Overview:

This profile is the essential source for top-level energy industry data and information. The report provides an overview of each of the key sub-segments of the energy industry in Papua New Guinea. It details the market structure, regulatory environment, infrastructure and provides historical and forecasted statistics relating to the supply/demand balance for each of the key sub-segments. It also provides information relating to the natural gas assets (gas fields, LNG terminals, pipelines and underground gas storage terminals) in Papua New Guinea. The report also analyses the fiscal regime relevant to the natural gas assets in Papua New Guinea and compares the investment environment in Papua New Guinea with other countries in the region. The profiles of the major companies operating in the natural gas sector in Papua New Guinea together with the latest news and deals are also included in the report.

Scope

- Historic and forecast data relating to production, consumption, imports, exports and reserves are provided for each industry sub-segment for the period 1996-2020.
- Historical and forecast data and information for all the major gas fields, LNG Terminals, pipelines and underground gas storage terminals in Papua New Guinea for the period 2000-2013.
- Operator and equity details for major natural gas assets in Papua New Guinea.
- Key information relating to market regulations, key energy assets and the key companies operating in the Papua New Guinea’s energy industry.
- Detailed information on key fiscal terms (such as rents, bonuses, royalty, cost recovery and corporate taxes) pertaining the geography is also provided. A sample calculation detailing how fiscal terms apply to a typical asset in the regime is included.
- Information on the top companies in the Papua New Guinea including business description, strategic analysis, and financial information.
- Product and brand updates, strategy changes, R&D projects, corporate expansions and contractions and regulatory changes.
- Key mergers and acquisitions, partnerships, private equity and venture capital investments, and IPOs.

Reasons to buy

- Gain a strong understanding of the country’s energy market.
- Facilitate market analysis and forecasting of future industry trends.
- Evaluate the attractiveness of the geography for gas investment in the light of government policies and the fiscal environment.
- Facilitate decision making on the basis of strong historic and forecast production, reserves and capacity data.
- Understand the geography’s policies and fiscal terms, and their impact on contractor’s profits from upstream gas assets.
- Assess your competitor’s major natural gas assets and their performance.
- Analyze the latest news and financial deals in the gas sector of each country.
- Develop strategies based on the latest operational, financial, and regulatory events.
- Do deals with an understanding of how competitors are financed, and the mergers and partnerships that have shaped the market.
- Identify and analyze the strengths and weaknesses of the leading companies in the country.

