admin's picture

$15 million project to benefit private gold mine

PORT MORESBY, Papua New Guinea (PNG Post-Courier, Aug. 7, 2008) - A PGK37 million [US$15 million] contract has been signed between PNG Power and a Malaysian company, HG Power Transmission, to erect a 132 kV transmission line.

The transmission line is to supply Harmony Gold’s Hidden Valley gold mine with much needed power.

The line will extend from Erap to the mine site, a distance of 105 km. The 132 kV single circuit transmission line will pass through Zenag, Bulolo, Wau and eventually the mine site.

The scope of work for the Hidden Valley transmission line includes design, supply, installation and commissioning of the entire works program.

At the signing yesterday, acting PNG Power chief executive officer, Tony Koiri said: "The signing today also represents a first for PPL and I guess the same could be said for HG Power Transmission Company where we are entering into a large transmission line contract with a non- Australian or European company. This indeed is a pleasant change that a company from one of our closest neighbors and largest investment partners outside of Australia has won the contract."

He also thanked the consortium of financiers made up of BSP, Westpac and ANZ banks as well as Nasfund and Nambawan Super.

With the construction of the transmission line PNG Power will generate good revenue when Hidden Valley is connected to the Ramu grid which can also be used to fund projects in other locations.

This project, when completed, will enable the communities along the line route to have access to electricity through rural electrification projects, especially those near the transmission line route.

The HG Power Transmission Malaysian company won the contract after a public tender.

The company is an experienced transmission lines specialist that has constructed more than 2000 km of lines including refurbishment and upgrading of existing transmission systems both in Malaysia and overseas.

Rate this article: 
Average: 5 (1 vote)

Add new comment