Page 7 - AsianOil Week 39 2022

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PNG offers Japan priority access to

new gas fields, LNG projects

PROJECTS & PAPUA New Guinea (PNG) is offering Japa- gas sector, through JX Holdings’ share-
COMPANIES nese companies priority access to invest in new holding in PNG’s largest resource project,
gas fields and LNG projects as part of ongoing the PNG LNG export terminal operated by
XXXX trade talks between the two countries focused ExxonMobil.
on energy security, PNG Prime Minister James Australia’s Santos confirmed last week it had
Marape has said on September 27, according to received a $1.4bn offer from PNG’s national oil
Reuters. company Kumul to acquire a 5% stake in PNG.
Marape met with his Japanese counterpart But the deal will only go through if the project’s
Fumio Kishida last week ahead of the funeral other investors waive their pre-emptive rights
of former Japanese leader Shinzo Abe. Accord- to the stake. They could only acquire it if they
ing to Marape, Kishida stressed Japan’s need match Kumul’s offer.
for increased security and was eager to expand Japan is scrambling to shore up its energy
trade between the two countries. security amid the soaring global cost of LNG,
“I assured Prime Minister Kishida that PNG which Tokyo expanded the use of in the wake
can help Japan’s energy security needs with a of the 2011 Fukushima nuclear disaster, and its
continuous supply of LNG,” Marape said in subsequent decision to close down many of its
comments posted by his office on social media. nuclear reactors.
“I assured him that if there are any additional The country is also a major buyer of Russian
gas fields to be developed, Japan would be given LNG from the Sakhalin LNG plant, adding
priority in developing them, which I discussed additional risk given Moscow’s use of oil and
later with Sojitz, JX Nippon Oil & Gas Explora- gas supplies as a weapon against those countries
tion Corp. and LNG Japan Corp.” that supported international sanctions against
Japan is already a key investor in PNG’s Russia. ™

Week 39 05•October•2022 www. NEWSBASE .com P7