Deadly PNG landslide halts LNG work

26/01/2012

Global energy giant Exxon and its two partners in the $15.7 billion liquefied natural gas project in Papua New Guinea Oil Search and Santos have announced that work on the mega project has been halted following the landslides that have taken a heavy toll in the country. <!--more-->

According to a company news release, with a main road blocked, Exxon shut down work in the Hides and Komo area.

LNG projects around the country are one of the most crucial economic drivers in the country and are expected to boost gross domestic product by a whopping 20 percent after helping produce 6.6 million tonnes a year when it gets going. The Exxon-led project is just one of more than $210 billion investment in LNG ventures in the country planned to meet the growing demand for energy in Asia, particularly China and India.

The energy companies have said that so far the Southern Highlands disaster that has seen at least 40 people go missing has not affected any of its workers or caused any excessive damage to infrastructure and equipment.