Companies Mentioned
 

Oil Search Limited
Exxon Mobil Corporation
InterOil Corporation

1 Table of Contents 2
1.1 List of Tables 7
1.2 List of Figures 9
2 Papua New Guinea Energy Sector 10
2.1 Papua New Guinea Energy Sector, Market Overview 10
2.2 Papua New Guinea Energy Sector, Natural Gas 11
2.2.1 Papua New Guinea Natural Gas, Overview 11
2.2.2 Papua New Guinea Natural Gas, Supply and Demand Balance 11
2.2.3 Papua New Guinea Natural Gas, Regulatory Structure 17
2.2.4 Papua New Guinea Natural Gas, Infrastructure 17
3 Papua New Guinea Fiscal Regime 19
3.1 Papua New Guinea Petroleum Fiscal Environment 19
3.1.1 Governing Law 19
3.1.2 Licensing Authority 19
3.1.3 National Oil Company 19
3.1.4 Contract Type 19
3.1.5 State Participation 20
3.2 License Terms 20
3.2.1 Exploration License (EL) Right, Area and Duration 20
3.2.2 Relinquishment during Exploration 20
3.2.3 Exploration obligation 20
3.2.4 Production Right, Area & Duration 20
3.3 Key Fiscal Terms 21
3.3.1 Royalty 21
3.3.2 Development Levies 21
3.3.3 Bonuses 21
3.3.4 Rentals 21
3.3.5 Fees 21
3.3.6 Taxation 21
3.3.7 Additional Profit Tax 22
3.3.8 Deductions and Depreciation 22
3.3.9 Loss Carry Forward 22
3.3.10 Value Added Tax 23
3.3.11 Withholding Tax 23
3.3.12 Ring Fence 23
3.3.13 Domestic Market Obligation 23
3.4 Papua New Guinea, Fiscal System - Economic Modeling Methodology 24
3.4.1 Sample Economic Modeling Methodology 25
3.5 Papua New Guinea Fiscal System - Sample Economics 26
3.6 Papua New Guinea Fiscal System - Sample Asset Valuation 27
4 Papua New Guinea Gas Upstream Investment Environment Benchmarking 28
4.1 Introduction 28
4.2 The Overall Ranking 28
4.3 Upstream Fiscal Attractiveness 29
4.3.1 Maximum Government Take Index 30
4.3.2 Maximum State Participation 30
4.4 Gas Sector Performance 30
4.4.1 Exploration Activity 32
4.4.2 Gas Production 33
4.4.3 Gas Reserves 33
4.4.4 Gas Consumption 33
4.5 Economic Performance 34
4.5.1 GDP Growth Index 35
4.5.2 FDI Confidence Index 35
4.5.3 Balance of Trade Index 36
4.6 Socio-Political Performance 36
4.6.1 Democracy Index 37
4.6.2 Governance Index 37
5 Papua New Guinea Exploration and Production Sector 38
5.1 Papua New Guinea Exploration and Production Sector, Country Snapshot 38
5.1.1 Papua New Guinea Exploration and Production Sector, Key Data 38
5.1.2 Papua New Guinea Exploration and Production Sector, Natural Gas Assets Map 38
5.2 Papua New Guinea Exploration and Production Sector, Marketed Natural Gas Production 39
5.2.1 Papua New Guinea Exploration and Production Sector, Marketed Natural Gas-Historical Production 39
5.2.2 Papua New Guinea Exploration and Production Sector, Marketed Natural Gas Production by Type 40
5.2.3 Papua New Guinea Exploration and Production Sector, Marketed Natural Gas Production by Assets 41
5.2.4 Papua New Guinea Exploration and Production Sector, Marketed Equity Weighted Natural Gas Production by Company 41
5.3 Papua New Guinea Exploration And Production Sector, Natural Gas Asset Details 41
5.3.1 Papua New Guinea Exploration And Production Sector, Active Natural Gas Asset Details 41
5.3.2 Papua New Guinea Exploration And Production Sector, Planned Natural Gas Asset Details 42
5.4 Papua New Guinea Exploration And Production Sector, Major Gas Discoveries 43
5.4.1 Papua New Guinea Exploration And Production Sector, Number of Gas Discoveries, 2004- 2009 43
5.4.2 Papua New Guinea Exploration And Production Sector, Gas Discovery Details 44
5.5 Papua New Guinea Exploration And Production Sector, Recent Discoveries 44
5.5.1 Jan 20, 2010: InterOil Confirms Indications Of Oil At Antelope-2 In Papua New Guinea 44
5.6 Papua New Guinea Exploration And Production Sector, Drilling and Production Updates 44
5.6.1 Jun 04, 2010: New Guinea Energy To Spud Panakawa-1 Well At Block PPL 267 In Onshore Papua New Guinea 44
5.6.2 Jun 01, 2010: Oil Search Provides Korka 1 Well Update 44
5.6.3 Apr 29, 2010: Oil Search Updates On Korka 1 And Al Meashar-1 Wells 45
5.6.4 Apr 22, 2010: Oil Search Updates On Korka 1 Well, Papua New Guinea 45
5.6.5 Apr 16, 2010: Eaglewood Energy To Spud Korka-1 well In Papua New Guinea 46
5.6.6 Apr 15, 2010: Oil Search Provides Drilling Update 46
6 Papua New Guinea Pipeline Sector 47
6.1 Papua New Guinea Pipeline Sector, Key Data 47
6.2 Papua New Guinea Pipeline Sector, An Overview 47
6.3 Papua New Guinea Pipeline Sector, Comparision of Key Natural Gas Pipeline Companies 47
6.4 Papua New Guinea Pipeline Sector, Natural Gas Pipelines 48
7 Papua New Guinea LNG Sector 49
7.1 Papua New Guinea LNG Sector, Liquefaction 49
7.1.1 Papua New Guinea LNG Sector, Liquefaction, Total Liquefaction Capacity 49
7.1.2 Papua New Guinea LNG Gas Sector, Capacity- Wise Market Share By Company 50
7.1.3 Papua New Guinea LNG Sector, Liquefaction Capacity by Terminal 51
8 Profile of Oil Search Limited 52
8.1 Oil Search Limited, Key Information 52
8.2 Oil Search Limited, Company Overview 52
8.3 Oil Search Limited, Business Description 52
8.3.1 Business Overview 52
8.3.2 Exploration and Production 52
8.4 Oil Search Limited, SWOT Analysis 54
8.4.1 Overview 54
8.4.2 Oil Search Limited Strengths 55
8.4.3 Oil Search Limited Weaknesses 55
8.4.4 Oil Search Limited Opportunities 56
8.4.5 Oil Search Limited Threats 57
9 Profile of Exxon Mobil Corporation 58
9.1 Exxon Mobil Corporation, Key Information 58
9.2 Exxon Mobil Corporation, Company Overview 58
9.3 Exxon Mobil Corporation, Business Description 58
9.3.1 Business Overview 58
9.3.2 Chemical 59
9.3.3 Downstream 60
9.3.4 Upstream 61
9.4 Exxon Mobil Corporation, SWOT Analysis 63
9.4.1 Overview 63
9.4.2 Exxon Mobil Corporation Strengths 63
9.4.3 Exxon Mobil Corporation Weaknesses 65
9.4.4 Exxon Mobil Corporation Opportunities 66
9.4.5 Exxon Mobil Corporation Threats 68
10 Profile of InterOil Corporation 70
10.1 InterOil Corporation, Key Information 70
10.2 InterOil Corporation, Company Overview 70
10.3 InterOil Corporation, Business Description 70
10.3.1 Business Overview 70
10.4 InterOil Corporation, SWOT Analysis 72
10.4.1 Overview 72
10.4.2 InterOil Corporation Strengths 72
10.4.3 InterOil Corporation Weaknesses 73
10.4.4 InterOil Corporation Opportunities 73
10.4.5 InterOil Corporation Threats 74
11 Financial Deals Landscape 76
11.1 Detailed Deal Summary 76
11.1.1 Acquisition 76
11.1.2 Partnerships 77
11.1.3 Asset Transactions 78
12 Recent Developments 93
12.1 License Awards 93
12.1.1 Dec 10, 2009: Papua New Guinea Approves InterOil's LNG Project Agreement 93
12.2 Strategy and Business Expansion 94
12.2.1 Sep 14, 2009: Talisman Energy Plans To Develop LNG Plant In Papua New Guinea 94
12.3 Other Significant Developments 94
12.3.1 May 27, 2010: Eaglewood Energy Provides Korka-1 Well Operations Update 94
12.3.2 May 25, 2010: InterOil Provides Operations Update 95
12.3.3 May 03, 2010: InterOil Updates On Antelope-2 Well In Papua New Guinea 95
12.3.4 Apr 19, 2010: LNG Energy Announces Joint 2D Seismic Acquisition Program With InterOil In Papua New Guinea 95
12.3.5 Apr 13, 2010: CPC Signs PNG LNG Purchase Agreement 96
12.3.6 Apr 07, 2010: LNG Energy Starts Airborne Magnetic And Gravity Survey In Papua New Guinea 96
12.3.7 Mar 12, 2010: ExxonMobil Clears Final Conditions To Proceed With PNG LNG Project 97
12.3.8 Jan 27, 2010: EFIC Supports McConnell Dowell’s Involvement In PNG LNG Project 98
12.3.9 Jan 11, 2010: InterOil Updates On Antelope-2 Well In Papua New Guinea 99
12.3.10 Jan 07, 2010: Cue Energy Completes Barikewa 2D Seismic Survey In Papua New Guinea 100
12.4 New Contracts Announcements 100
12.4.1 Mar 03, 2010: MOL Wins Signs Two Long Term Charters For Two LNG Vessels With ExxonMobil 100
12.4.2 Dec 10, 2009: ShawCor Announces Contracts To Provide Pipeline Coatings For PNG LNG Project 101
13 Appendix 102
13.1 Methodology 102
13.1.1 Coverage 103
13.1.2 Secondary Research 104
13.1.3 Primary Research 104
13.1.4 E&P Forecasts 104
13.1.5 Midstream Forecasts 106
13.1.6 Expert Panel Validation 106
13.2 Contact Us 106
13.3 About GlobalData 107
13.4 Disclaimer 107

