Our Activities

While exploring for oil in PNG, Oil Search has discovered very considerable quantities of gas and associated liquids. Proven and probable reserves of over 505 million barrels of oil equivalent (mmboe) were booked following the PNG LNG Project sanction decision in 2009.  However, at the end of 2009 Oil Search still had 281 mmboe in its contingent resource inventory waiting to be commercialised. 

While the PNG LNG Project is the Company's highest priority, a key focus for Oil Search is to position itself for additional long term gas-based growth opportunities. Further LNG developments command the highest value and are highest priority.  Oil Search is evaluating:

• Additional PNG LNG train(s) based on Hides, Juha and proximate gas eg P’nyang; and
• Alternative additional LNG train(s) based on gas from other existing and still to be found gas fields. including the offshore region.

Oil Search is also exploring a range of other gas initiatives including:

• Petrochemical studies with Itochu and Mitsubishi Gas Chemical
• Studies with the PNG Government on an holistic gas development plan for PNG.  This includes the review of a range of small domestic projects catering to the needs of local communities and industries (for example, for use in mines and local power generation), studies into new infrastructure requirements and the development of strategic gas hubs and corridors in PNG.
• Exploration for new gas and appraisal of existing gas fields

Gas commercialisation activities are focused on de-risking gas exploration and appraisal prospects with seismic and subsequent drilling.  Gas portfolio management, including farm-ins/outs and acquisition opportunities, is also an ongoing activity.