Mr Blanchard says the selection of Caution Bay and Purari River as the key infrastructure sites came down mostly to one factor: cost competitiveness.
“Both from technical and cost perspectives, it made sense to select a site on PRL-15 to host the upstream gas facility that is close to the river. This limits the logistics costs during construction and production phases.
“The location of the LNG plant on Caution Bay, near Port Moresby, allows us to explore synergies with other projects.”
Mr Blanchard says one of the foremost challenges in getting the project up and running is delivering a competitive project amid the current gas environment.
“When you are dealing with multibillion dollar developments like Papua LNG, you need to be sure that you have optimised the costs of your development as well as the financing of your project and the marketing of the gas.”
The second challenge Total faces is overcoming the hurdle of providing energy in a way that is efficient and acceptable to both community members and key stakeholders.