The PNG LNG Project is a world-class liquefied natural gas development, which commenced operations in 2014, transforming Oil Search into a regionally significant oil and gas producer with a long-term, low cost, high quality LNG revenue stream.
Operated by ExxonMobil PNG Limited (ExxonMobil), the PNG LNG Project has consistently operated above its nameplate capacity of 6.9 million tonnes per annum (MTPA), with the Project recording the highest annual production of 8.5 MT in 2019, 23% above nameplate capacity.
Project gas is sourced from seven fields: the Hides, Angore and Juha gas fields (owned by PNG LNG) and from associated gas in the Oil Search-operated Kutubu, Agogo, Moran and Gobe Main oil fields, which provides approximately 20% of PNG LNG Project gas. Gas is also produced on a third-party basis from the SE Gobe field.
More than 11 TCF of gas is expected to be produced over the Project's 30+ year life. The gas is conditioned in the PNG Highlands and then transported by gas pipeline to the LNG plant located approximately 20 kilometres north-west of Port Moresby. The gas is then liquefied at the LNG plant prior to loading onto tankers to be shipped to Asian gas customers.
Condensate from the PNG LNG Project is combined with existing production from our PNG oil fields and exported as 'Kutubu Blend' from the Kumul Marine Terminal, operated by Oil Search offshore in Gulf Province.
Approximately 7.9 MTPA of LNG from the project is currently being sold under long and medium-term contracts, representing more than 90% of LNG production, reducing exposure to the weak LNG spot market.
Since the start-up of the PNG LNG in 2014, the focus of the operator has been on steadily increasing production rates at the HGCP and the LNG plant. The increase in capacity has resulted from a systematic approach to examining operating data and optimising process controls. The operator has indicated it will continue to evaluate plant capacity and seek opportunities to maximise production from the Project.
Read more at the PNG LNG website