O'Neill New Negotiating Teams = Photo Ops

[Tree]

Mr O’Neill said Cabinet had approved the establishment of the bureaucratic negotiation team to be headed by the Secretary for Petroleum and Energy and comprising departments of Treasury, Justice and State nominee Petromin, to negotiate the terms of the 50-50 proposal and report to Cabinet, through the Ministerial Gas Committee by November 30, 2012.He said given the importance of the project, Cabinet approved the establishment of the Ministerial Gas Committee headed by Minister for Petroleum and Energy and comprising key economic Ministers, including Minister for Treasury, Minister for Trade and Industry, Minister for Planning, Minister for labour and Employment and Minister for Environment and Conservation to fast-track the commercialisation of the country’s second LNG.

In real PNG with real work to do it would take all these people 5 yrs. to do what they have 14 days to pull off.

O'Neill wants Gulf LNG deal done by YE.  O'Neill wants Gulf LNG deal done by early December, enough so that he can tout it at the conference in Sydney that he and Henry are addressing Dec. 2 - Dec. 5.   http://www.pnginvestment.com/index.php/program/.

O'Neill and his boys are now positioning themselves to take full credit as the politicians that 'completed the long, much delayed and controversial  Gulf LNG deal'.  Just look above at what O'Neill has established and ordered a resolution by Nov. 30.  The biggest job for these guys is to figure out where to stand at the coming photo op.  These bodies are not doing any negotiating or DD, they just want to part of the symbolic process for the next couple of weeks.

It took months for PNG to sign off on the no-brainer refinery loan, does anyone really think these committees have real work to pull together in 14 days?    Me say the deal is basically all done between PNG and IOC and these new commitees are just self engrandizement opportunities.    IOC is free now to solicit final bids and choose SD partner, operator and scheme.

This could all happen quickly.

Mr O’Neill said Cabinet had approved the establishment of the bureaucratic negotiation team to be headed by the Secretary for Petroleum and Energy and comprising departments of Treasury, Justice and State nominee Petromin, to negotiate the terms of the 50-50 proposal and report to Cabinet, through the Ministerial Gas Committee by November 30, 2012.He said given the importance of the project, Cabinet approved the establishment of the Ministerial Gas Committee headed by Minister for Petroleum and Energy and comprising key economic Ministers, including Minister for Treasury, Minister for Trade and Industry, Minister for Planning, Minister for labour and Employment and Minister for Environment and Conservation to fast-track the commercialisation of the country’s second LNG.

[Putncalls]

I guess the market is waiting to find out the definition of "50 50"?

[TxPm]

Tree do you think we will have the SD complete by then as well? I noticed Phil is also presenting. One thing I think is interesting is that currently the Liquid Niugini site is currently "Down for construction". I would think that since Henry is the one giving the speech the site would be updated by then which means we will know something before then

[Tree]

Tree do you think we will have the SD complete by then as well? I noticed Phil is also presenting. One thing I think is interesting is that currently the Liquid Niugini site is currently "Down for construction". I would think that since Henry is the one giving the speech the site would be updated by then which means we will know something before then

Hey Tx, SD completion by then? No.  Naming of JV configurations and players?  Wouldn't be a surprise.  5 JV's need to be bottom-lined and all are mutually dependent.  The LNG facility gets all the publicity and when it is announced the other JV's with financing should be ready too.  EWC is the scheme to beat, is FID ready and if chosen will be the quickest resolution.

Operator selection is the biggie. These plants and agreements will be in operation longer than IOC's management team and most of us will be alive.   PNG and all current and future investors, dry gas purchasers and LNG OTrs need assurance of an LT stable operator will be driving the production and delivering the products and $ for decades.

LNGL website has been under construction since election time.  It will be updated with final production scheme, only when that is chosen.  IOC rightly dropped the displayed production scheme as other options were in play too.  Can't be  cocky with PNG officials by posting a scheme not yet approved and saying all parties are compromising at the same time.

O'Neill said 'We're Getting Going' in that PR.

[Tree]

Logic says if PNG is committed to buy up to an additional 27.5% of E/A PRL15 matching commercial rates of other buyers, then PNG has a darn good idea how much $/M those other buyers are willing to spend.
The SD may come quite quickly. It will give something for Duma/O'Neill to crow about at the conference in a couple of weeks.

[admin]

Logic says if PNG is committed to buy up to an additional 27.5% of E/A PRL15 matching commercial rates of other buyers, then PNG has a darn good idea how much $/M those other buyers are willing to spend. The SD may come quite quickly. It will give something for Duma/O'Neill to crow about at the conference in a couple of weeks.

Yes, as well as having a darn good idea what to do with it and how to pay for it..