Text size:

  • Small
  • Normal
  • Large

Exxon Papua New Guinea gas project approved

ExxonMobil and its partners have approved the development of a US$15 billion gas project in Papua New Guinea that will supply gas to China Japan and Taiwan.

ExxonMobil and its partners have approved the development of a US$15 billion (Dh55bn) liquefied natural gas (LNG) project in Papua New Guinea that will supply gas to China Japan and Taiwan. The project has links to Abu Dhabi through an indirect stake in the venture held by the emirate's International Petroleum Investment Company (IPIC). It adds to the competition that Qatar faces in the Asia Pacific market, as the leading LNG exporter seeks more buyers for its rapidly rising output amid a supply glut.

The partners in the PNG LNG project, which could start shipping gas in 2014, are counting on the medium to long-term market for the super-chilled fuel to strengthen significantly, in part because developing Asian economies are seeking to cut carbon emissions and pollution from their mainly coal-fired power sectors. "With global demand for LNG forecast to nearly triple by 2030, the PNG LNG project will be an important supply source to meet this future demand, particularly for the economies in the fast growing Asia Pacific region," said Neil Duffin, the president of ExxonMobil Development Company, a unit of ExxonMobil.

"The supply of cleaner-burning natural gas will also be critical in helping reduce global (carbon) emissions," he added. The project includes gas production and processing facilities, onshore and offshore pipelines, and gas liquefaction facilities on Moresby Bay in Papua New Guinea with 6.6 million tonnes per year of production capacity. Construction is expected to start next year. IPIC holds 17.6 per cent of Oil Search, a Papua New Guinea oil and gas company with a 29 per cent stake in the LNG development. The project's operator, with 33.2 per cent, is Esso Highlands, an ExxonMobil affiliate.


Back to the top

More articles

Editor's Picks

 The Greens, villas: Q1 no change. 3BR - Dh210-250,000. 4BR - Dh210-260,000. 5BR - Dh220-300,000. Q1 2013-Q1 2014 5% rise. Pawan Singh / The National

In pictures: Where Dubai rents have risen and fallen, Q1 2014

Find out how rental prices in the prime locations in Dubai have altered during the first three months of the year and the current rates you will pay according to data provided by Asteco.

 Above, the private pool of Ocean Heights' five-bedroom penthouse flat. Courtesy Christie’s International Real Estate

In pictures: Penthouse flat is height of Dubai luxury living

A five-bedroom penthouse in Ocean Heights in Dubai Marina is on sale for Dh25 million and comes with a private pool and an unparalleled view of Dubai.

 The cooling towers of the Temelin nuclear power plant near the Tyn nad Vltavou in Czech Republic. The country wants to continue expanding nuclear energy capacity despite cancelling a tender to build two new units. David W Cerny / Reuters

In pictures: Best business images for the week to April 17, 2014

Here are some of the best business images for the week to April 17, 2014.

 Three generations of the Hakimi family tend to their stall Crawford Market in Mumbai. Subhash Sharma for The National

In pictures: Shopper’s delight at Crawford Market in Mumbai

Crawford Market is an old British-style covered market dealing in just about every kind of fresh food and domestic animal imaginable. Later on renamed Mahatma Jotirao Phule, the market remains popular among locals and visitors by its old name, taken from Arthur Crawford who was the first municipal commissioner of the city.

 The Wind, Energy, Technology and Environment Exhibition takes place from April 14 to April 16. Above, the Dewa showroom during last year’s Wetex. Jaime Puebla / The National

April corporate and economic calendar for the UAE and overseas

From Cityscape to Wetex to stock-market holidays to nations reporting first-quarter GDP figures, here is our helpful calendar of April's business events in the UAE and internationally.

 Get the latest information on credit cards, bank accounts and loan products in the UAE. Mark Lennihan / AP Photo

Rates report: Latest on UAE loans, accounts and credit cards

Souqamal.com brings you the latest interest rates on banking products in the UAE.


To add your event to The National listings, click here

Get the most from The National