1.1 List of Tables
Table 1: Papua New Guinea, Historic and Forecast Production and Consumption of Natural Gas, 1996-2020 12
Table 2: Papua New Guinea, Natural Gas Exports, Billion Cubic Feet, 1996-2020 14
Table 3: Papua New Guinea, Historic and Forecast Reserves of Natural Gas, 1996-2009 16
Table 4: Papua New Guinea, License Application and Annual Fees 21
Table 5: Papua New Guinea, Remaining NPV, Sensitivity to Discount Rates for sample model 27
Table 6: Asia Pacific, Investment Benchmarking, Overall Country Rankings, July 2010 28
Table 7: Asia Pacific, Investment Benchmarking, Upstream Fiscal Attractiveness, July 2010 29
Table 8: Asia Pacific, Investment Benchmarking, Gas Sector Performance, July 2010 31
Table 9: Asia Pacific, Investment Benchmarking, Economic Performance, July 2010 34
Table 10: Asia Pacific, Country Standings, Economic Performance, July 2010 34
Table 11: Asia Pacific, Investment Benchmarking, Socio-Political Performance, July 2010 36
Table 12: Asia Pacific, Country Standings, Socio-Political Performance, July 2010 36
Table 13: Papua New Guinea, Natural Gas Key Statistics, 2009 38
Table 14: Papua New Guinea, Total Marketed Natural Gas Production (MMcf), 2002-2009 39
Table 15: Papua New Guinea, Marketed Natural Gas Production by Type (MMcf), 2002- 2009 40
Table 16: Papua New Guinea, Marketed Natural Gas Production (MMcf), by Assets, 2002-2009 41
Table 17: Papua New Guinea, Marketed Equity Weighted Natural Gas Production by Company (MMcf), 2002- 2009 41
Table 18: Papua New Guinea, Active Natural Gas Field Asset Details 41
Table 19: Papua New Guinea, Planned Gas Field Asset Details 42
Table 20: Papua New Guinea, Number of Gas Discoveries, 2004- 2009 43
Table 21: Papua New Guinea , Gas Discovery Details, 2004-2009 44
Table 22: Papua New Guinea, Pipeline Key Statistics, 2009 47
Table 23: Papua New Guinea, Natural Gas Pipeline Length by Company (Km), 2009 47
Table 24: Papua New Guinea, Natural Gas Pipelines, 2009 48
Table 25: Papua New Guinea, Total Liquefaction Capacity (Million Tonnes), 2000-2015 49
Table 26: Papua New Guinea, Liquefaction Capacity by Company (Million Tonnes), 2000-2015 50
Table 27: Papua New Guinea, Liquefaction Capacity (Million Tonnes), 2000-2015 51
Table 28: Oil Search Limited, Key Facts 52
Table 29: Oil Search Limited, SWOT Analysis 54
Table 30: Exxon Mobil Corporation, Key Facts 58
Table 31: Exxon Mobil Corporation, SWOT Analysis 63
Table 32: InterOil Corporation, Key Facts 70
Table 33: InterOil And Pacific LNG Operations Acquire Stake In PNG LNG From Merrill Lynch 76
Table 34: Santos Enters Into An Agreement With ExxonMobil, Oil Search, Nippon Oil, AGL and MRDC 77
Table 35: InterOil Acquires Interest In Elk-Antelope Gas Field 78
Table 36: Mega Fortune International Acquires 10% Interest In PPL 259 From Eaglewood Energy 79
Table 37: Oil Search Terminates The Sale of Its 3.5% Interest In LNG Project In Papua New Guinea To International Petroleum Investment 80
Table 38: New Guinea Energy To Sell 15% Interest In PPL 268 And 50% Interest In PPL 269 To Talisman Energy 81
Table 39: Horizon Oil Completes Sale Of Its Interest In PRL 4 And 5 To Talisman Energy 82
Table 40: Horizon Oil Terminates The Sale Of Its 50% Interest In (PRL) 4 And 24.82% Interest In (PRL) 5 83
Table 41: Eaglewood Energy Acquires 10% Interest In PPL260 84
Table 42: Petronet To Acquire Stake In Papua New Guinea Project From InterOil 85
Table 43: Santos To Sell Its 50.353% Interest In PRL 5 In Papua New Guinea To P3 Global 86
Table 44: Nippon Oil Acquires Interest In Four Gas Exploration Licenses From Oil Search 87
Table 45: AGL Energy Sells Its PNG Assets To Merlin Petroleum And Nippon Oil Exploration 88
Table 46: Nippon Oil Acquires Stake In LNG Project And Oilfields From AGL Energy 89
Table 47: Petromin To Acquire Interest In Elk/Antelope Field From InterOil 90
Table 48: New Guinea Energy To Sell Stake In Its Onshore Oil And Gas Acreage 91
Table 49: Sasol Petroleum International Acquires Majority Stake In Natural Gas Exploration Licenses 92

