Kina plans for tight times

KINA Petroleum plans to remain a “lean and efficient operator” of its oil and gas projects in 2015 in light of weak oil prices. “Kina accepts the prevailing consensus that the oil price will remain relatively low in 2015 but will build again through 2016-2017,” the company said in a quarterly report released in January. “Kina is addressing its development and exploration opportunities in view of this pricing scenario and

ExxonMobil signs power supply deal

EXXONMOBIL PNG will provide gas from the PNG LNG project for electricity generation in Port Moresby under a memorandum of understanding (MOU) which will also see a petroleum development licence issued for PRL 3. Under a timeline established in the MOU, signed with the Papua New Guinean government, a final investment decision on a third LNG train is to be taken by the end of the 2017 calendar year at

Papua carrier arrives at PNG LNG project

THE FIRST liquefied natural gas carrier custom-built for the Papua New Guinea LNG project fleet arrived at the project’s marine facilities on 22 February, in preparation for the first LNG cargo from the project. Built by China’s Hudong-Zhonghua Shipping Group at its Hudong Shipyard, the vessel, known as the Papua, is the largest of its type ever built in China. The 290 metre vessel, which can carry about 172,000 cubic

PNG looks to Asia as a financial hub

By Jason Kaut PAPUA New Guinea is a ‘multispeed economy’ underpinned by a thriving natural resources sector. This was the description given by Westpac Bank PNG’s General Manager Geoff Toone when asked about the bank’s focus on the resources sector for 2015 and beyond in PNG. “Westpac PNG is focused on increasing its participation in PNG’s natural resources sector, Mr Toone said. PNG’s geographical proximity to Asia, its abundance of

Santos production at seven-year high on back of PNG LNG

INCREASING production from the PNG-LNG project has helped Santos to record its highest quarterly production in seven years. Santos managing director and chief executive David Knox said the successful acceleration of the PNG LNG project had driven the company’s highest quarterly production result since 2007. The company announced in October production of 14 million barrels of oil equivalent (mmboe) for the September quarter – up nine per cent on the

Oil Search rides PNG LNG wave to record-breaking results

OIL SEARCH has celebrated a huge uplift in production on the back of the full first full quarter of contributions from the PNG LNG project, with the company lifting output by 81 per cent and netting its highest-ever revenue for the quarter. Oil Search’s total oil and gas production in the September quarter was 6.67 million barrels of oil equivalent (mmboe) – an all-time high for the company and nearly

Total bosses visit PNG to talk Elk-Antelope

TOTAL executives, including vice president Arnaud Breuillac, visited Papua New Guinea in early October to reconfirm their commitment to moving forward the Elk-Antelope LNG project. The Total executives were met by Prime Minister Peter O’Neill, who expressed his appreciation that the Elk-Antelope project was on track. He said the revised sales and purchase agreement between InterOil and Total in March this year paved the way for Total to bring its

Oil Search targeting doubling of LNG trains

OIL SEARCH has targeted the addition of up to three more trains on the PNG LNG project as it investigates the potential to more than double production by 2022. The company will look to reduce bottlenecks at the project with at least two new trains and said “moderate drilling success” at current exploration and appraisal targets may lead to the commissioning of a third. Chief executive Peter Botten said if

Industry rallies to fight downturn

THE OIL PRICE plunge and sustained weak commodity prices were not enough to take the sheen off the 13th PNG Mining and Petroleum Investment Conference, held in Sydney from 1-3 December. PNG LNG took centre stage on the opening day as outgoing ExxonMobil PNG managing director Peter Graham reflected on the triumph of the country’s first large-scale LNG project. Nautilus’ presentation on its ground-breaking undersea mining operation drew great curiosity,