Exxon, Total Eye Papua New Guinea LNG Expansion Deal by March
- Papua LNG partners sign framework agreement with government
- Companies plan $13 billion project to boost LNG production
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International energy giants are aiming to reach an agreement with the government of Papua New Guinea by March for their plan to nearly double the Pacific nation’s gas export capacity.
Exxon Mobil Corp., Total SA, and Oil Search Ltd. entered into a memorandum of understanding with the government that sets a broad framework for a final deal, with the details remaining to be worked out over the next few months, Oil Search said in a statement Friday. The framework creates an “equitable split” of proceeds from the project between the government and the developers, including reserving some natural gas for domestic use, Oil Search Managing Director Peter Botten said in a Bloomberg TV interview.