KPHL set to acquire assets from Petromin PNG

KUMUL Petroleum Holdings Limited (KPHL) is set to acquire hold and manage all oil and gas assets interests including those once held with Petromin PNG Holdings Limited. This deal was settled yesterday and jointly announced by both entities at a press conference held in Port Moresby yesterday. Both state entities have been in discussion to effect the transfer of Petromin’s oil and gas assets to KPHL consistent with the State’s broader Kumul Consolidation Agenda and the requirements of the KPHL Act.

KPHL managing director Wapu Sonk said, “the terms of the transfer have been settled and today (yesterday) marks the milestone whereby KPHL, acting through its 100 per cent owned subsidiary, Kumul Petroleum (Development) Limited, will enter into a Share Sale Agreement to purchase from Petromin all the issued shares in Eda Oil Limited.” Petromin managing director Thomas Abe said that Eda Oil Limited is a wholly owned subsidiary of Petromin. “It holds a 20.5 per cent interest in Petroleum Development Licence 5 (PDL-5), a 11.2 per cent interest in the Moran Unit Facilities under the Moran Unit Operating Agreement and a consequent 0.2  per cent interest in the PNG LNG Project from its share of the PDL5 gas contributed under the unitised PNG LNG Project, Mr Abe said.

Upon acquisition of Eda Oil Limited, KPHL will become a participant in PDL 5 (Moran) and increase its interest in the PNG LNG Project by 0.2 per cent. The transfer of Petromin’s oil and gas interests is in line with the State’s agenda to consolidate, manage and grow the long term value of its mineral and petroleum related investments as well as other utility businesses interests.