Marape disappointed

The National Business

PRIME Minister James Marape is disappointed with the outcome of talks between the State Negotiating Team (SNT) and ExxonMobil PNG Ltd regarding the P’nyang gas project in Western.
They could not reach a deal on the gas agreement on the development of the gas project.
“I am very disappointed to announce that because of ExxonMobil’s unwillingness to agree to reasonable terms in line with other international gas projects, the State’s Negotiating Team has been unable to agree with ExxonMobil on a gas agreement,” he said.
“In good faith, PNG has extended the negotiation deadline to reach a mutually beneficial deal a number of times.
“At the same time, the SNT has indicated willingness to make significant concessions if ExxonMobil was prepared to do the same.
“However, ExxonMobil’s final offer was delivered yesterday (last Thursday), only one day before the final deadline and this contained no such concessions.
“After several months of dedication and good faith engagement by the SNT, ExxonMobil’s offer had barely changed from its opening offer presented last November and is not substantially different from the Papua LNG gas agreement.
“That is unacceptable.”
He said the gas belonged to PNG’s people.
“We are willing to allow international oil companies to develop the field and achieve decent returns by exporting most of the gas, but PNG must also benefit,” he said.
“It is hugely disappointing that our negotiation partners will not agree to such terms.”
Marape said the Government’s “has not, and will not, change”.
“Naturally, every new project must build on previous projects with improved terms for PNG, particularly when the initial terms provided by PNG were so generous,” he said.
He said the “State take” proposed by project partners was significantly less than PNG’s Asia Pacific Accreditation Cooperation (APAC) neighbours such as Malaysia, where ExxonMobil has a huge operation, “or indeed by our immediate neighbours Indonesia and Brunei”.
“It is at the lower end of the estimated State take for nations around the world published by several authorities on the matter, such as Wood Mackenzie, Daniel Johnson and Co and the Boston Consulting Group.

29 comments

  • Leave them alone, we are not loosing anything, Exon Mobil is not the only Company that exist, look for other companies and engage them. Thanks to PM Marape for taking a bold stand against their offer. Thaankyou for saving your resources, they reckon you will give in to their offer given our financial woes. Now that you ve said no, they will come again, just wait and see.

  • PM, thank you for taking the stand on your land to fight for your people. You are a hero standing for your Nation, you country PNG. Keep on fighting until you achieve what is best for our country. That’s not the only developer in the world so seek for other developers who might be interested to throw in their interest that will benefit PNG.

  • PM,
    Look to Russia and China for help. Offer them the same terms and conditions our SNT were putting before Exxon Mobil.

  • Every other new potential resource development must firstly meet our terms and willing to comply or leave.
    In order for our country to truly have the upper hand in the negotiation and demand resource developers meet our terms and conditions, whatever revenue generated from current active resource development must be invested highly in Agriculture, manufacturing and technological advancement first.

  • We cannot be ‘beggars’ in our mother land dictated by foreign investor.

    I as the citizen of my beloved PNG must survive for tomorrow’s short coming otherwise My land, My Country & My Survival cannot be compromised.

    ExxonMobil take it or leave…..

  • Bold step applauded for it serves the people’s interests. Given our economic status when debt level is higher and a deficit budget is inevitable they would capitalize to dictate terms and conditions. They will still come back.

  • Congratulations Mrs Prime Minister and your negotiating team. Job well done. We are no longer the tail but the head.

    It is high time PNG owns equipment to mine whatever resources we have, process and then export them to other countries. The time is now to go down that path. We hire/employ experts from other countries to come and work in those mines for us. With that we can easily and quickly repay our huge loans. As time goes by it will come to a point that we will no longer borrow. If we borrow it should be paid back in no time no matter how big the loan.

    Those greedy politicians and beauracrates must be weed out and clear the way for genuine patriotic Papua New Guineans who are honest performers. If we go that direction rest assured we will become a truely black nation in a not too distant future.

    The world now knows where is stand with regard to our non renewable resources.

  • Congratulations Mrs Prime Minister and your negotiating team. Job well done. We are no longer the tail but the head.

    It is high time PNG owns equipment to mine whatever resources we have, process and then export them to other countries. The time is now to go down that path. We hire/employ experts from other countries to come and work in those mines for us. With that we can easily and quickly repay our huge loans. As time goes by it will come to a point that we will no longer borrow. If we borrow it should be paid back in no time no matter how big the loan.

    Those greedy politicians and beauracrates must be weed out and clear the way for genuine patriotic Papua New Guineans who are honest performers. If we go that direction rest assured we will become a truely black nation in a not too distant future.

    The world now knows where is stand with regard to our non renewable resources.

