Hides landowners pick NGC as trustee

THE Tuguba landowners from Hides petroleum development licence (PDL1) and PDL 7 in the multi-billion kina PNG liquefied natural gas (LNG) project have nominated the National Gas Corp (NGC) as their equity management trust company.
Tribal chief Kupiawa Aliza and landowner advocate Simon Ekanda said their landowner company’s equity of more than K10  million  would be managed by NGC under the National Executive Council-approved Gigira Laitebo Ltd (GLL).
Ekanda said NGC was  the company created under section 179 of the Oil and Gas Act.
The leaders, who are also directors of GLL, said Section 179 makes reference to Section 166 of the act that provides for the creation of landowners trust companies to manage oil, gas and mineral resources under the Mineral Resource Development Company (MRDC).
“Accordingly, we, the gas project area landowners, under the law and in anticipation of the LNG-related business, had many years ago initiated dialogue on trust management issues,” Ekanda said.
Aliza said under section 179 of the Oil and Gas Act, the gas project area landowners enjoy bigger gas development participation rights, together with 22 provincial governments through NGC and that they could partake in the LNG- related business.
NGC executive chairman Alfred Kaiabe last week reminded the government the NGC was the legally-mandated entity to manage gas project area landowners’ participating interests, including the management of equity and royalty benefits from the projects.