'We are in discussions as confirmed by Shell CEO and CFO'

[Tree]

Source schmource.  Read Phil's lips.

InterOil shuts out Shell: source

Blair Price Monday, 13 August 2012 ROYAL Dutch Shell has no access to InterOil’s data room for any possible deal over its Gulf LNG project in Papua New Guinea according to a source. But InterOil maintains that discussions are continuing. Shell chief financial officer Simon Henry recently revealed that discussions with InterOil had occurred over “quite some period of time”. But he also stressed the importance of how any proposal must “compete with other LNG options”.  In light of the recent press coverage of the talks between Shell and InterOil, an industry source provided some more context.  “The whole process is stalled,” he told PNGIndustryNews.net.  “At the end of the day we haven’t been in the data room and we’re not in an ongoing discussion.  “It’s very difficult to have an interest in the asset that the licence holder [InterOil] doesn’t want to talk to you about.” On InterOil’s Elk-Antelope discoveries which underpin Gulf LNG, the source believes the industry consensus estimate of its resources is about 5 trillion cubic feet of gas.  Given the remoteness of the project area in Gulf province, the source said any development is not going to be cheap. InterOil chief executive officer Phil Mulacek responded to the source’s claims by referring to the revelations already made by senior Shell executives.  “We are in discussions, as confirmed by the Shell CEO [Peter Voser] and CFO [Henry],” he told PNGIndustryNews.net.  Petroleum and Energy Minister William Duma has previously supported Shell as a candidate to become the internationally-recognised operator of Gulf LNG as required by InterOil’s project agreement with the government struck in late 2009.  Duma has threatened to terminate this project agreement. His deadline for honouring the world class LNG operator requirement is November 28.  But it is still unclear if the PNG government will go ahead with such a move, especially as recently re-elected Prime Minister Peter O’Neill has made public statements in support of InterOil.  In response to Duma’s first wave of criticism last year, InterOil started a formal process run by three investment banks to bring in a suitable LNG operator and this has been ongoing since October. As of last year, the Gulf LNG project was targeting 5 million tonnes per annum in 2014, with 3MMtpa from an Energy World Corporation-designed onshore modular LNG plant in Gulf province and the rest from a floating LNG facility.  There is also a proposed ramp-up aiming to hit up to 8MMtpa from the total project through 2015 and 2016. Back in 2009, the project was based on a 7.6-10.6MMtpa LNG plant near Port Moresby.

[Palm]

Hohoho Tree looks like OE week games have begun. Isn't it amusing that the one claiming no access is only named as a "source" yet Phil is named as responding? In other words little has changed in PNG. There is "someone" or several "someones" that is/are still feeding the PNG press garbage to try and harm IOC's pps. Now who was it last year that made these same claims of Shell not having access to the data room?

[jft310]

Suppose Shell is denied. Maybe IOC prefers a deal with Exxon.??Exxon needs IOC for NG assets to feed its plant and IOC needs the plans for PNGPNG moved to Gulf and those 8000 workers to build their plant. Two news events this week. One Enercom may have drilling results. Two the earnings call will have a deal update section. That info further cooks the shorts .Who is this new buyer?? He's big and not scared to add lots of stock here in the low $90's. Templeton if thats the buyer is not a trader but a long term holder of shares who knows how to make tax advantaged gains.

[Tree]

Palmft310,
If Phil is correctly quoted the 'pole cat is outta the bag'. Article says Phil was responding to Spiekerman's source. IOC earlier could not be reached for further comment after Shell CEO/CFO contcted a reporter to tell the world they were in discussions with ennerOle. Phil should be elaborating on discussions in tomorrow morning CC.

[Tree]

Hey JFT,
philstar.com requested I bump this oldie.
Guess, they did sign CA's maybe.