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PNG and ExxonMobil to discuss revisions to P’Nyang gas agreement

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According to Reuters, the Papua New Guinea Minister for Petroleum, Kerenga Kua, has said that the country is set to begin talks with Exxon Mobil Corp. to try and negotiate better terms from the P’Nyang Gas Project.

According to Reuters, the attempt by the PNG Government to obtain more benefits from the project is part of a wider effort to extract more benefits from the country’s mineral and petroleum resources. This, the government claims, will help to lift the country out of poverty.

The project will reportedly help to feed an expansion of ExxonMobil’s PNG LNG plant. If all goes well, the Minister claims an agreement can be expected by around the end of November 2019.

According to Reuters, discussions over the project were initially put on hold earlier this year, as the government looked to revise a separate LNG agreement it has with Total, in which Exxon is also involved. Reuters reports that this deal was finally endorsed in early September, with minor concessions from Total.

Kua had earlier told Reuters that the country would look for “far better” terms for P’Nyang than those with Total.

Read the article online at: https://www.lngindustry.com/liquefaction/18112019/png-and-exxonmobil-to-discuss-revisions-to-pnyang-gas-agreement/

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