PNG LNG Project

OSL production dips in 1st quarter

This drop is reflected in the shut in of Oil Search-operated production and the PNG LNG Project following the 7.5 magnitude earthquake that struck the PNG Highlands on 26 February 2018.

Oil Search has now revised its 2018 production guidance to 23 – 26 mmboe, while unit production costs are expected to be in the range of US$10.50 – 13.50 per boe and depreciation and amortisation charges are forecast to be between US$12 and US$13 per boe. Capital cost guidance has been reduced to US$425 – 520 million.

Hides LOs want K35 million

Hides PDL 1 landowners from Southern Highlands said this should be part of the Government’s resumption of the Landowner Beneficiary Identification (LOBID), which was announced on Tuesday.

The landowners said the promise of being paid the compensation has seen them incur huge costs in the capital city.

The landowners say they have yet to receive the K35 million promised to them in August 2016 by the former Minister for Petroleum and Energy, Nixon Duban.

K60b in taxes from PNG LNG Project

The PNG Extractive Industries Transparency Initiative (EITI) 2014 Report states that the 30 year lifespan of the PNG LNG Project will contribute K67 billion in taxes in addition to dividends from its equity in the Project.

The Government has 16.8 percent stake in the PNG LNG project, managed by Kumul Petroleum Holdings Limited (KPHL), of which 2.8 percent is managed by the Mineral Resource Development Company on behalf of the landowners.  

Local firm must replace ExxonMobil: Potape

Speaking during the sponsorship announcement of the Hela Wigmen by Kumul Petroleum Holdings Limited (KPHL) and the Hela Provincial Government, Potape reiterated the sentiment he made eight years ago.

He said this when commending KPHL and Managing Director, Wapu Sonk, for its support to the rugby league club.

“I made this speech in Kokopo when we signed the UBSA that one day a Papua New Guinea firm must take the place of ExxonMobil.

Western pipeline to increase revenue

Horizon Oil Chief Executive Officer, Brent Emmett (Pictured), said during the Petroleum and Energy Summit in Port Moresby that the potential income can be generated through the proposed Western Pipeline.

Horizon Oil and Repsol both own a 66 per cent stake in the appraised Western Foreland fields commercialisation project in the province and have in place a road map for the delivery of a ‘Western LNG’ pipeline.

​ Total working on impurity to gas

Speaking at the Petroleum ad Energy Summit in Port Moresby recently, Total PNG CEO, Philippe Blanchard, said this was one of the major challenges they currently faced.

Blanchard said he was depending on the joint venture partnerships of the Papua LNG Project to address the issue.

New sports infrastructure for Hela School

Operator of the PNG LNG Project, ExxonMobil PNG Limited, handed over the improved basketball court in February to Juni Primary School.

In partnership with the Basketball Federation of Papua New Guinea (BFPNG), ExxonMobil PNG initiated a youth empowerment program that incorporates both life-skills training and Olympic values awareness, using basketball as the medium.

Total to focuses on gas power by 2020

The venture will see the company provide gas power and renewable energy during the lifespan of the Papua LNG project which is anticipated to begin construction next year.

Total PNG CEO, Philippe Blanchard, said during the Petroleum and Energy Summit in Port Moresby that the company has been preparing for this with the establishment of the company’s ‘gas power and renewables’ arm.

“The ambition of the company through that fourth branch is to be able to within 20 years have 20 per cent of its business coming from gas power and renewables.

Hela school sees renovation of classroom

In partnership with the Evangelical Church of PNG and the local community, the full maintenance of a double classroom for Grade five and six students was carried out. Complementing the improved learning environment was the supply of 40 new desks.

The refurbishment of the double classroom is part of ExxonMobil PNG’s commitment to assisting upgrade in schools in PNG LNG project area communities.

Oil Search announces record oil and gas production in 2016

Releasing the company’s full year results for 2016, Managing Director Peter Botten said the strong results were achieved on the back of an excellent performance from the PNG LNG project.

“The increase was driven by an excellent performance from the PNG LNG Project, which produced at an average rate of 7.9 million tonnes per annum (MTPA) during the year, compared to nameplate capacity of 6.9 MTPA.’’