Papua LNG Gas Agreement Soon: Oil Search

The Papua LNG gas agreement between the government and P’nyang (PRL3) joint venture is expected to be finalised soon, Oil Search managing director Peter Botten said March 19 at the PNG Petroleum and Energy Summit in the capital, Port Moresby.

“The Papua LNG gas agreement is on track to be finalised by late March and signed in early April 2019 with a gas agreement between the state and P’nyang (PRL3) joint venture to be finalised soon after,” Botten said.

In 2018, a memorandum of understanding was signed between Papua LNG and the PNG government, setting key terms and conditions for a gas agreement.

“Additionally, joint-venture partners are progressing commercial agreements supporting integration, including site and facility access,” he said.

The Papua LNG project will encompass two LNG trains of 2.7mn mt/yr each and will be developed in synergy with the existing PNG LNG project facilities, operated by US major ExxonMobil.