​Petromin in discussions with Kumul Holdings to effect transfer

Petromin PNG Holdings Limited and Kumul Petroleum Holdings Limited have been in discussions to effect the transfer of Petromin’s oil and gas assets to KPHL.

The transfer is consistent with the State’s broader Kumul Consolidation Agenda and the requirements of the KPHL Act.

KPHL is mandated under the Kumul Petroleum Holdings Limited Authorisation Act 2015 (KPHL Act) as the sole nominee of the State to acquire, hold and manage the State’s oil and gas interests and assets in PNG and to carry on business as any other commercial entity in the oil and gas sector would.

KPHL managing director Wapu Sonk said: “The terms of the transfer have been settled and today (June 30)  marks the milestone whereby KPHL, acting through its 100 percent owned subsidiary, Kumul Petroleum (Development) Limited, will enter into a share sale Agreement to purchase from Petromin all the issued shares in Eda Oil Limited.”

According to Petromin managing director Thomas Abe, Eda Oil Limited is a wholly owned subsidiary of Petromin.

“It holds a 20.5 percent interest in PDL5, a 11.275 percent interest in the Moran Unit Facilities under the Moran Unit Operating Agreement and a consequent 0.203709 percent interest in the PNG LNG Project from its share of the PDL5 gas contributed under the unitised PNG LNG Project,” Abe said.

Upon acquisition of Eda Oil Limited, KPHL will become a participant in PDL 5 (Moran) and increase its interest in the PNG LNG Project by 0.203709 percent.

The transfer of Petromin’s oil and gas interests is in line with the State’s agenda to consolidate, manage and grow the long term value of its mineral and petroleum related investments as well as other utility businesses interests.

This transfer agreement marks the last step and once again, a milestone in the Government’s Kumul Consolidation Agenda Policy.

(Picture: KPHL)

 

 

 

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Press Release