IPBC Assigns Lae Tidal Basin Port to PNG Ports

Wednesday April 8, 2015 – The Independent Public Business Corporation (IPBC) has handed over the Lae Tidal Basin Port to PNG Ports Corporation Limited (PNGPCL).

In a small but important handover-takeover ceremony recently at the IPBC Boardroom in Port Moresby, Managing Director of IPBC, Mr. Wasantha Kumarasiri and Chief Executive Officer of PNGPCL, Mr. Stanley Alphonse signed a memorandum of agreement (MOA) signifying the handover of the billion kina port to PNGPCL as phase 2 of the project commences.

Present at the signing ceremony were key senior staff and consultants from both organisations including Board Director Mr. Patrick Amini who represented the PNGPCL Board.

Mr. Kumarasiri, in congratulating both organisations, said IPBC was behind PNGPCL in a project of this magnitude which will not be 100 percent perfect.

“As we know, a project of this magnitude will not be 100% perfect. We will be behind you all the time to resolve all those outstanding matters. If there are any, please bring it to our attention,” Mr. Kumarasiri said.

Contracts of this nature are subject to defect rectifications by the Contractor at no further cost.

“I would like to acknowledge PNGPCL board chairman, CEO, management team, and also your flexibility to work together. There’s no point in spending all that money, what we need is we need ships in that place, we are only a small player making it happen, that majority of work yet to happen is in your (PNGPCL) hands, so as a shareholder, this is our commitment to you,” he said.

Mr. Alphonse when thanking the IPBC management and project unit said PNGPCL is looking forward to operating the port (tidal basin).

“Thank you IPBC management, project unit, for successfully completing this major infrastructure project and ultimately handing it over to us today (Thursday, April 2, 2015).”

“We can rest assure you, MD that, in as far as possible we will devise an operations model of that port which will conform with international best practice in port and terminal management and at the same time we will ensure compliance requirements including of course any related covenants and obligations will be fully adhered to,” Mr. Alphonse said.

“We look forward to operating this port and of course ensure that it makes an appropriate rate of return on the investment.  But we will put together an operational plan and model that will try to achieve that,” he said.

Meanwhile Mr. Kumarasiri also announced that phase two of the tidal basin port project is set to commence with the involvement of PNGPCL.

Phase one of the tidal basin project was commissioned after completion in December last year. Since then amenities such as water, electricity, sewerage and other amenities have been installed as well as on-going defect rectifications.

“As for phase two, we have received the approval from the CSTB (Central Supply and Tenders Board) and National Executive Council. The entire CSTB board yesterday (Wednesday, April 1, 2015) witnessed the work carried out and I understand they are very happy and they have given the approval to go for the next 200 metres dredging,” Mr. Kumarasiri said.