K60 billion potential for gas expansion

A K60 billion investment potential is on the cards if the liquefied natural gas (LNG) expansion is undertaken.

This potential covers any exploration, appraisal, and developments, within the next few years.

During the Prime Ministers Breakfast in Port Moresby on Thursday, Oil Search Managing Director, Peter Botten, said the potential investment will create 20,000 new jobs and significant economic spin off benefits.

PNG is in a tremendous position to expand LNG production. There’s more discovered proven, probable gas reserves now than before PNG LNG’s first initial sanction,” Botten said.

He added more than 10 trillion cubic feet (tcf) of gas is available to underwrite new investment with 6.5 tcf they believe in the elk antelope field, extra resources in PNG LNG fields and the Pynyang fields all to add to the production base.

“Investment from any new development could bring annual expenditure during construction of over K11 billion a year during project construction.

“A significant portion of which will be spent here to really drive the local economy.

“The size of the prize is large but we must bring the country along with us and demonstrate the value the projects bring to the people of Papua New Guinea,” said Botten.

Author: 
Cedric Patjole