Announcement of World Bank Assists Port Project in Papua New Guinea on April 20, 1978

, FOR l,\1MED1A TE RELEASE •World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393-6360 BANK NEWS RELEASE NO. 78/75 APRIL 20, 1978 WORLD BANK ASSISTS PORT PROJECT IN PAPUA NEW GUINEA Port facilities in Port Moresby, the capital city of Papua New Guinea, will be improved with the assistance of a World Bank loan of $3.5 million. The project will ~elp Port Moresby to utilize more fully . the greater efficiency of container shipping. The project, which is the World Bank's second port project in Papua New Guinea, will provide container handling facilities at Port Moresby. The main objectives of the project are to avoid ship waiting time, and to reduce ship turnaround time as well as cargo handling costs. • The major components of the $10.S million project are land reclamation of 1.6 hectares (ha.), construction of a 125 meter (m.) berth, extension of the present container freight station and improvements to the port access road. Also incl~ded in the project are a 30 m. coastal berth at Samarai, located on a small island off the coast of Southern Papua and technical assistance and training. Co-financing of $3.5 million is being provided by the Kuwait Fund. The $3.5 million World Bank loan is for a term of 20 years, including five years of grace, with interest at 7.5% per annum. NOTE: Money figures are expressed tn U.S. dollar equivalents. FORM NO. 1121 (5-76) T E C HN I CAL DAT A PROJECT: COUNTRY: Second Port Papua New Guinea • TOTAL COST: $ 10 . 5 mi 11 i on BANK FINANCING: $3.5 million for a term of 20 years, including 5 years of grace,with interest at 7.5% per annum. OTHER FINANCING: Kuwait Fund, $3.5 million; Papua New Guinea Harbours Boa rd , $3• 5. mi 11 i on . IMPLEMENTING ORGANIZATION: Papua New Guinea Harbours Board, P~O. Box 671, Port Moresby, Papua New Guinea. PROJECT DESCRIPTION: It will consist of the following components: additional reclaimed land of about 1.6 ha. adjacent to the 2.6 ha. provided under the First Port Project; a new 125 m. berth to handle containers; an extension to the existing container freight station; improvements to about 400 m. o f t ~ road adjacent to the port; a 30 m. long coastal berth at Samarai, located on an island off Southern Papua; consulting services for design and construction supervision, and technical assistance and training. PROCU.REME~T: Contracts for construction and -ypply for all items in the project will be awarded ot. ;he basis of international competitive bidding, in ac~ordance with Bank guidelines, which is acceptable to the Kuwait Fund. The contract for pilotage launches has already been let to a local firm following international competitive bidding in accordance with Bank guidelines, and retroactive financing of $100,000 for this component is recommended. CONSULTANTS: The project includes consulting services for design and construction supervision, and technical assistance and training. ECONOMIC RATE OF RETURN: 14% ESTIMATED 'COMPLETION DATE: 1980· · - o.· -