News Releases 2026
Mar. 31, 2026
JGC-Hyundai Joint Venture Considered as EPC Contractor for a Major Low-Carbon LNG Plant Project in Papua New Guinea
Yokohama, Japan - JGC Holdings Corporation is pleased to announce that its overseas engineering, procurement, and construction (EPC) operating company, JGC Corporation (hereafter "JGC"), has been selected, together with Hyundai Engineering & Construction Co., Ltd. ("Hyundai E&C"), as the EPC contractor for a major low carbon LNG plant as part of the Papua LNG Project planned by TotalEnergies and its venture partners in Papua New Guinea. Details of the project are as follows.
1. Client
Papua LNG Venture (Operator: TotalEnergies; partners are ExxonMobil, Santos, and ENEOS Xplora Inc.)
2. Project Location
Port Moresby, Independent State of Papua New Guinea
3. Scope of Work
EPC services for a liquefied natural gas (LNG) plant with an annual capacity of approximately 4 MTPA (1.33 MTPA × three trains)
4. Project Overview
Under this project, JGC and Hyundai E&C will form a joint venture ("JGC-Hyundai JV") to construct an LNG production plant in Port Moresby, using natural gas feedstock from the Elk-Antelope gas fields in Papua New Guinea. With a planned production capacity of approximately 4 million tonnes per year, the project represents one of the country's next major steps in expanding its LNG export capability.
The Papua LNG venture's selection of the JGC-Hyundai JV as EPC candidate reflects a comprehensive evaluation of the JV's track record in LNG plant construction, engineering capabilities, project execution planning, site safety management, bid price, and proposed schedule. The final EPC contract award and notice to proceed are expected to follow the Project's final investment decision (FID), scheduled at some point in 2026.
JGC previously was awarded EPC work in 2009 for the PNG LNG Project's liquefaction facilities. PNG LNG, operated by ExxonMobil PNG, is Papua New Guinea's first LNG project, having achieved first LNG production in 2014. Since its startup, the plant has consistently produced more than 8 million metric tons of LNG annually, supporting the country's stable energy exports.
With the addition of the Papua LNG Project, Papua New Guinea's total LNG production capacity is expected to exceed 10 million tonnes annually. Furthermore, the LNG plant will adopt "E Drive" technology, in which electric motors--rather than conventional gas turbines--drive the refrigerant compressors used in natural gas liquefaction. This feature will significantly reduce CO₂ emissions during plant operations, contributing to the development of a low carbon LNG facility.
Against the backdrop of the global energy transition and increasing momentum toward decarbonization, LNG--among fossil energy sources--continues to play a vital role as a lower carbon fuel. The JGC Group has been involved in the construction of LNG plants representing more than 30% of global LNG production and is currently executing three major LNG projects: a large scale low carbon LNG project in the UAE, an offshore LNG project in Mozambique, and a near-shore LNG project in Malaysia.
The JGC Group will continue to actively pursue opportunities in the LNG sector as one of the world's leading engineering companies and contribute to the advancement of the global energy transition.