Photo Credit: Petroleum Exploration Society of Australia
Twinza notes the comments regarding the Pasca A Gas Agreement made by the Petroleum Minister, the Hon. Kerenga Kua, in a media release of 25th May 2021.
Twinza is currently awaiting a response from the Petroleum Minister as to whether the terms offered to the State, and outlined most recently in the Twinza media release of 19th April 2021 are acceptable or, if not, on which terms the Minister is prepared to support the signing of the Gas Agreement. An execution version of the agreement, incorporating these terms and using the State’s own template, is with the Minister for his consideration.
Twinza will provide a media update once we have received correspondence from the Petroleum Minister which either confirms that the agreement is accepted for execution, or provides clarity on the terms by which the State would sign the Gas Agreement.
Twinza Chairman and CEO, Ian Munro, commented that,
"The Company remains committed to delivering Pasca A, PNG's first offshore oil and gas project. However, it appears the 12-month long process may be stalled yet again because the State has not communicated to Twinza the agreement terms which would be acceptable. It is time to bring this matter to a conclusion such that the Project can move forward and Twinza is on standby to execute the agreement on the Petroleum Minister’s desk”.
The completion of the Pasca A Gas Agreement this month would allow the Project to move into the Front-End Engineering and Design phase, with a final investment decision in late 2022 and first production in 2025.
A continued delay in concluding the Gas Agreement will impact the planned Project schedule, defer investment and see production move out to 2026.
