Total, Papua New Guinea Sign Gas Agreement For Papua LNG Project - Quick Facts

(RTTNews) - French energy giant Total SA (TTA.L, TTFNF.PK, TOT) announced Tuesday that the company and its partners ExxonMobil and Oil Search have signed the Gas Agreement with the Independent State of Papua New Guinea defining the fiscal framework for the Papua LNG Project.

This Gas Agreement allows the partners to enter the Front-End Engineering Design or FEED phase of study that will lead to the Final Investment Decision in 2020.

The Papua LNG project of 5.4 million tons per annum or Mtpa capacity will consist of two LNG trains of 2.7 Mtpa capacity each and will unlock over 1 billion barrels of oil equivalent of natural gas resources. The gas production will be operated by Total and the LNG plant will be developed in synergy with ExxonMobil-operated PNG LNG project through an expansion of the existing plant in Caution Bay.

Since the signature of a Memorandum of Understanding in November 2018, the pre-FEED engineering studies and the environmental baseline survey have been completed.

Total operates the Elk and Antelope onshore fields and is the largest shareholder of the PRL-15 permit with a 31.1% interest, alongside partners ExxonMobil, with a 28.3% stake and Oil Search with a 17.7% stake, post the State back-in right of 22.5%.