5 Nov 2010

Study costs PNG Highlands Highway restructure at US$2b

7:06 pm on 5 November 2010

A study has found it will cost about two billion US dollars to reconstruct the Highlands Highway in Papua New Guinea to a modern standard.

The newspaper, The National, reports that the developer of the liquefied natural gas project, ExxonMobil, commissioned the study which has been presented to the Minister for Works and Transport, Don Polye.

The report highlighted the phases of the upgrade of the entire 759 kilometre stretch from Lae in Morobe to Hides, Southern Highlands, over the next five years.

Mr Polye says funding for the work will come from the government's annual budgets and from onshore and offshore borrowings.

He says work has begun on some crucial sections of the Highlands Highway, with funding from the Asian Development Bank and AusAID.