The first Land Access Agreements (LAA) to allow for feasibility studies to be undertaken on the Labu Special Economic Zone project site, has been signed between the developers and the first of the three Labu communities, who are customary landowners.
Kumul Petroleum Holdings Limited (KPHL) Board Chairman, Dr. Benedict Yaru and AG Energy General Manager, Chris Bais, signed the LAA with the leaders of Labu-Tale village, represented by the Wampar 6 Councilor and Lunda clan chief Aron Aima, Ehaloulu clan chief Ronald Salasie and Spatele Hapa chief of Kakala clan, witnessed by the Labu people and visitors from the neighboring communities.
A Pre-Feasibility Concept Plan was done by the developers, KPHL and AGE, and is the basis for the feasibility study to be carried on.
The proposed project components are a Liquefied Natural Gas (LNG) berthing facility and onshore refinery to be developed by KPHL, a sea port and hydro power project to be developed by AGE and an industrial park.
Dr. Yaru congratulated the Labu-Tale community for taking the lead in terms of preparation to embrace such economic impact project, which he said will contribute to the empowerment of the landowners, the Huon Gulf district, Morobe province and the national economy, with over 20, 000 jobs expected to be created from this project.
Mr. Bais also pledged the long term support from AG Energy, which also has an existing hydro power project in the neighboring Buang LLG area in Bulolo district, saying energy is in high demand and the people have the opportunity now through such an important project.
Mr. Aima and former Managing Director of National Fisheries Authority, John Kasu, speaking on behalf of the Labu-Tale people, say they are ready and willing to work with the two development partners, in getting the Labu SEZ project off the ground.
Morobe Governor Luther Wenge, Huon Gulf MP and Minister for Community Development, Jason Peter and Bulolo MP, Sam Basil Junior, on Thursday night at the Charity dinner hosted by KPHL at Lae International Hotel, praised the two developers for initiating the Labu SEZ, and pledged to work closely to see the project through.
The other villages of Labu-Miti and Labu-Butu will countersign their LAA with the two developers at a later date after completion of their awareness.