PNG LNG Exports Halted by Earthquake

An earthquake in Papua New Guinea (PNG) has forced operations at the PNG LNG terminal, as well as some associated infrastructure, to suspend operations, companies said February 26.

ExxonMobil PNG Limited confirmed: "All employees and staff are safe and accounted for following a magnitude 7.5 earthquake in the Highlands at approximately 03:40am today," adding: " Due to the damage to the Hides camp quarters and continuing aftershocks, ExxonMobil PNG is putting plans in place to evacuate non-essential staff."

Oil Search, a partner in PNG LNG, added: “As a precautionary measure and in order to assess any damage to facilities, Oil Search’s production operations in the PNG Highlands are in the process of being shut-down....ExxonMobil PNG Ltd has confirmed that the PNG LNG facility at Hides has also been safely shut down."  Oil Search said the move followed a magnitude 7.5 earthquake in the PNG Highlands at 03:44am local time.

“Oil Search’s primary concern is the safety of our employees and contractors. The company is presently confirming that all personnel have been accounted for. No injuries have been reported so far,” Oil Search said in an announcement to the Australian Stock Exchange at 09:36am AEDT.

PNG LNG is operated by ExxonMobil (33.2%), with Santos (13.5%), National Petroleum Company of PNG (16.8%), JX Nippon Oil and Gas Exploration Company (4.7%), Mineral Resources Development (2.8%), and Oil Search (29%) holding interests in the project.

“We will keep the market advised of any material updates,” Oil Search said.