Things are starting to fall into place

Real nicely. The writing is on the wall…

Petromin signs deal with Japanese firm

Papua New Guinea’s national oil, gas and minerals company Petromin PNG Holdings Limited has entered into a long-term strategic partnership arrangement with Japan Petroleum Exploration Co., Ltd (Japex) it announced yesterday. Japex is a publicly listed company and partly owned by the Japanese Government.

It is the exploration and development company with oil and LNG interests in Japan and other parts of the world. The agreement on principles for a long-term strategic partnership was signed in Tokyo on Tuesday in the presence of the Prime Minister, Sir Michael Somare, president of Japex, Osamu Watanabe and managing director of Petromin, Joshua Kalinoe.

During the signing ceremony, Mr Kalinoe said the purpose and intent of the deal was significant for Petromin, because of the value it would bring to the development efforts of the company in both operational and human resource development. He said the agreement would allow Japex and Petromin to work together in assessing the development opportunities in the hydro -carbon business in Papua New Guinea, both at exploration and development stages.

Japex will train Petromin staff in the hydro-carbon business, including commercial and technical operations using Japex facilities in Japan and elsewhere. Mr Kalinoe said Japex and Petromin had agreed to form a relationship that would also facilitate Petromin’s financial obligations in exploration and development, including the Elk/Antelop LNG project. As part of the agreement, a number of technical staff from Petromin will be travelling to Japan this month to work with Japex’s staff on LNG project design and planning, including reservoir management.

———[End of article]———–

Now ask yourself, does Petromin have any gas resources of their own in PNG? If not (which, of course, is the case), in which project are they participating, and what does this deal imply…

5 thoughts on “Things are starting to fall into place”

  1. It’s a done deal for IOC and the timing of a press release may no longer be under IOC’s control. The parties involved know a deal is about to signed so the only to know when is watch the tape.

    Petromin has already has announced their deal with the Japax.

  2. If i was a betting man which i am, i say the birth of the LNG deal will happen next week!!!!!!!!

  3. This agreement says Japex will participate in both exploration and development of resources. Shouldn’t Interoil be a direct party to any such agreement at the time it is signed? This reads like someone is crashing the party, not coming in invited by IOC.

    How much MONEY did this agreement bring in on signing? What is the commitment for capex by Japex? What is the split of revenues for end sales? How much end production did Japex commit to?

    Show me the MONEY. Then we can get excited.

  4. I think this agreement has to include IOC resources. And Japanese don’t crash parties, they are true partners and establish relationships(working relationships are more important than contracts to them). I just wonder how the Chinese feel about all this.

  5. Appears Japan offered more money or a better deal for IOC. Japan had offered to Phil a financing deal for the LNG plant in exchange for offtake. Thats was July 07 on an Institutional Call with Raymond James…

Comments are closed.