National utility PNG Power Ltd. has awarded a 22 million euro (US$29 million) contract to Andritz VA Tech Hydro to rehabilitate and upgrade the 18-MW Rouna 2 hydroelectric project.
VA Tech Hydro is to upgrade equipment originally supplied in 1964 by its predecessor companies Voest and Elin. Work is to be completed by December 2008 on the Laloki River in Papua New Guinea’s Central Province.
Rehabilitation is to guarantee reliable operation and extend plant life up to 30 years. Unit power is to be increased and working safety standards brought to state of the art.
Rouna 2 is among four plants on the Laloki River, including 5.5-MW Rouna 1, 12-MW Rouna 3, 13.5-MW Rouna 4, and 1.5-MW Sirinumu.
It was reported PNG Power Ltd. signed an agreement in November for a US$115.1 million loan from banks led by Bank South Pacific, Public Officers Superannuation Fund, and National Superannuation Fund. The loan is to finance rehabilitation of Rouna 2, refurbishment of 45-MW Ramu 1 hydro project on the Ramu River in Eastern Highlands Province, and construction of the 18-MW Yonki Dam Toe hydro project at the outlet of existing Yonki Dam in Eastern Highlands.