EMPLOYING PAPUA NEW GUINEANS IS NON-NEGOTIABLE: PM

During the high-level delegation with TotalEnergies to discuss the progress of key LNG projects in Papua New Guinea, including the flagship Papua LNG project, a new exploration opportunity at Mailu in Central Province, Prime Minister James Marape stressed that employing Papua New Guineans is non-negotiable.

The delegation included Mr Mehme Celepoglu – Vice President Oceania and Southeast Asia, Mr Daniel Domine – Managing Directo of Marketing and Services PNG, and Mr Arnold Berthet – Managing Director of Exploration and Production for Papua LNG.

The meeting centred on project timelines, workforce development, and the significant economic benefits these initiatives are expected to deliver for the country.

During the discussions, TotalEnergies provided an overview of their operations and outlined their strategic roadmap for advancing LNG production in PNG.

Four key work streams were highlighted: securing competitive contractor offers, marketing LNG, finalising project financing, and obtaining regulatory approvals.

Substantial progress has already been made, including optimising project designs, encouraging competition among contractors, and securing supply agreements with LNG buyers.

The delegation detailed specific design optimisations that have helped reduce project costs.

These included reducing the diameter of gas pipelines to attract more competitive bids, replacing condensate pipelines with an FSO (Floating Storage and Offloading) pipeline system, and implementing horizontal drilling to minimise environmental impacts.

These measures have not only lowered costs but also ensured alignment with global sustainability standards.

PM Marape used the opportunity to underscore the importance of prioritising Papua New Guineans in the workforce.

He stated, “I do not want 10,000 overseas workers to fill these roles. I want 10,000 Papua New Guineans—from Kikori, Gulf Province, and other communities across the country—trained and ready to contribute.”

PM Marape delivered a strong message to TotalEnergies and its contractors, emphasising that employing Papua New Guineans is non-negotiable.

“We expect at least 5,000 Papua New Guineans to be employed in these projects. This is imperative, and we will work closely with all stakeholders to make it a reality,” he said.

The PM also reiterated his government’s commitment to creating a favourable investment environment.

He offered access to land at reduced costs to facilitate operations, storage facilities, and long-term strategic developments.

“Compared to Singapore or other regions, Papua New Guinea offers a more affordable and strategic location for investments.”

“We are open to discussions about relocating parts of your operations to key project sites,” he said.

Additionally, PM Marape addressed the need to reduce fuel costs and improve supply chain efficiency.

He encouraged TotalEnergies to explore partnerships with local companies to develop integrated supply chains that reduce reliance on costly imports.

The meeting underscored a shared vision for a sustainable and inclusive future for Papua New Guinea.

Both PM Marape and the TotalEnergies delegation expressed optimism about the transformative potential of these LNG projects.

The PM concluded, “Investing in Papua New Guinea is investing in a free market and a growing economy.”

“Together, we can create opportunities that will benefit not only Papua New Guineans but the entire Pacific region.”

The TotalEnergies delegation reaffirmed their commitment to working closely with the PNG government to ensure the success of these projects, further strengthening Papua New Guinea’s position as a key player in the global energy market.