Botten warns against move to renegotiate LNG deal

Oil Search chief executive Peter Botten, pictured, has delivered a blunt message to the new government of Papua New Guinea warning against any move to renegotiate a recently agreed LNG contract.
In his first public comments since James Marape became prime minister a week ago, Botten used a speech in Sydney yesterday to say Port Moresby’s development goals could not be achieved without the help of the private sector.
While Marape has indicated he will honour existing contracts, many of those who supported his bid to topple the former prime minister, Peter O’Neill, are seeking to renegotiate the fiscal terms of the country’s recently agreed US$14 billion (K46bil) LNG expansion.
This has led analysts to speculate it could be held up for two years, a prospect Botten indicated would see it leap-frogged by other LNG projects around the world.
“We can’t wait too long before our place in the queue slips,” Botten told the Sydney Mining Club.
“The Government is aware of this, as is the new prime minister.”
Botten has met with Marape and does not believe he would look to renegotiate the US$14 billion (K46bil) expansion project, known as Papua LNG. – Financial Review