Oil Search share sale

“The forced sale means the Prime Minister has now admitted that he made a serious mistake,” says Kua.

“Right from the word ‘go’, the State had a statutory right to buy direct into the Elk/Antelope Gas project. It did not have to enter that project indirectly through Oil Search. 

“The Prime Minister was advised of this and he knew it. Also there was no commercial case made out in indirectly through Oil Search Ltd and the Prime Minister was also advised of it.

Sir Mekere Morauta believes the total cost to the people of Papua New Guinea is likely to be more than K1 billion, while the Kumul Petroleum Holdings Limited (KPHL) Board said State lost over K760 million (US$254 million) after the approved sale.

“We always knew that this deal between the Prime Minister, Oil Search and Union Bank of Switzerland was a bad deal, a bad investment and a bad use of public money,” he said. “But we never knew it would be this bad.