Exxon formalises electricity deal with PNG Power

2:41 pm on 2 April 2015

The operator of Papua New Guinea's LNG project, ExxonMobil PNG Limited, has executed an agreement for the sale of electricity to PNG Power.

Members of PNG's government, including Energy and Petroleum Minister, Nixon Duban (far left) and Prime Minister Peter O'Neill (talking) with PNG Power figures and ExxonMobil PNG Production Manager Andrew Barry.

Members of PNG's government, including Energy and Petroleum Minister, Nixon Duban (far left) and Prime Minister Peter O'Neill (talking) with PNG Power figures and ExxonMobil PNG Production Manager Andrew Barry. Photo: Supplied

The agreement fulfills a commitment made under a memorandum of understanding signed by ExxonMobil and the PNG government in January to provide domestic gas for power generation for Port Moresby.

Under the agreement, PNG LNG will supply up to 25 megawatts of electricity to PNG Power, which will in turn build the necessary infrastructure to the LNG plant in order for supply to commence.

The website, Oil & Gas Technology, reports that it is expected the work to connect supply from the LNG plant will be completed in time for PNG's hosting of the Pacific Games in July.

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