foreign exchange (FX)

BPNG has committed to urgently providing the remaining FX needed for September and October, enabling Puma Energy to procure fuel on the international market.

Puma Energy, facing looming fuel shortages, had contemplated fuel rationing to safeguard essential services and infrastructure. Grappled with substantial overdue payments, the company will actively manage declining fuel stocks while awaiting the BPNG's intervention later this week.

Prime Minister James Marape in a statement clarified the issue in regards to the fuel supply by Puma Energy.

“However, in this case, BPNG may have stressed Puma to the point that they are unable to supply fuel products due to unavailability of matching US dollars for fuel imports.

“I have, immediately after today’s NSAC meeting, written to Central Bank asking them to find solutions to the issues with Puma without compromising the role they play in ensuring that legitimate transactions take place.

In a statement released this afternoon, Puma stated, “For several months we have been working closely with various stakeholders to ensure sustainable flows of foreign currency, which is critical to buying fuel on the international market.

“Unfortunately, due to pending approvals of our FX by the relevant authority, we are unable to continue maintaining the necessary supply of product to all our customers.”

However, Puma stated that they will continue to work hand-in-hand with the relevant authorities to ensure security of fuel supply for PNG.