Oil Search ‘shared’ more than K3 billion to state, landowners

Business

OIL Search Limited had paid more than K3 billion to the state and landowners since 2014 as royalties, development levies and equity distribution.
Managing director Peter Botten said the industry must demonstrate value and be prepared to address the debate on fair value distribution.
“We certainly need to improve how benefits are distributed from our projects before new projects can be contemplated,” Botten said.
He said there was a need for improvement in the way benefits delivery from the PNG LNG (Liquefied Natural Gas) project were distributed.
Botten said the money was there.
“Some has already been paid to the landowners and others were still waiting but barriers of distribution must be removed,” he said.
“Over K3 billion has been paid by the project in royalties, development levies and equity distribution to the state and landowners since 2014.”
He said maybe the amount would not be as much as something expected or thought possible but was still a considerable sum.
Botten said this would require cooperation from developers, state and landowners as established projects were continuing and new ones emerging to avoid landowner issues of royalty payments, development levies and equity distribution.