NEC to debate EA IOC project

[Palm]

Hot off the Press:
"Cabinet to debate on InterOil Elk and Antelope LNG project

By PATRICK TALU

THE National Executive Council will be deliberating on the InterOil led Elk/Antelope LNG project in the Gulf Province.
Prime Minister Peter O’Neill said InterOil and the government have an agreement for the project but the project has been delayed promoting the NEC to decide and take action on the project.
“Cabinet will debate on that. InterOil has an agreement with the State on the project,” the Prime Minister told reporters yesterday while asked to comment on his Governments position on the Elk/Antelope project undertaken by InterOil and its proposed partners in Mitsui and Enegry Wold Corporation.
Last year, InterOil announced that it will complete its Final Investment Decision by November, however it has been deferred to this month after the Minister for Petroleum and Energy William Duma went loggerheads with Interoil over proposed change of its intial plan to develop the project.
We sent several text messages and emails to Mr Duma to comment on his position as the minister responsiblebut he did not respond.
However, Gulf Governor Havila Kavo yesterday alleged that certain ministers in the current government have vested interest in the project and strongly opposed InterOil.
“Certain ministers have vested interest in the project and are trying to lobby for another developer,” he told this reporter at the Parliament corridors yesterday. He said he will present a report on the project at the Parliament today.
InterOil this week announced it has entered into agreements to extend the dates by which certain conditions are to be met and FID made in LNG project agreements with Mitsui until June 30, 2012, and Energy World Corp Ltd (EWC) until December. The Joint Venture Operating Agreement (JVOA) for the Company's proposed Condensate Stripping Plant (CSP) with Mitsui & Co., Ltd. (Mitsui), and associated agreements, have been amended so that the time allowed for FID has been extended until June.
The company said the parties contemplate additional amendments to further extend the JVOA and associated agreements to allow for FID to December 31, 2012, if such extension proves necessary.
The JVOA sets out the rights and obligations of the participants of the joint venture to develop a CSP at InterOil's Elk and Antelope field sites.
The terms of the conditional Project Funding and Construction Agreement (PFCA) and Shareholder Agreement entered into in February 2011 with EWC governing the parameters in respect of the development, construction, financing and operation of a planned three million tonne per annum (mtpa) land-based liquefied natural gas (LNG) plant in the Gulf have been amended so that the date by which conditions are to be met and FID reached has been extended until December 2012."

[Tree]

link??
HoHoHo.
Who woulda thunk??

[Palm]

Interesting comment that Kavo makes; a couple of ministers have "interests" in the project and want another operator. Couldn't be a reason for those groups in the Gulf that say they have major questions/concerns with IOC. The last we heard was that this would not go to NEC unless they felt sure there is support for approval. 3 days left in this final sitting of Parliament before elections.

[jake990037]

http://www.postcourier.com.pg/20120404/wehome.htm

[Stavros]

Politics are quite opaque in the World in general, and even more so in PNG.

Bringing the IOC Project to an open hearing/ vote by Pariament could be Mr. Kavo's last attempt to publicly expose the “Certain ministers (who) have vested interest in the project and are trying to lobby for another developer.” Those exposed would then lose big time votes in the election.

I suspect he and Mr. O'Neill must be confident of a "Yea Vote" otherwise they'd wait.

[Palm]

Here is direct link if needed:
http://www.postcourier.com.pg/20120404/business03.htm

Mac can't copy it properly. Went to PC to get this. Mac is great for many things, but not everything

[Palm]

Agree Stavros. With only 13 out of 109 showing up in parliament for today's session NEC might not have enough for quarum. O'Neill can say he tried, then take action after Apr 27 when writ is filed. We'll see how this goes.

[Tusker]

So - perhaps we await what the IB's and the sovereign consortium want to hear.

"Confirmation"

The chess pieces moved one square.

[Palm]

Kind of interesting/funny; here is the article from today's PC News section on the few MPs that showed up for Parliament's session. Almost like the "Hello? Hello?" jokes

"13 out of 109 MPs attend sitting

By Simon Eroro

Parliament Speaker Jeffery Nape walks into the chamber behind the mace barrier, carrying the mace and looks around the House before taking his chair.
His face looks somewhat not impressed with the attendance in Parliament for what could be the last sitting before Parliament rise for the 2012 National Election.
Mr Nape while looking around the room may have counted those present - only 13 Members of Parliament were present before he walked in to take his chair.
Without asking the Clerk of Parliament to count those MPs present, he announced that there was no quorum.
“Attendants please ring the bells,” he says. After giving this instruction from his chair, he rose and walked into the Speakers Chamber.
This was the scenario on the floor of Parliament yesterday when the country was expecting their leaders to make some important decisions before Parliament rose for elections.
After the bells stopped ringing, the Speaker re-entered the chamber and took his chair.
Although more MPs entered the floor, his facial impression which we could tell from the media gallery was not impressed.
Having realised he had no quorum, he again proceeded with the process to adjourn Sitting to today at 10am.
Few minutes after we stepped out a big number of MPs and Ministers came out of the State Function Room from the C-Wing of the Parliament House.
Deputy Speaker Francis Marus interviewed said most of the MPs spent their break in their electorates and were returning to Port Moresby to attend the last Parliament Sitting but most may have been affected by flight schedule delays.
Mr Marus said hopefully this morning would be alright and that the session should have no further adjournments so critical issues facing the country can be discussed before the MPs go back to face their people."

[Ass0ciatedPress]

All very interesting. One step closer w/o two steps back. Get ready gentlemen the fun may about to begin.