Gulf stance remains

[maui4marko]

Southern Region

Monday 05th August 2013

Gulf stance remains

Gulf Provincial Government’s position on Gulf Liquefied Natural Gas project remains unchanged – that all its gas resources from the Elk and Antelope gas fields at Baimuru must be processed in the province and nowhere else.

The Gulf Government maintained its stance on Wednesday after its leaders met with Petroleum and Energy Minister William Duma in Port Moresby.

The same message was delivered to InterOil Vice President Isikeli Taureka and his management team in Port Moresby last week.

Gulf Governor Havila Kavo, Kikori MP and Minister for Labour and Industrial Relations Mark Maipakai and Kerema MP Richard Mendani stated this to Mr Duma and the State’s negotiating team yesterday in Port Moresby.

The Gulf leaders said they were adamant that the Gulf LNG processing plant must be developed at Kerema Bay in Gulf Province and that their ‘No Pipeline Policy’ for the province’s gas and oil resources stand.

The State was told if Inter Oil/Liquid Niugini Gas Ltd and Exxon Mobil are not prepared to develop the country’s second LNG Project then the State must find a new developer.

They said InterOil had failed to honour its commitments to the project and also failed to honour the Memorandum of Agreement it signed with the State in December 2009 by failing to make a Final Investment Decision (FID) by June 24, 2013. InterOil and LNGL were the development partners under the 2009 agreement with the State and Gulf Government to develop the gas reserves.

The partners have since brought in Exxon Mobil as a developer.

At a joint meeting of the Gulf working committee and the State negotiating team on June 20 – four days before InterOil’s FID deadline – the Gulf Province’s position was discussed as a non-negotiable position.

InterOil has been given 180 days by the State to show cause their interest to develop the gas reserves and they have until the end of the year, if they fail then the State will terminate its MoA and look for a new developer.

[SeKreet]

How powerfull is Gulf Governance? Do they have veto power in the IOC/XOM deal?

Or  is this just a means for the Gulf leaders to get more out the deal for them? Just politics?

[jft310]

Another article talks about a cabinet shuffle. Duma should be concerned. Gulf can't veto the IOC/Exxon deal. O'Neil announced the Exxon deal and Parliament gave him a standing ovation.Those are the ones that count . Let's not forget about Triceratops and IOC's dream of Gulf LNG and look at the EWC stock price. IOC sufficient NG for Exxon and for Gulf LNG.

[Tree]

Another article talks about a cabinet shuffle. Duma should be concerned. Gulf can't veto the IOC/Exxon deal. O'Neil announced the Exxon deal and Parliament gave him a standing ovation.Those are the ones that count . Let's not forget about Triceratops and IOC's dream of Gulf LNG and look at the EWC stock price. IOC sufficient NG for Exxon and for Gulf LNG.

Thanks JFT for your, as usual, informative posting.

Thanks JFT for your, as usual, informative posting.

[ArtM72]

Duma is the guy that screwed up IOC's first Gulf LNG plan saying it had to be built in NapaNapa. Now he's over arguing the reverse.

ONeil was just quoted as saying the PNG LNG will likely be 5 trains with one supplied by E/A. That means Gulf LNG will be built. Why Dumas is screwing things up is anybody's guess, but he certainly is now playing Kavo like a fiddle.

[jft310]

Since when do provinces tell the State what to do????This is country PNG is a Parliamentary democracy.
Article was in The National. Who paid to insert this story???Shell maybe??