Chinese Construction Giant Eyes Fresh Investment Ground in PNG

 A delegation of top executives from China Railway Construction Corporation (CRCC) has held high-level talks in Port Moresby, signalling the multinational’s intent to push further into Papua New Guinea’s economy beyond the construction sector it is already known for.

Petroleum Minister Jimmy Maladina welcomed the development, saying the company’s interest in diversifying into new areas of the PNG economy pointed to rising confidence among foreign investors in the country’s prospects.

The talks brought together Prime Minister James Marape, Minister Maladina, CRCC Vice President Sun Liquang, and the general managers of the company’s two PNG-based arms, China Railway Construction Group (CRCG) and China Civil Engineering Construction Corporation (CCECC). Discussions centred on where the group might expand its investment portfolio, along with a briefing on how its existing subsidiaries are performing locally.

According to those present, the delegation flagged ship and boat building, slipway facilities, mining and the petroleum sector as areas of fresh interest, on top of the construction and real estate work CRCC has long been established in. Technical teams, they said, are already carrying out feasibility studies and due diligence before any final investment call is made.

Globally, CRCC stands as one of the biggest names in integrated construction and engineering, active in more than 130 countries and involved in railways, highways, bridges, tunnels, ports, airports, urban projects, mining, manufacturing and property. It is listed on both the Shanghai and Hong Kong bourses with a market capitalisation near US$15 billion.

Minister Maladina said the country’s petroleum, mining, maritime and infrastructure sectors offered significant room for growth under the Government’s ongoing economic reform agenda.

“I encouraged the delegation to continue its feasibility work and engage closely with the relevant Government agencies. We look forward to investment proposals that create jobs, develop local industry, transfer skills, and deliver lasting economic value for Papua New Guinea,” Maladina said.

He said the Government remained ready to work with credible international partners on terms that delivered mutual, long-term benefit, adding: “We welcome CRCC’s confidence in Papua New Guinea and its interest in expanding beyond infrastructure into strategic sectors of our economy. This reflects growing international confidence in our country’s long term investment potential.”