The Wall Street Journal: Papua New Guinea Draws Interest in Energy Projects

Foreign governments are boosting efforts to win influence in Papua New Guinea, with Australia deepening economic and defense ties with the impoverished South Pacific nation Friday as it prepares to become one of the world's newest significant energy producers.

The visit by Julia Gillard represented the first by an Australian prime minister to Papua New Guinea's capital, Port Moresby, in four years. It followed trips this year by Thailand's leader, Yingluck Shinawatra, and a U.K. government minister.

China, too, has made little secret of its desire to gain diplomatic weight in Papua New Guinea. Beijing offered almost $3 billion in loans for infrastructure projects in the country last year, and has a long-term deal to buy its first natural-gas exports. MORE