Oswal plans giant plant for Papua New Guinea

Sydney, Australia-Oil Search Ltd., with offices in Sydney and incorporated in Papua New Guinea (PNG), said July 7 that it has signed a memorandum of understanding with Oswal Projects for the supply of natural gas for a proposed world-scale ammonia/urea plant to be located in the planned Konebada Petroleum Park near Port Moresby, PNG. Subject to a feasibility study by Oswal, gas sales could begin in 2010. Oswal is affiliated with Oswal Group of India and is the primary stakeholder in the recently commissioned Burrup nitrogen facility in Western Australia. “We are delighted to have signed this agreement with Oil Search, which is leading the efforts for in-country gas industry development in PNG,” said Mr. Pankaj Oswal, Burrup chairman and managing director. “Oswal Projects is keen to repeat the Burrup success story in PNG. The proposed plant at the Konebada Petroleum Park for 2,600 mt/d ammonia and 4,500 mt/d urea capacity would be the largest of its kind in the world. Oswal Projects will be working exclusively with Oil Search, and intends to embark on the bankable feasibility study immediately.”