PNG Confirms Third LNG Project

Papua New Guinea’s Petroleum and Energy Minister has confirmed country's third LNG project, various media reports have said.

The minister said Horizon Oil and Osaka Gas will develop the LNG project in Western province.

Last month, Osaka Gas agreed to buy part of licences in Papua New Guinea (PNG) held by Horizon Oil to develop condensate and natural gas resources. In a statement the Japanese company said it also intends to conduct studies to examine opportunities for developing an LNG project in the country.

The decision of Osaka Gas to participate in the project has been made as part of its long-term business vision ‘Field of Dreams 2020’ in which the company intends to broaden its scope of activities along the energy value chain in international energy markets,

PNG's first multi-billion dollar PNG LNG project is being developed by ExxonMobil and is expected to ship its first gas shipment by early 2014. The second LNG project is led by Canada's InterOil Corporation which has already discovered gas at its Elk and Antelope wells in PNG's Gulf province.