Puma Energy has decided that it will purchase new fuel supplies for PNG only in US dollars and not in Kina any more.
The company has been for some time using its own resources to purchase fuel from the international market because of difficulties it is facing with the Central Bank and other financial institutions in converting kina to US dollars.
“We have been discussing this issue with the government for more than a year without resolution, and the situation has now become unsustainable,” Puma says in a statement.
In consequence Puma Energy has provided notice to the government and to its valued customers of the new arrangement to purchase in US dollars.
This may have reduce the amount of fuel Puma Energy can make available to the PNG market.
As of late last week, Puma had been forced to limit purchases of petrol for the Port Moresby market.
This action has been taken in order to manage the ongoing impact of issues Puma Energy has been working to resolve with the PNG Government and its supporting agencies such as the Central Bank and Customs.