Horizon Oil leaving PNG

Horizon Oil is leaving the country and selling its assets valued at US$3.5 million (K11.79 million) to co-venturer Arran Energy, chief executive Chris Hodge says.
Arran is a privately-owned Australian company with interests in the country including operated assets in PDL 10 (Stanley, PRL 40 Pukpuk/Douglas), non- operated assets in PRL 21 (Elevala/Ketu) and PRL 28 (Ubuntu).
Hodge said the decision to sell its PNG interest was not easy as it had been a big part of the company’s story for years.
He said substantial good quality resource “and our ability to realise the value in Papua New Guinea was becoming increasingly long-dated and uncertain”. It was also highlighted by the impairment write-downs taken earlier this year.
“Divestment of our PNG interest was carefully considered in the context of our overall corporate strategy and we are pleased to have agreed with Arran Energy,” he said.
“The transaction will provide Horizon with an opportunity to optimise its asset portfolio and focus its efforts on securing a significant growth asset.”
Horizon has been operating in the country since the late 1990s with assets in Kiunga, Western.
It employed 20 people in Australia and one employee in PNG.
It has other offshore oil fields in China and New Zealand.