Chevron Plans Papua New Guinea Pipeline

Chevron Corp. said it’s planning a $2.3-billion project to transport gas from the Kutubu field in Papua New Guinea to customers in Australia’s Queensland state. The 2,500-kilometer pipeline and plant in Papua New Guinea is being planned by Chevron through its wholly owned subsidiary, Chevron Nuigini, in conjunction with the Papua New Guinea government, said John Powell, Chevron’s project director. The government’s interest will be held through the publicly traded Orogen Minerals Ltd., which will probably take a 25% interest in the project. Shares of Chevron rose 25 cents to close at $64.125 on NYSE. Under the plan, the plant on the southwest coast of Papua New Guinea will be operated by San Francisco-based Chevron, and the pipeline will be built by a company that will own and operate it.