Kua, Puma to discuss LNG deal

PETROLEUM Minister Kerenga Kua, pictured, says he wants to discuss with Puma Energy on the five per cent for domestic market obligation in the Papua LNG gas deal.
Kua said this during the reopening of the Napa Napa Refinery after undergoing its 30-day turnaround and inspection project.
“The Papua Gas agreement makes provision for about five per cent of the production to be made available for domestic use in the country, whether that is enough to feed all our domestic needs, I have no idea, I think that is where Puma can have a role,” Kua said.
He said his department and Puma Energy needed to have further discussions on deploying the five per cent for domestic use.
Puma Energy country manager Jim Collings and Middle East and Asia Pacific chairman Chin Hwee Tan said they remained committed to providing the energy needs of the country.
“The price in the Papua LNG was already fixed for us, but in any subsequent project that we commission, we would like them to make available cheaper raw material to us which we intend to pass on to domestic refineries, domestic users so that this reduces prices,” Kua said.
“The benefit of the reduced price is then passed on down the chain to all other stakeholders in the country so that hopefully, the cheaper energy can be the fuel for overall growth and development in this country.
“We have just completed the Papua Gas agreement and I anticipate introducing 10 legislative amendments in Parliament that will facilitate for and enable that project to proceed to supply oil and gas,” he said.
“We also hope to introduce other big and small projects as well, to come on stream and continue this process of energy production in this country to feed international and domestic needs.”