Plan & Design

Generation Plan & Design

Ramu Hydropower System

The Ramu hydro facilities were initially designed as a cascade system where a number of power stations could be built along the Ramu River gorge. Each power station would use the same water flows. The existing generation facilities include a large storage reservoir (Yonki Dam) and a 75MW underground power station (Ramu 1). The 18MW Yonki Toe of Dam power station is planned to be constructed to supply the Hidden Valley gold mine development.

PNG Power proposes to construct another power station (Ramu 2) downstream of the existing facilities to supply power to the planned mining projects at Ramu Nickel and Wafi/Golpu.

Yonki Toe of Dam Power Station

PNG Power engaged engineering consultants to prepare tender specifications and documentation for the 18MW Yonki Toe of Dam power station. This power station will be at the base of the Yonki reservoir and utilises the water released from the dam through penstocks to supply the existing Ramu 1 generation facility.

As well as the tender documents, the engineering consultants also prepared a cost estimate for the project to allow PNG Power to approach financial institutions for debt funding. Tenders are expected to be called in early 2007 after the Hidden Valley gold mine power supply agreement with Harmony Gold is finalised.

Ramu 2 Hydropower Feasibility Study

The China Metallurgical Group Corporation (MCC) through its subsidiary Ramu Nico Management (MCC) Limited proposes to develop the Ramu Nickel project which includes a nickel and cobalt mine at Kurumbukari in the Madang Province and pumping the ore through a pipeline to a processing plant at Basamuk Bay on the Rai Coast.

In addition, Harmony Gold is currently undertaking a prefeasibility study on the Wafi/Golpu gold and copper resource. A full feasibility study will be undertaken with a final development decision made in 2009.

PNG Power plans to develop the 240MW Ramu 2 power station downstream of the existing Ramu 1 power station to supply the forecast 100MW of power for these projects and to supply overall demand growth in the region. The project includes a 9km tunnel and penstock complex with a total fall of 562m to the power station.

Following prefeasibility studies by international engineering consultants in mid 2006, PNG Power commissioned a full feasibility study for this Ramu 2 power station development. The report delivered in December 2006 confirmed the technical viability of the project with an overall project cost of approximately K850m and a construction period of 40 months.

Transmission Plan & Design

Hidden Valley Transmission Line

Following the establishment of a Memorandum of Understanding between PNG Power and Harmony Gold for the supply of electricity to the Hidden Valley gold mine project, PNG Power, with the assistance of international engineering consultants, developed engineering specifications and tender documentation for the 110km 132kV transmission line to the Hidden Valley mine site from the Yonki to Lae transmission line at Erap near Nadzab and for the associated substations. The engineering team also developed an estimate of the project cost to allow PNG Power to approach financial institutions for debt funding.

Ramu Nickel Transmission Line

To evaluate the options for the supply of power to the mine site and processing plant, PNG Power engaged international engineering consultants to undertake investigation and preliminary design work for a transmission line to connect the Ramu Nickel project sites to the existing Ramu electricity grid. Various route options for the transmission line were evaluated together with consideration of system stability studies, pipeline and pump station locations and the energy requirements of the mine and processing plant.

A full feasibility study, preliminary design and cost estimate for the proposed transmission line were completed in December 2006.