ExxonMobil signed agreement with Papua New Guinea for development of the P’nyang project

Port Moresby, February 22 - Neftegaz.RU. ExxonMobil´s subsidiary Esso PNG P’nyang Limited, Ampolex Limited and the Independent State of Papua New Guinea have signed the P’nyang project gas agreement for the proposed development of the P’nyang LNG project.

The P’nyang field is located within Petroleum Retention License 3, which covers 425 sq.km.
Esso PNG P’nyang Limited operates the license and, together with Ampolex (Papua New Guinea) Limited, has a 49 % interest.
Affiliates of Santos and JX Nippon have a 38.5 % interest and 12.5 % interest respectively.

ExxonMobil-operated P’nyang project would link new upstream facilities in Western Province to existing infrastructure
Subject to a final investment decision by the P’nyang project co-venturers, the ExxonMobil-operated P’nyang project would deliver LNG by constructing new upstream facilities in Western Province linked to existing infrastructure.

Liam Mallon, president of ExxonMobil Upstream Oil & Gas, said:

• On behalf of ExxonMobil and the other co-venturers, I thank the PNG national government along with the government of Western Province for their partnership in moving the P’nyang project forward
• The P’nyang project gas agreement marks a significant milestone and underscores the intent of all stakeholders to set a clear framework toward the P’nyang project’s future development

The P’nyang project would provide about 4 years of additional construction activity after Papua LNG and drive economic benefits for the country and participating provinces.
Upon completion, P’nyang would make available up to 5% of gas produced to Western Province or another agreed location to support the government’s electrification efforts.