22 Jun 2009

Preliminary sales agreements for almost all output of huge planned gas project in PNG

7:14 pm on 22 June 2009

The operator of the planned huge liquid natural gas project in Papua New Guinea, ExxonMobil, says agreement's been reached on the commercial terms for the sale of gas with three major buyers in Asia.

They have tentatively agreed to take a total of approximately 4.3 million tonnes of gas per annum.

This is in addition to an earlier agreement in principle with another major Asian buyer for two million tonnes of gas per annum.

ExxonMobil says exclusive discussions will now start with these customers to finalize binding agreements to establish the project's foundation customers.

A final investment decision is expected later this year.