Prime Minister Hon. James Marape has reaffirmed the government’s strategy to sequence major oil and gas projects to ensure continuous activity to 2040, saying the P’nyang LNG project secures a 63 percent benefit share for Papua New Guinea.
Speaking at a press conference this morning (25.05.26) following his return from France, where he met President Emmanuel Macron, Prime Minister Marape said P’nyang would proceed once the Papua LNG project reaches Final In- vestment Decision and construction is sanctioned.
“P’nyang is a Marape Government signature project,” PM Marape said. “Papua LNG is an O’Neill Government project, which we need to get on the line. Once Papua FID is reached and sanctioned for construction, P’nyang will happen straight after.”
He said the government had secured improved terms for P’nyang compared to earlier projects. The total State benefit for P’nyang stands at 63 percent, while Papua LNG sits at nearly 49 percent and PNG LNG at around 48 percent. Both earlier projects fall below 50 percent.
“Total State take for P’nyang is above 60 percent, to be exact at 63 percent,” Prime Minister Marape said. “P’nyang clearly has the Marape/Pangu-led Government blueprint of taking back more for our country.”
The Prime Minister said the government had also secured an additional 10 per-cent equity for landowners and Western Province in the P’nyang gas agreement, consistent with Pangu’s policy of ensuring more benefits for Papua New Guineans.
He outlined a pipeline of projects expected to drive activity from 2027 to 2040, including Papua LNG, P’nyang, Muruk, Pasca A, Stanley Gas, Ketu Elevala, and a new gas project TotalEnergies is expected to name following exploration in Central Province.
He said Pasca A – another Marape-led initiative – would see MRDC hold 50 percent of the venture with total State take, including tax, reaching around 70 percent.
For Muruk, the government is bringing developers and landowners together to ensure alignment before the project moves forward. Prime Minister Marape added that TotalEnergies is investing US$200 million in exploration in Central Province, with potential for larger fields in the Gulf of Papua, including Wildebeest.
“We are not working in isolation or on one project at a time,” he said. “We want to have a series of projects running at the back of Papua LNG. We will sequence P’nyang, get Pasca A up and running, and bring Muruk, Stanley Gas and others in.”
He urged the people of PNG to understand that some delays are beyond government control but said officials are working closely with investors to keep the schedule on track.
“Once Papua gets off the ground, it should kick everything else into place,”the Prime Minister said.