fact finding mission to India from December 11-15, 2017.


The high profile Government delegation includes senior state ministers in the likes of the Minister for Education, Nick Kuman, Minister for Inter-Government Relations, Kevin Isifu, Minister for Information, Communication, Technology and Energy, Sam Basil, and Governor for West New Britain, Sasindran Muthuvel.


Other senior government officials traveling with the delegation include Electoral Commissioner Patilias Gamato and acting registrar general of the Civil and Identity Registry, Michael Kumung.


Reiterating that a key focus of the O’Neill-Abel Government is to grow the economy, Minister Maru said the delegation is going to seek business opportunities and technical assistance from India to support PNG’s development agenda.


Minister Maru added that the Government is also working to ensure that support exists for sectors such as energy, information and communication technology (ICT), health, education, law and justice and capacity development.


The training of Papua New Guinea’s human resources and development of research capabilities are also critical in this endeavour.

“India is one of the fastest growing economies in the world and one that has demonstrated success. The PNG delegation mission will look at how best we can replicate and harness some of the positive pathways that India has taken and can offer to PNG,” Minister Maru said.

Author: Press release

Basil planning big energy push

Communications, Information Technology, and Energy Minister Sam Basil plan to seek the National Executive Council’s approval to roll out Bulolo’s sustainable energy programmes throughout the country.
“I will also seek off-grid solutions that can be provided by investing in micro-hydro, solar, wind small-scale geothermal, biomass and smart technologies like in my electorate,” he said.
Basil was speaking during the opening the first Ramu grid round-table workshop for key stakeholders of the Ramu Power Grid on Friday.
Themed “Towards accessible, reliable and affordable electricity, as a key enabler for economic growth and prosperity”, the workshop was aimed at providing the participants the opportunity to describe their current consumption levels and future demand requirements and what they were willing to pay for electricity.
Basil said that the Government’s recent undertaking as outlined in the Alotau Accord 2 was to create an environment in Papua New Guinea where it would continue to develop and maintain key productivity infrastructure assets, including utilities such as electricity to create a public-private partnership in the energy sector to improve and upgrade provision of accessible, reliable and affordable electricity in PNG.
“The National Development Strategic Plan 2030 projects that by the year 2030, 70 percent of the population will have access to electricity in PNG,” he said.
“I consider this to be a major challenge, however, I believe that an initiative such as the National Electricity Roll Out Plan (NEROP) has the potential to contribute significantly to this projection if resourced and implemented.
“NEROP requires government funding, however, for this to happen, NEC must sanction this plan. I intend to take NEROP to Cabinet for consideration and approval.”
He said the Ramu grid was the largest of three systems in PNG covering seven provinces (Morobe, Madang, Eastern Highlands, Chimbu, Western Highlands, Jiwaka and Enga) with 1.1 million households within 20km of the current grid and would drive the economic heartland of PNG.