26 May 2014

PNG gas project on hold amid disagreement

7:20 pm on 26 May 2014

The Benefit Sharing Agreement signing for the Stanley gas condensate project in Papua New Guinea's Western Province has been deferred indefinitely.

The Post Courier reports that the Prime Minister Peter O'Neill was expected to arrive in Kiunga yesterday to witness the signing of the first ever stand-alone gas condensate project in the country.

However the trip was cancelled due to the landowners not agreeing to some of the positions of the State.

The secretary for Petroleum and Energy, Rendle Rimua says the State team has presented the proposal and landowner groups made counter proposals, disagreeing with some of the positions of the State.

Mr Rimua maintains that the state is bound by the Oil and Gas Act and cannot work outside of the Act.