05-10-2012, 01:33 PM
By PATRICK TALU
http://www.postcourier.com.pg/20120510/thhome.htm
AFTER more than two years into the four years construction phase of the PNG LNG Project, it is still unclear what the total volume in trillion cubic feet (tcf) will be extracted and exported in 2014 per annum.
It is also not clear how much tfc each petroleum development licence (PDL) from PDL1 to PDL9 will make up for the total tcf agreed in the May 22 2009 PNG LNG Project agreement with the project developer ExxonMobil, its consortium partners and the State.
Outspoken Hides landowners’ leader Simon Ekanda Tari raised this concern that EHL and the State must make it clear how much tcf has been agreed and how much volume of gas each PDL would contribute to make up the total tcf.
In the PNG LNG Project Agreement between the parties, a total of 10.5 tcf per annum has been locked in for the 30-year period of the project’s lifespan.
However, Esso Highlands Ltd (EHL), ExxonMobil’s subsidiary operator of the K50 billion project says only 9 tcf was agreed to in the project agreement.
One of the stakeholders in the project when asked to clarify and confirm EHL’s position told this reporter in February this year in an interview that it was 10.5 tcf.
Mr Ekanda said it is a serious concern as to how it was changed from the 10.5 tcf agreed on the project agreement to 9 tcf.
When this reporter on several occasion asked EHL to explain what’s happened to the 1.5 tcf, ExxonMobil has been tightlipped on it.
EHL lead media and communication advisor Rebecca Arnold told reporters at a site tour recently that only 9 tcf was agreed and not 10.5 tcf.
Minister for Petroleum and Energy William Duma when contacted yesterday for comments said, “if it was 10.5 tcf agreed in the PNG LNG Project Agreement, so be it.”when this reporter on several occasions requested EHL to put on record how much tfc each PLD; Hides PDL1 and 7, Kutubu PDL2, Gobe PDL3 and 4, Moran PDL5 and 6, Angore PDL8 and Juha PDL9 contribute to the total tcf, EHL could not provide any information, telling this reporter that the information was not readily available.
Juha Landowners Association Chairman Hengebe Haluya also expressed concerns saying, “we are still in the dark to know how much gas our gas fields at Juha will contribute.
We have five well heads but don’t know yet how much we are going to contribute. ExxonMobil as the operator of the project should clarify on the conflicting total gas volume. Our benefit is determined on the total gas volume provided and it’s paramount that all stakeholders should know,” the firebrand landowner said.
Mr Duma also told this paper yesterday, “that at the moment the gas volume for Juha and Agore are not yet determined.
If there is any new discovery of more gas, it will trigger a definite review of the agreement as all benefits in royalties, development levies and other benefits will be calculated based on the total tcf,” he said.
Mr Ekanda, who represents the Tuguba Tribes, the so-called custodian of the prophetic ‘gigira laitebo’ from Hides PDL1 and PDL7 where 80 per cent of the LNG will come from asked, “how was the 9 tcf from 10.5tcf? We want to know the truth behind it because of loyalties, government levies and equities are determined by the volumes of gas being commercialised.”
http://www.postcourier.com.pg/20120510/thhome.htm
AFTER more than two years into the four years construction phase of the PNG LNG Project, it is still unclear what the total volume in trillion cubic feet (tcf) will be extracted and exported in 2014 per annum.
It is also not clear how much tfc each petroleum development licence (PDL) from PDL1 to PDL9 will make up for the total tcf agreed in the May 22 2009 PNG LNG Project agreement with the project developer ExxonMobil, its consortium partners and the State.
Outspoken Hides landowners’ leader Simon Ekanda Tari raised this concern that EHL and the State must make it clear how much tcf has been agreed and how much volume of gas each PDL would contribute to make up the total tcf.
In the PNG LNG Project Agreement between the parties, a total of 10.5 tcf per annum has been locked in for the 30-year period of the project’s lifespan.
However, Esso Highlands Ltd (EHL), ExxonMobil’s subsidiary operator of the K50 billion project says only 9 tcf was agreed to in the project agreement.
One of the stakeholders in the project when asked to clarify and confirm EHL’s position told this reporter in February this year in an interview that it was 10.5 tcf.
Mr Ekanda said it is a serious concern as to how it was changed from the 10.5 tcf agreed on the project agreement to 9 tcf.
When this reporter on several occasion asked EHL to explain what’s happened to the 1.5 tcf, ExxonMobil has been tightlipped on it.
EHL lead media and communication advisor Rebecca Arnold told reporters at a site tour recently that only 9 tcf was agreed and not 10.5 tcf.
Minister for Petroleum and Energy William Duma when contacted yesterday for comments said, “if it was 10.5 tcf agreed in the PNG LNG Project Agreement, so be it.”when this reporter on several occasions requested EHL to put on record how much tfc each PLD; Hides PDL1 and 7, Kutubu PDL2, Gobe PDL3 and 4, Moran PDL5 and 6, Angore PDL8 and Juha PDL9 contribute to the total tcf, EHL could not provide any information, telling this reporter that the information was not readily available.
Juha Landowners Association Chairman Hengebe Haluya also expressed concerns saying, “we are still in the dark to know how much gas our gas fields at Juha will contribute.
We have five well heads but don’t know yet how much we are going to contribute. ExxonMobil as the operator of the project should clarify on the conflicting total gas volume. Our benefit is determined on the total gas volume provided and it’s paramount that all stakeholders should know,” the firebrand landowner said.
Mr Duma also told this paper yesterday, “that at the moment the gas volume for Juha and Agore are not yet determined.
If there is any new discovery of more gas, it will trigger a definite review of the agreement as all benefits in royalties, development levies and other benefits will be calculated based on the total tcf,” he said.
Mr Ekanda, who represents the Tuguba Tribes, the so-called custodian of the prophetic ‘gigira laitebo’ from Hides PDL1 and PDL7 where 80 per cent of the LNG will come from asked, “how was the 9 tcf from 10.5tcf? We want to know the truth behind it because of loyalties, government levies and equities are determined by the volumes of gas being commercialised.”
