Exxon restarts talks for Papua New Guinea gas project
PORT MORESBY, August 23, 2021 – ExxonMobil and Papua New Guinea’s government have restarted talks on a proposed USD 13-billion expansion of LNG exports by developing the P’nyang gasfield, the two parties announced on Friday.
The gasfield in the north-west highlands is expected to contain 125 bcm (4.4 tcf), according to joint venture partner Santos. The project is targeting gas production of 21.2 mcm (750 mcf) per day.
Santos has a 38.51% share in the project through its recently acquired Oil Search.
In 2019, talks broke down on the project with the government saying that ExxonMobil was not negotiating on favourable terms.
“A series of workshops regarding the development of the P’nyang gasfields will take place over the next couple of weeks and if all goes well, we can expect to sign a P’nyang heads of agreement around the end of this next month and a gas agreement thereafter,” said Kerenga Kua, Papua New Guinea’s minister for petroleum.