InterOil names ex-Woodside exec for key PNG appointment
FORMER Woodside Petroleum executive Michael Hession has been named new chief executive of Canada's Papua New Guinea-focused oil and gas company InterOil.
The appointment of Mr Hession, who was the executive in charge of the controversial Browse LNG project that Woodside has now decided not to build onshore near Broome, comes as Interoil holds talks with Exxon Mobil to develop onshore gas fields in Papua New Guinea.
InterOil, which is a $US3 billion company, is bringing in the big company experience of Mr Hession, a former BP employee with Irish and Australian citizenship, to advance its attempts to work out a deal to develop the big Elk and Antelope fields in PNG.
Exxon has said the gas fields could be used to expand the $US19bn PNG LNG plant it is constructing with Oil Search and Santos as minority partners.
In a message to Exxon that InterOil is not locked into a deal with them, Mr Hession flagged that negotiations on the fields would not tie them to the under-construction project.
"The certified resource is sufficient for a multi-train development which could include the PNG LNG facility and/or an LNG facility in the Gulf Province," he said.
"The monetisation of PRL 15 (the licence in which the fields sit) is anticipated to be a transformational event for InterOil."
Mr Hession took the chief executive's job yesterday from Gaylen Byker, who remains chairman. He has not become a director of InterOil.
"Michael has strong commercial ties in the industry and has shown great skill in liaising with partners and governments on complex projects," Mr Byker said. "He brings a wealth of experience across multiple regions in exploration and project development."
As well as its undeveloped gas fields, InterOil owns an oil refinery in PNG and retail and commercial distribution infrastructure.