07-22-2016, 04:53 AM
Oilsearch reports the following:
"The P’nyang gas field, located 120 kilometres north-west of Hides in the Western Province, was discovered in 1990. Appraisal activities on the field, including drilling in 2012 and the acquisition of seismic data in 2013, has identified potential material gas resource upside above Oil Search’s current 2C estimates of 2.6 tcf. Further appraisal drilling is planned on the field in 2016, which will help quantify the potential proved (1C) and proved and probable (2C) contingent resource upside.In January 2015, a significant milestone was reached, when ExxonMobil PNG Limited, as operator of the PNG LNG Project and PRL 3, signed a Memorandum of Understanding (MoU) with the PNG Government regarding the development of P’nyang to support PNG LNG Project expansion (including debottlenecking of existing trains and a potential third LNG train) and for domestic power generation. The MoU also provided for the award of a petroleum development licence (PDL) and associated pipeline licences for the P’nyang field.
The MoU includes an agreed timeline for the development of P’nyang, with a final investment decision for the potential construction of a third train at PNG LNG, underpinned by gas from P’nyang, targeted for 2017.
PRL 3 participants
| ExxonMobil PNG Limited (operator) | 49.0% |
| Oil Search | 38.5% |
| JX Nippon |
12.5% |
"
My conclusion is that Oilsearch and Exxon decided that they will stop the further development of the P'nyang field and therefore are interested to takeover IOC but a bidding war is not in the interest of both companies. Total has no problem as long as they can participate in the PNG LNG project. I would not be surprised if XOM made a deal with Total for this.
Considering the fact that the XOM bid is only marginal better I will be a no voter.
