deugro forms PNG venture to support Papua LNG project logistics

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PORT MORESBY, Papua New Guinea — deugro has formed a joint venture with Jerilai Pujari Transport Limited (JPTL) to provide transport and logistics services for a major LNG development in Papua New Guinea, strengthening local participation in the movement of project cargo to remote construction sites.

The new company, Purari Project Services Limited (PPSL), will support the transportation of materials, equipment and other cargo from Port Moresby to construction areas along the Purari River, according to deugro.

The venture brings together deugro’s international project logistics capabilities and JPTL’s local transport experience and links with communities in the PRL 15 licence area.

While deugro’s announcement does not name the LNG development, the location, PRL 15 reference and Purari River logistics requirements align with the Papua LNG project led by TotalEnergies. Papua LNG is designed around development of the Elk and Antelope gas fields in Gulf Province, with gas transported to liquefaction facilities near Port Moresby.

Moving heavy equipment into remote energy construction sites in Papua New Guinea presents a different logistics problem from simply delivering cargo to a conventional port.

PPSL has been established to facilitate local landowner participation in transporting cargo from Port Moresby to construction locations on the Purari River. Its structure also allows for future participation by recognised landowner joint ventures representing communities affected by river and pipeline activities.

JPTL represents local landowner interests through Jerilai Pujari Holdings Limited and Native Industries Limited.

The arrangement could become particularly relevant as Papua LNG moves closer to construction. The project is designed to produce about 5.6 million tonnes of LNG annually and includes upstream facilities in Gulf Province, pipelines and downstream liquefaction infrastructure at Caution Bay.

For project forwarders, the challenge is comparable to building a temporary supply chain into an industrial site before the normal transport infrastructure exists. Marine and river transport, cargo consolidation, equipment handling and coordination with local contractors can therefore become critical parts of the construction schedule.

deugro said PPSL would be positioned to provide turnkey marine and logistics support across different project packages.

deugro has operated in Papua New Guinea since 2007 and has previously supported major energy and infrastructure developments in the country, including construction logistics associated with Papua New Guinea’s existing LNG industry.

Mark van der Molen, deugro’s appointed director of PPSL, said the venture would build on that experience as new project packages develop.

“Since 2007, we have supported major energy and infrastructure developments across the country, including extensive support for the construction of Papua New Guinea’s largest LNG project to date,” van der Molen said.

He said the company’s existing local presence and relationships with suppliers and subcontractors would support marine and logistics services required for the development.

deugro received the British International Freight Association’s Project Forwarding Award in 2024 for work connected with a project in Papua New Guinea.

The creation of PPSL also reflects the emphasis being placed on national content and landowner participation surrounding Papua LNG.

Papua LNG’s own supplier development programme identifies JPTL as one of the ventures established to increase participation by businesses representing communities in the PRL 15 area. JPTL was established to provide equipment and transport services to the project and its contractors.

Trevor Birney, Executive Director of Jerilai Pujari Holdings Limited, said participation in project transport operations could also improve connections with remote communities.

He said the venture could help provide reliable transport services into the project area while creating opportunities for communities to move their own products outward.

That local logistics dimension could become increasingly important if Papua LNG advances into full construction.

The Papua New Guinea government said in May that the project’s partners were working towards a final investment decision during 2026. TotalEnergies has separately said the development continues to progress towards FID.

Papua LNG is being developed around the Elk and Antelope fields in PRL 15. Its infrastructure includes upstream processing facilities, an export pipeline system and three new electrically driven LNG trains at Caution Bay, alongside access to existing PNG LNG liquefaction capacity.

Klaus Strahmann, CEO of deugro, said PPSL would combine international project logistics capabilities with local participation while creating a platform capable of supporting the development’s transport requirements.

The immediate focus will be moving materials, goods and equipment from Port Moresby into construction areas around the Purari River, placing marine and inland logistics at the centre of the venture’s role as the LNG project progresses.