Big losses from condensate: Kavo

 PAPUA New Guinea has been losing out on a lot of money from condensate, but no one is saying how much, Gulf Governor Havila Kavo says.

Speaking at the State and landowner issues meeting in Port Moresby on Tuesday to discuss matters relating to the PNG LNG Project, Kavo said while there had been more than 100 shipments of LNG since 2014, “nobody has told us how much has been generated from the condensate that has gone out from another terminal. The Kumul Terminal (Gulf) is shipping out condensate while LNG is being shipped out here in Caution Bay (Central),” he said.

“Does the value of LNG that is being shipped out today include the condensate? If the answer is no, who is benefitting from it (condensate)?”

Kavo told Petroleum and Energy Minister Ben Micah that the country did not have a national gas development policy in place to develop resources such as condensate.“You (Government) do not have one (policy),” he said. “Then you talk about downstream processing together with domestic obligation.

“Petrochemicals: If we are to develop and have maximum participation in the resource, we have to come up with a policy on a national gas park. 

“Develop a gas hub, develop a policy so that instead of talking about peanuts, we’re talking about actual resources at its value that will benefit Papua New Guinea.”