Kumul Petroleum’s Fabrication Facility – first construction contract signed

By: PNG Business News July 06, 2023

The planned Fabrication Facility came one step closer today, when Kumul Petroleum Holdings signed a contract with China State Construction Engineering Corporation PNG Limited China to undertake Phase 1 of early works civil work.

The contract was signed by Wapu Sonk, managing director of Kumul Petroleum Holdings, and Wang Ounan, general manager of the construction contractor.

Mr. Sonk, said, “This contract, for a total of US$10 million, about K35 million, will result in construction of access roads, building foundations and necessary associated site work and services rights of way.”

“This is the first step in the establishment of the KPHL training and fabrication facility. Civil construction work under the contract will prepare the training facility pad, fabricating facility pad, construction lay down pad, ready for phase 2 activities.”

Mr Sonk outlined that the contractor would mobilise on the 15th of July, with planned completion in the mid-fourth quarter of the year. He noted that when complete the facility would fabricate large, high-value structural, mechanical and piping modules for land-based process and non-process facilities used in LNG liquefaction and regasification facilities, petrochemical and refinery plants.

He continued,”KPHL is establishing the Kumul Construction Industry Training College on this same site, since it will be necessary to train a cadre of Papua New Guineans with skills necessary to participate in industry construction activities between now and 2032.

Mr Sonk concluded,” Kumul Petroleum, as the national petroleum and energy company, is proactively establishing this Fabrication Facility to maximise national content in future petroleum, mining, renewable energy and general heavy industry projects, through local manufacturing of products that until now have all been imported from overseas.”

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