All Quiet on 50:50 Gulf LNG

[Tree]

Well, not for long perhaps.

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All quiet on 50:50 Gulf LNG front

Blair Price Monday, 22 April 2013 THE status of the Papua New Guinean government’s previously announced plans to lift its stake to half of InterOil’s Elk-Antelope field remains unclear. Prime Minister Peter O'Neill. Photo by Michael Cairnduff. While a government-acceptable LNG player to operate the field still needs to be determined, Cabinet conditionally approved the 50:50 Gulf LNG project in November, which was based on the government acquiring an additional 27.5% stake of InterOil’s Gulf LNG project acreage.  How it would come about was not made clear at the time. In recent weeks sources have confirmed toPNGIndustryNews.net that the government has gone quiet on the matter.  InterOil chief financial officer Collin Visaggio did not reveal much when asked whether the 50:50 Gulf LNG project, as discussed by Prime Minister Peter O’Neill last year, still existed.  “We are working with the government on what is the best outcome for all stakeholders,” Visaggio said.  There are various rumours coming out of Port Moresby over past weeks, including that InterOil chief executive officer Phil Mulacek and key InterOil shareholder Carlo Civelli had their own meeting with O’Neill last month. On which InterOil executive is leading the strategic partner hunt discussions, Visaggio revealed there were a lot of parties involved.  “Closure is being managed by the [three] investment banks and supported by the company, directors and management,” he said.  “There are a number of InterOil executives and directors involved in this process.” He did not deny that Mulacek and Civelli met with O’Neill in March either.  “We are always in PNG and maintain good relationships with the prime minister and other ministers,” he said.  “We supply the nation with fuel and meetings will always occur with a number of InterOil management, board of directors with PNG ministers and the prime minister at various times.” While another rumour suggests that at least one InterOil executive wants the company to remain as an upstream operator of Elk-Antelope once the strategic partner is selected, the CFO did not wish to speculate.  “The negotiations on the bid closure are confidential and there are of course many rumours circulating,” Visaggio said.

[Palm]

Gotta love these reporters. Even if there is no news, create it. Surprised he didn't drum up the "industry source" to get something in the story of substance.

What part of "We will only release information as we are legally obligated" don't people understand?

[Tree]

Gotta love these reporters. Even if there is no news, create it. Surprised he didn't drum up the "industry source" to get something in the story of substance. What part of "We will only release information as we are legally obligated" don't people understand?

"He did not deny that Mulacek and Civelli met with O’Neill in March either." Between Phil and Carlo they personally own ~40% E/A.  Add the Gov't stake of 22.5% that's 62.5%.  What these 3 want is what we get.

"He did not deny that Mulacek and Civelli met with O’Neill in March either." Between Phil and Carlo they personally own ~40% E/A.  Add the Gov't stake of 22.5% that's 62.5%.  What these 3 want is what we get.

[Tree]

..."While another rumour suggests that at least one InterOil executive wants the company to remain as an upstream operator of Elk-Antelope once the strategic partner is selected, the CFO did not wish to speculate."...


Think this topic came up in the rumored meeting of Phil, Carlo and O'Neill. If upstream operatorship benefits IOC it benefit's PNG too.

[cybersssss]

Hmmmm...

Do you think this has something to do with the recent safety and drilling training in PNG? Something to think about.

That being said, I believe this has more to do with triceratops then with E/A. If a supermajor is involved I do not think they will give up the upstream portion.

[Tree]

..."While another rumour suggests that at least one InterOil executive wants the company to remain as an upstream operator of Elk-Antelope once the strategic partner is selected, the CFO did not wish to speculate."... 

Guess there was and is no doubt which IOC Exec this was.