Papua LNG Project

KPHL managing director, Wapu Sonk when applauding the announcement on March 6, 2023 said the development paves the way for an additional LNG train to be owned by KPHL, unlocking previously inaccessible gas reserves and creating significant value for Papua New Guinea.

He said: “Papua LNG is the country's next large-scale LNG development and will bring many short and long-term benefits to the nation. Kumul Petroleum is ready to take up the State's 22.5% share in the project after FID.”

Mr. Smaré said, “In light of the extremely challenging economic conditions in PNG, the P’nyang and Papua LNG projects, are projects that are desperately needed to be kick-started to kick-start the country’s stagnant economy creating jobs, bringing in foreign exchange and providing opportunities for PNG businesses, particularly SMEs in the impacted areas.”

They are the Papua LNG Project, New Porgera Mine, Wafi-Golpu Mine, P’nyang LNG, Pasca LNG and Pandora LNG.

Marape announced this when responding to the Ministerial Statement by Treasurer Ian Ling-Stuckey on the ‘2020 Final Budget Outcomes (FBO) and 2021 Mid-Year Fiscal and Economic Outlook (MYEFO) and the Way Forward’ on Wednesday.

“We are working very hard, and in just two years, we are discussing Papua to ensure that it takes off, Wafi-Golpu, New Porgera, Pandora, Pasca and P’nyang.

The Chamber says, the country urgently needs to get moving, and to provide economic support to the national economy.

On Friday 20 August, the government tabled, debated, and overwhelmingly passed the Oil and Gas, Papua LNG Project Amendment Bill 2021, 79 votes to 0.

Chamber President, Anthony Smaré said, “The Government’s passage of this important legislative illustrates the sincere commitment from the government of the need to get the Papua LNG Project off the ground.”

The Government tabled, debated, and overwhelmingly passed the Oil and Gas, Papua LNG Project Amendment Bill, 2021 79 votes to 0.

 The Chamber expressed its support of this and said the country urgently needs to get projects moving to provide economic support to the national economy.

Chamber President, Anthony Smare said the Government’s passage of these important legislative changes illustrates the sincere commitment from the government of the need to get the Papua LNG Project off the ground.

Deputy Prime Minister, Sam Basil, met with TOTAL chairman and CEO, Patrick Pouyanné, concerning the Papua LNG project timeline for future investment in Papua New Guinea.

Both men are pleased to announce the remobilisation of the project teams and other required resources to move the project forward.

“With the signing of the Fiscal Stability Agreement, it is clear to both the Government and TOTAL SE. The project is now moving towards a final investment decision with no further delays,” Basil said.

Governor Haiveta said this when urging Prime Minister, James Marape, to protect the interest of Papua New Guinea.

He made this call following the signing of the Fiscal Stability Agreement (FSA) between the National Government and project co-venturers of the Papua LNG Project. 

Gulf Governor, Chris Haiveta, said urged the Government to follow all processes, especially in identifying all landowners, before the Papua LNG construction begins. 

This coincides with the signing of the Fiscal Stability Agreement (FSA) yesterday.

In a statement, Minister Kua said the application for extension was received by the Department of Petroleum from the PRL 15 Joint Venture Partners on February 3^rd and technical reviews followed until February 8^th when the Petroleum Advisory Board (PAB) recommended to the Minister to grant the extension.

Minister Kua said the PRL 15 license has good standing in the last two terms (10 years) and the JV Partners have met work commitments under the license conditions.

Minister Kua said a National Court injunction taken out by the Purari Development Association is preventing Papua LNG Project lead developer Total, from presenting him the Social Mapping and Landowner Identification (SMLI) Report.

Kua said with the signinig of the Fiscal Stability Agreement, they can now focus on addressing the court injunction, and begin working with landowners from both Gulf Province, which hosts Papua LNG, and Central Province.

Treasury Secretary Dairi Vele said this during a recent media conference.

The Treasurer also announced several other components of the fiscal terms of the Papua LNG Project which he said equal or are better than the PNG LNG Project.

“Production levy is just an extra tax, as it comes out of the ground, that’s where we tax you. Unlike the profitability of the company where we have to wait and see if the price is good and if the company has done good and if they paid their debts.