Japan’s JGC with Hyundai Engineering & Construction (E&C) has won front-end engineering and design (FEED) work on the proposed downstream facilities at Papua LNG.
ExxonMobil awarded the contract on behalf of the joint venture partners, JGC reported.
The new Papua LNG facilities will have capacity of around 4 million tonnes per year. They will be constructed next to the existing PNG LNG facilities, 20 km northwest of Port Moresby. Gas for Papua LNG will come from the Elk Antelope field.
Papua LNG will also account for another 2mn tpy of liquefaction, via existing trains at PNG LNG.
JGC noted that the facility would use an e-drive system. This involves the use of electric motors in the natural gas compressors, rather than conventional gas turbines, which will reduce CO2 emissions during operation.
TotalEnergies announced a move into FEED earlier this month. The Papua LNG project will include four new liquefaction trains, the French company said. It will also include some aspect of CO2 injection.
Total said the final investment decision (FID) should come late this year or early in 2024, with production starting in 2027-28.
JGC went on to say it was working on three projects – in Canada and offshore Mozambique and Malaysia – and was looking to expand.
The Japanese company won the engineering, procurement and construction (EPC) award for a Petronas floating LNG (FLNG) facility in January. It will work with Samsung Heavy Industries (SHI) on the project.
JGC and Chiyoda won the original contract for the construction of PNG LNG in 2009.