The planned $US3.5 billion ($5.5 billion) Papua New Guinea gas pipeline is shaping up to be the only bright spot on the horizon for PNG's resources sector, which is threatened by a plunge in metal and oil prices and fiscal instability.

The project's partners spoke confidently yesterday of the pipeline's potential to boost the PNG economy at the fourth annual PNG Mining and Petroleum Investment Conference in Sydney, but warned hard decisions must be made quickly.