Oil Search Limited

OSL renews PNG Orchids partnership

PNGRFL Chairman Sandis Tsaka said Oil Search Ltd were the inaugural sponsors of the women’s National Rugby League team when it was launched in 2017 for the Prime Minister’s VIII game against Australian Jillaroos in Port Moresby and the Women’s Rugby League World Cup series in Sydney.

He said the renewal of this partnership is timely as the team prepares to play Fiji in the Pacific Test Invitational this month, in Sydney.

Nearly K5bn revenue for Oil Search

This is despite the February earthquake which suspended operations for two months.

The company revealed this in its 4th Quarter Report for 2018.

In the report for 2018, Oil Search recorded a total revenue for the 2018 fourth quarter at US$503.1 million (K1.6 billion), 6 percent higher than the previous quarter.

This reflected a 5 percent increase in hydrocarbon sales and stronger realised LNG and gas prices (up 5 percent), partly offset by lower realised oil and condensate prices (down 15 percent).

2018 PNG Apprentice of the Year

Oseia was selected ahead of eight other contestants from industrial, mining and petroleum companies to claim the honour of becoming the top apprentice at the annual National Trade Testing Board (NATTB) end of year awards.

From Milne Bay Province, 27-year-old Oseia won the internal Oil Search Apprentice of the Year after her project, ‘Gas Dehydration’, was judged as the winning project and was selected to represent Oil Search at the national title.

Aid to assess climate change impact

A new public-private partnership between the Government of Papua New Guinea’s Climate Change and Development Authority, Oil Search Limited and U.S. Ambassador to Papua New Guinea, Solomon Islands and Vanuatu, Catherine Ebert-Gray, was formalised recently.

The goal of this partnership is to assess the impact of climatic changes and to establish programs to create a more resilient future for Papua New Guineans.

Significant interest from LNG buyers: OSL

Managing Director Peter Botten said this in the company’s 2018 third quarter report.

He said Oil Search’s equity marketing team continued to engage with LNG buyers in key Asian markets, especially on the net phase in the PNG development.

The company had announced in the quarter two mid-term LNG sale and purchase agreements signed between Oil Search and two major companies.

OSL records over K1 billion Q3 Revenue

Managing Director, Peter Botten, announced this in the company’s third quarter report for 2018.

The record is a result of increased production; higher LNG, gas and liquids sales and higher realized LNG and gas prices

Highlights from the quarter covering production and sales include:

Over K260m profit for first half of 2018: OSL

Oil Search Limited reported a net profit after tax for the first half of the year, at US$79 million; that over K260 million.

Managing Director Peter Botten said the half year results was credible achievement considering the challenges of the February earthquake in the vicinity of the company operations in the Highlands region.

“The first results were the most challenging in Oil Search operation history because of the earthquake. Given that US$79.2 million profit was made in the first half represents credible achievement.”

OSL update on exploration, appraisal drilling

In its exploration and appraisal drilling update for June 2018, OSL says the objective is to constrain the resource in the field and assist in selecting the optimal commercialization pathway.

OSL says the Barikewa 3 appraisal well follows the successful Kimu 2 appraisal well in PRL 8 Forelands.

The Kimu 2 Well reached a total depth in late May 2018 and proved up an extension of the Kimu gas reservoir.

 

Petroleum Minister calls on Oil Search not to shift blame

He was responding to a report in the Australian Financial Review which quoted Oil Search chairman Rick Lee who said that the PNG government was responsible for the payment of benefits from the PNG LNG venture.

Minister Pok called on Oil Search to clearly indicate the exact amounts in the different benefit streams, and provide the names of beneficiaries of the estimated K14 billion being paid in Royalties, Levies, Tax and Equity as disclosed by the company.

PNG received K14bn from PNG LNG: OSL

The country has received K14 billion in revenue, with K3.9 billion paid to the state and landowner entities in royalties, development levies and equity payments.

Managing Director, Peter Botten, said landowner benefits of K708 million is held in trust waiting for the completion of landowner identification process.

Botten also said of the 15 licences covering PNG LNG Project areas, 12 are either receiving (Plant Site LOs) or close to receiving benefits. Three are held up by the courts.