A new support contract for Papua New Guinea's first offshore floating storage and offloading (FSO) facility will drive coordinated marine logistics across multiple continents, requiring shipments of heavy equipment from India, Indonesia, and the UK to the Kumul Marine Terminal.
Contract Overview
According to Splash247, ABL, a marine, engineering, and energy consultancy, has secured an agreement with Santos' subsidiary, Oil Search Limited, operator of the PNG Oilfields Projects, to provide services linked to a new FSO facility. The contract covers marine warranty survey services offshore Papua New Guinea and at international locations supporting the supply, transportation, installation, pre-commissioning, and commissioning of vital equipment. This FSO will be Papua New Guinea's first offshore floating facility and will be deployed at the Kumul Marine Terminal as part of the Kutubu Pipeline System. It will play a critical role in the storage and offloading of liquid hydrocarbons, including crude oil and condensate, while associated gas is fed into the PNG LNG Project.
Scope of Work
ABL's scope includes overseeing pipe load-out operations in India, load-out of coated pipe, spools, and pipeline-end manifolds (PLEMs) in Indonesia, and flexible riser load-out in the UK. On-site in Papua New Guinea, the ABL team will approve pipelaying and installation of PLEMs, the FSO mooring installation and FSO hook-up to mooring, and the flexible riser pull-in.
| Activity | Location | Detail |
|---|---|---|
| Pipe load-out | India | Overseeing load-out of pipe |
| Coated pipe, spools, PLEMs load-out | Indonesia | Load-out of coated pipe and related equipment |
| Flexible riser load-out | UK | Load-out of flexible riser |
| Pipelaying & PLEM installation | Papua New Guinea | Approving installation |
| FSO mooring installation & hook-up | Papua New Guinea | Mooring installation and hook-up |
| Flexible riser pull-in | Papua New Guinea | Pull-in of flexible riser |
Geographic Reach and Management
ABL's operation in Australia will head up the project, supported by the company's offices in India, Indonesia, Malaysia, Singapore, and the UK. The scope of work is expected to run through to 2028. “We will apply decades of specialised experience to oversee the safe transportation and installation of the FSO mooring, pipelines, and other vital subsea infrastructure,” said Sujith Mathew, engineering manager at ABL in Australia.
Implications for Logistics Operators
The multi-country sourcing and installation timeline means logistics providers must coordinate heavy-lift and project cargo shipments across Asia and Europe to Papua New Guinea. Freight forwarders and 3PLs handling pipe, spools, and flexible risers should align with ABL's marine warranty survey requirements to ensure compliance. The extended duration through 2028 signals sustained demand for specialized offshore logistics in the region.
Watch List
- Further contract awards for equipment transport and installation support
- Progress of FSO construction and readiness at Kumul Marine Terminal
- Any schedule changes affecting load-out windows in India, Indonesia, or the UK
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