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It said: “Under this comparison, the combustion of LNG exports would generate 197.1 million tonnes CO2-e, which is around 148 million tonnes CO2-e less than the emissions generated by the combustion of the same amount of energy ofblackcoal(345.1milliontonnesCO2-e).”
However, the government’s GHG claims havebeendisputedbyaprominentlocalclimate
scientist, Bill Hare, who has 30 years of experi- ence working in climate science. He said: “Gov- ernment claims that Australia’s LNG exports are reducing emissions globally are grossly exagger- ated and, depending on the real level of meth- aneleakages,reservoirCO2ventingandlosses, and where the LNG is coming from in Australia, likelytobewrong.”
New PNG energy minister questions LNG deal
POLICY
PAPUA New Guinea’s (PNG) new prime minis- ter, James Marape, has appointed Kerenga Kua as his energy minister in a move that may unsettle energy investors.
Kua is an outspoken critic of the deal the government signed in April with Oil Search, Total and state-owned Kumul Petroleum for the development of the Elk-Antelope and P’nyang o shore natural gas elds. e two elds will underpin the US$14 billion development of two new 2.7 million tonne per year LNG trains at ExxonMobil’s US$19 billion PNG LNG project.
e new petroleum minister has said pre- viously that the project’s legality should be reviewed, which may in turn lead to a rene- gotiation of terms. While Marape has said he will abide by existing contracts, if a review suggests the deal has breached the country’s laws then new negotiations seem likely. Mar- ape described Kua as a lawyer who “shared his vision” for reforming the sector and maximis- ing gains for PNG.
“We will come to a position that everyone is comfortable with without disrupting busi- ness,” the Australian nancial Revew quoted
Kua as saying, following his swearing in cere- mony. “But [we will] ensure there is an equita- ble distribution of bene ts which come out of these resource projects.”
e move comes as investors in the country try to ride out the wave of uncertainty that has followed former Prime Minister Peter O’Neill’s resignation a er more than seven years in power.
On June 6, Oil Search CEO Peter Botten warned that any delay to the Papua LNG pro- ject would see it overtaken by other gas export developments around the world. He said: “We can’t wait too long before our place in the queue slips. e government is aware of this, as is the new prime minister.”
Marape, however, refuted the CEO’s com- ments the next day, saying: “Peter Botten knows me. I’m investor friendly but I also have to win for the 8 million shareholders of this country.”
Some of the terms in the April deal include a provision for domestic gas supplies as well as local content requirements. Kumul Petroleum has also been allowed to defer payment of its share of past costs a er taking a 22.5% stake in the project.
Image: InterOil
Week 23 23•June 13•2019 w w w . N E W S B A S E . c o m P11
