Purchase OBG Publications

Displaying 25 - 30 of 2499 results

Chapter | Construction & Real Estate from The Report: Papua New Guinea 2017

Although it recorded double-digit expansion during the boom years of 2010 to 2013, Papua New Guinea’s construction industry faces a challenging operating environment in 2017. Growth contracted in 2014 following the completion of a major liquefied natural gas project, and contractors have since struggled to regain the momentum seen earlier in the decade. The sector rebounded in 2015 and 2016, with preparations for the 2015 Pacific Games and the APEC 2018 summit helping to maintain stability. Although the real estate industry is experiencing a downturn, a moderation of unsustainably high prices is expected to benefit long-term growth. Affordable housing also retains considerable potential for future expansion, and recent consumer sentiment surveys reveal pent-up demand for mid-market properties. This chapter contains an interview with Jason Yip, Managing Director, DAC Real Estate.

Chapter | Transport from The Report: Papua New Guinea 2017

A challenging, disparate geography and low population density have created a unique set of issues for Papua New Guinea’s transport industry. Costs are high across all major modes of transport, and a lack of connectivity presents a serious challenge to doing business outside of Port Moresby. The country’s recent construction boom in the lead up to ExxonMobil’s $19bn liquefied natural gas project has not been as beneficial to public spending as initially anticipated, and budgetary shortfalls caused by low global commodities prices and a wider macroeconomic slowdown have significantly affected the delivery of planned new transport upgrades. As a result, public spending on transport is projected to further contract every year until 2021. This chapter contains an interview with Richard Yolo, Acting Managing Director, National Airports Corporation.

Chapter | Energy from The Report: Papua New Guinea 2017

Papua New Guinea’s energy sector has undergone a dramatic transformation over the previous decades, with liquefied natural gas (LNG) becoming the sector’s biggest growth driver. The multibillion-dollar PNG LNG project is now operating well above nameplate capacity, and LNG export revenues are expected to remain a major pillar of the economy in the coming decades. Ongoing exploration activities will offer a clearer understanding of the country’s hydrocarbons reserves and further support plans to expand LNG production. Major international oil companies such as ExxonMobil and Total are looking to additional gas fields for new supply. This chapter contains interviews with Peter Botten, CEO, Oil Search and Andrew Barry, Managing Director, ExxonMobil PNG.

Chapter | Mining from The Report: Papua New Guinea 2017

Commodity price fluctuations have rendered sporadic development across Papua New Guinea’s mining sector in recent years. Nevertheless, a diverse basket of minerals continues to attract international investors, who remain eager to unearth the nation’s resources, which have fuelled economic expansion. However, a lack of hard infrastructure and challenging natural conditions continue to escalate operating costs, which hampers revenue streams across the industry. Despite infrastructure drawbacks, mining continues to play a crucial role in the economy, contributing more than 34% of export revenues, according to figures from the Mineral Resources Authority. The sector registered impressive production numbers throughout 2016, following a weaker performance in 2015, which was characterised by a depressed commodities market and a temporary closure of one major mine. This chapter contains an interview Peter Graham, Managing Director and CEO, Ok Tedi Mining and Chairman, Kumul Minerals Holdings.

Chapter | Insurance from The Report: Papua New Guinea 2017

Insurance in Papua New Guinea remains a sector that offers significant opportunity. With a low penetration rate – estimated at under 2% – and the overall economy set for rapid growth as a result of ExxonMobil’s liquefied natural gas project, demand is projected to increase over time. Other trends and events also suggest good prospects. A new acting insurance commissioner has been appointed and is starting to push for increased and more effective oversight; banks have shown a growing interest in being more active in the sector; and much is being done to develop coverage for people and companies outside of urban centres. This chapter contains an interview Matthew Kearns, General Manager, QBE Insurance.

Chapter | Capital Markets from The Report: Papua New Guinea 2017

After a flurry of activity in 2015, including dual-listing initial public offerings, a key stock returning to the exchange after suspension and the writing of a series of major reforms, Papua New Guinea’s capital markets are rebounding. The benchmark stock index started to climb again in 2016 and continued to do so through early 2017, following years of decline since hitting record highs in 2010. The market remains sound, well managed and well prepared for the economic upturn expected with the next large liquefied natural gas investment. Work continues in the background on improvements and upgrades, while expected reforms, which include changes to legislation, structures and governance, should be in place by the end of 2017. Incremental refinements in the bond market, led by the central bank, are ongoing, as are the bank’s efforts to get the attention of international custodians. This chapter contains an interview with Richard Borysiewicz, General Manager, BSP Capital.