Lae Port construction contract signed

Independent Public Business Corporation has signed the contract recently approved by NEC for the development of a new
Port Facility for Lae.

The contract, with China Harbor Engineering Company Limited, was signed by chairman Thomas Webster and Managing
Director Thomas Abe. It was counter-signed by representatives of China Harbor Engineering and the Governor-General of
Papua New Guinea representing the State.

The signing, at Government House on Monday, paves the way for work on the K700-million-plus contract to start.

“A preconstruction meeting is to be held in about two weeks, after which commencement notices will be issued to the
contractors,” Mr Abe said.

“China Habor Engineering is already on the ground in Lae and Port Moresby doing preliminary work, and is keen to start
work immediately..

“This is a very important step forward for the nation’s most important port.

“The port is unable to meet current demand, and is in urgent need of expansion if it is not to remain a very serious obstacle
to the economic development of the Momase-Highlands region.

“There is very significant development occurring throughout the region, in particular the LNG Project.

“Reconstruction and expansion of Lae Port is essential if all planned developments are to go ahead smoothly and efficiently.”

Mr Abe said the Lae Port project would itself spur economic activity and jobs growth, and that when it was completed it would
play a significant role in other development, including agriculture, forestry and mining and petroleum.

It would also help to lower the cost of taking goods to local and international markets as well as reducing the
transport costs of inputs.

The main element of the project is the construction of new port facilities including a tidal basin, a berth and a
terminal. Work is expected to start in the middle of this year and finish towards the end of 2015.

It is being funded 70 percent by the ADB and 30 percent by the national Government through IPBC.

Thomas Abe
Managing Director, IPBC

Click Here To Download