  • Thank you my leader for takìng a bold step to address this issue in the best way possible. PNG first is the way, the only way. Capitalist bastards trying to impose their imperial rule over us. No thank you Exxon.

  • Thanks PM, such bold step taken is for the 8 million people of this nation.. Its our land and its PNG. ExxonMobil accept it or other developer comes in.

  • Why does the PNG govt take such a strong hand against Exxon and sabotage the country’s reputation, while at the same time Chinese and Malaysian companies are able to log our virgin rain forests at will without paying their fair share of taxes? Perhaps Exxon is less willing and able to make certain payoffs?

  • PM, I personally take dis stand to congratulate u y bcos how can u take back PNG n dis is d way fwd PM.
    Classic example, lukim Australia she has grown fat on d resources of Bougainville’s Copper Mine. PM, we can’t n wil not allow dis 2 cont it has got 2 stop some how somewhere but immediately PM. U no d Christian principles, God first, People then U.
    Dis my piece of mind. Tnk u PM once agn
    I raise my hat 4 dat “POWERFUL STAND”

  • Thank you PM Marape for the Bold Stand, you are a true leader for PNG which you have the 8 million people of PNG at heart..

    We have suffered enough and it’s time to reap blessings which God has given for this Beautiful Nation.

    You have a Dream and from this stand.. PNG will Achieve

  • PNG exist not because of Exxon.Exxon can leave PNG if it can not comply and agree to PNG interest. PM (Marape) is not the PM that you play with . He will stand doesn’t matter what you think.It was easy in the past where leaders collaborate with investors with dishonesty resulted in land owners suffering.This time no.

  • Our Prime Minister is a peoples choice and we stand unconditional to support him. No need for PM to disappoint and sad. Just leave the fuck ExxxMobile and lets negotiate with different other company.
    Thank You

  • Thank you PMJM. I am proud of your bold stand and decision, a true son and a patriotic leader of PNG. Stand tall God is with you, who dare to stand against you?

  • Kick out EXXON MOBIL, EXPROPRIATE all their ASSETS. They have blindsided the the Somare Regime and Robbed and Ruthlessly plundered our Resources using their Global PR machinery creating false narratives of fear,speculation of Oil prices WHILST covertly controlling prices through transfer pricing.

  • Your cat and mouse game is over! And this, we part in good faith…farewell ExxonMobil! 🙂

  • A bold step by the current PM on impact resource project in the country. There are other multinational cooperation giants that the GOVT can always negotiate with to the advantage of 8 million people of Papua New Guinea apart from Exxon Mobil.

  • Dear Prime Minister,

    You have taken the bold and right steps. Exxon Mobil is NOT the only company in the world. Goodness they are many similar companies around the world so keep the negotiating team continuing their task. Please put the people who are the real resources owners interest first. Once you and the government successful and money starts flowing into the government coppers, invest heavily in Agriculture and down streaming processing products and start exporting finish products rather than exporting raw products. If other countries around the world are doing it why can’t Papua New Guineans do it too? If our crops like coffee is regarded as top and quality products, why can’t it be package properly and supply to consumers around the world?

  • In the last 20 years where is the best hospital in the Oil rich provinces built? Do they have the best boarding Schools? This are just 2 things which the developer promise and run away after the deal is signed. Thank you PM and our team for taking a bold stand.

  • Prime Minister we are all behind you, take a hard stand. This is our Land and we will not bow down to dictates of anyone any more. Our heritage is here to stay and your move is highly commended. Be brave Sir

  • Managers can not be leaders but leaders can be managers. Currently we have Leaders in cabinet headed by a diehard Png PM who demonstrate signs of becoming good Managers, please keep up making wise decisions for the resource placed in your custody by 8million png ol mangi blo ples. Regards.

  • Good on you PM. It is about time we take a tough stand on big companies operating and mining our resources. If they cannot agree to our terms then leave them. They are not the only companies with the expertise to develop our resources. Talk to companies who are willing to give PNG a fair share.

  • Thank you PM on your firm stand. This is your country. Blacklist EXXON and terminate them from our shores. Exxon has eaten enough. Enough is enough action now to take back PNG!

  • Exxon must comply or else pack up and leave our shore.
    No surrender – a new era for PNG dawning…. yesterdays old tactics/deals/ways are gone.
    Hats off to you, PMJM.

  • Mr Prime Minister, we are happy with your decision. Oil na Gas, Gold na Copper em bai ino inap go bagarap, it’s in our land and it will stay safe. Look to where the people of PNG can really get from a deal which can transform the change needed here.

    Otherwise, Hon James Marabe, for you information, you people are secured and guaranteed with all they need. Yumi stap yah, kumu, kaukau, taweng, saksak, yam, taro, banana na tapiok isting nating na stap. There is nothing to worry about, we are with you…TakebackPNG!

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