Japan’s Chiyoda Corporation has been awarded the design development and engineering contract of a new floating, storage, re-gasification and power generation facility by Papua New Guinea’s (PNG) Kumul Petroleum Holdings, it said on January 5. 

The facility will have the capacity to generate 75 MW of power to be exported to the local transmission grid. It will also load and store 140,000 m³ of LNG which can be offloaded to small-scale bulk cargo vessels and redistributed to smaller local power generation locations, and regasify and export gas via pipeline for local heavy industrial power generation, Chiyoda said.  

Chiyoda said that the project is an important step towards meeting the demand and supply requirement set out in the PNG 2030 Strategic Plan, which has set goals of connecting 70% of the PNG population to secure electricity by 2030.  

“It will also provide PNG’s growing heavy industries with much needed environmentally cleaner and sustainable fuel options for their additional power generation requirements they seek to increase productivity on,” the Japanese company said.