Kerema Town to be Extended

[Palm]

Sensible people are not expecting 2nd LNG to break ground 30 days after an announcement. The important thing is the announcement that it's been approved and is coming. The announcement kicks things off, derisks IOC and puts big wheels in motion. When png LNG was announced it took some time for dirt to turn, but lots was happening and many PRs came out. Momentum changed with the announcement. will2b touched on this in a post in a different thread. Kavo is smiling; an announcement likely will include details of what the 2nd LNG project is; the Gas Agreement

We do know these truths to be self-evident.

XOM subsea pipe is sized to handle 3 trains.

XOM hasn't gas to fill that pipe for expansion plans.

XOM is planning on 4.6+-Ts of E/A gas to back-stop expansion and that gas will max out the pipe.

PRL15 has more than 4.6Ts.

There will be enough gas beyons XOM SPA to support another LNG project, just needs a few more wells to verify.

The $3 billion question is "Where and by whom will the remaining PRL15 and Tri be processed?

$3 billion will be a "down payment" amount by the time they get done with everything over the years. Hohoho. Every time I read Dr Mike's words from the CC I get a little excited. In another thread will2b said at some point the megas will give their final pitches to IOC. Me thinks per Dr Mikes words that those were going on at the time of the CC; "in Singapore". Gotta love Dr Mike's last words here:

"So where are we today? Well, we have offers. We have offers from a number of mega majors, and that believes -- that leads me to believe that we can do this deal by the end of the year. That's the first time that I've gone out and said, and given a timeline as to when we'll do this deal.

The reason I haven't done that before is we were trying to understand the deal. Had to bring in the team to understand the deal. What gives me confidence is the team that I work with have done these things before, and myself and the team believe that we can do this deal by the end of the year.

Where we are at the moment is, we are in parallel negotiations with a number of mega majors. These parallel negotiations are reaching conclusion. I'd say that we're in the home straight. They are ongoing at the moment. They're ongoing at the moment in Singapore, and I'm very confident that the finish line is in sight. We are close.

Now, a major part of this whole process is bringing and working with the Papua New Guinean government. They are integral to the success. We have a degree of responsibility to Papua New Guinea, and that's been part of the process. And I myself, I spend in excess of 50% of my time in Papua New Guinea, working with the stakeholders, taking them through where we are and making sure that those stakeholders are really comfortable with what we're doing.

So for instance, I've spent time with Prime Minister O'Neill, the Minister of Energy Mr. Duma, Governor Kavo, Minister Micah and several other very important stakeholders in the country. We're part of a team here, and you should probably gather the team ethic is quite important to me, and we're part of a team with PNG. So the Papua New Guinean government know where we are. They know how close we are, and they've been extremely supportive. Extremely supportive. I've been very, very pleased about the degree of support I've got from all levels, and that's from the political levels right through to the bureaucracy to the local community sitting within Governor Kavo's domain.

So I'll reiterate once more that the finish line is in sight."

I think Kavo has seen the finish line and he can taste the champagne.