InterOil, Exxon to Discuss PNG Gas Development

InterOil Corporation and its joint venture partner, Pacific LNG Group, have entered into exclusive negotiations with ExxonMobil on the development of Petroleum Retention License 15 (PRL 15), which comprises the Elk and Antelope fields in the Gulf Province of Papua New Guinea.

Points of discussion include InterOil and Pacific LNG selling ExxonMobil an interest in PRL 15 that is sufficient to supply gas to develop an additional LNG train at ExxonMobil’s Konebada site.

Also, InterOil and Pacific LNG will be funded to drill additional delineation wells in the Elk and Antelope fields, which will be followed by recertification of the resource.

The parties may also discuss the option of InterOil and Pacific LNG either independently developing a second LNG project in the Gulf Province that may also use gas from PRL 15 and potentially other discoveries, such as Triceratops, or pursue further development with ExxonMobil Papua New Guinea Ltd.