Landowners want Repsol out

Business

By HELEN TARAWA
LANDOWNERS of the K800 million Stanley Gas in Western have called on the Government to take action against Repsol for not developing the project.
Stanley Petroleum Limited chairlady Betty Wine told The National that despite receiving the Petroleum Development Licence (PDL10) two year ago, Repsol had not done any work on the project.
“We are frustrated with the lack of development activity on the Stanley Field despite the development licence having been awarded over two years ago,” she said.
“We believe that the project operator Repsol has demonstrated a total lack of respect for the Stanley people and the PNG Government departments involved in the Stanley Project agreement negotiations.”
Wine had written to Petroleum and Energy Minister Nixon Duban to discuss the landowners’ concern.
Duban during the mining conference last year warned Repsol about its lack of compliance, saying the State could revoke the licence.
Wine pointed out that the Stanley gas field was discovered in 1999 but no development had taken place since.
Last month, Horizon Oil released documents to the Australian Stock Exchange that detailed a revised development plan for the Stanley Field which was being re-worked by Repsol. The revised plan delayed the development, produce much smaller volumes of oil and gas and significantly reduced the amount of royalty-related benefits for the landowners.
Horizon, the first developer of the Stanley gas fields, started drilling but later sold the license to Talisman Energy Incorporated which sold it to Repsol.

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