OTML drops Puma as fuel supplier, cites inconsistency

Business

THE OK Tedi Mining Limited (OTML) has discontinued its use of Puma Energy’s diesel and Jet A1 (aviation fuel) in Tabubil, says managing director and chief executive officer Kedi Ilimbit.
He said this followed the prolonged inability of Puma to provide consistent diesel and Jet A1 supply, and fulfil its contractual obligations.
Ilimbit said despite making efforts to work with Puma, its “strong-arm tactics”, exemplified by its recent decision to discontinue the supply of Jet A1 and serve the miner with a notice of intention to vacate and demobilise its facilities in Tabubil, despite OTML’s offer to purchase these facilities, prompted them to explore alternative solutions.
“Consequently, the company has effectively engaged with alternative providers, facilitating a seamless transition toward self-sufficiency in its fuel requirements,” he said.
“The decision was made after careful consideration of our operational needs and the necessity for reliable fuel services.
“The transition away from Puma Energy demonstrates OTML’s proactive stance in addressing threats and mitigating operational risks to safeguard the interests of PNG, ensuring the nation continues to benefit from the Ok Tedi Mine,” Ilimbit said.
“By swiftly engaging with alternative providers, OTML demonstrates its unwavering commitment to maintaining uninterrupted operations while prioritising the socio-economic prosperity of PNG.”
The Ok Tedi mine in the Western province is one of Papua New Guinea’s oldest operating mines and is nationally owned.