1.2 List of Figures
Figure 1: Papua New Guinea, Energy Sector Split By Fuel-Type, 2009 10
Figure 2: Papua New Guinea, Natural Gas Production And Consumption, Billion Cubic Feet, 1996-2020 13
Figure 3: Papua New Guinea, Natural Gas Exports, Billion Cubic Feet, 1996-2020 15
Figure 4: Papua New Guinea, Natural Gas Reserves, Billion Cubic Feet, 1996-2009 17
Figure 5: Papua New Guinea, Sample Full Field Economics, Sample Cash Flows 24
Figure 6: Papua New Guinea, Sample Full Field Economics, Government and Contractor Takes 26
Figure 7: Papua New Guinea, Sample Full Field Economics, Post Tax Cash Flow vs. Gross Revenue 26
Figure 8: Papua New Guinea, Sample Full Field Economics, Project Post Tax Cash Flows At Various Discount Rates 27
Figure 9: Asia Pacific, Country Standings, Upstream Fiscal Attractiveness, July 2010 30
Figure 10: Asia Pacific, Country Standings, Gas Sector Performance by Reserves-Exploration & Production, July 2010 31
Figure 11: Asia Pacific, Country Standings, Gas Sector Performance by Production-Consumption, July 2010 32
Figure 12: Asia Pacific, Country Standings, Exploration Blocks Awarded, July 2010 33
Figure 13: Asia Pacific, Country Standings, Economic Performance, July 2010 35
Figure 14: Asia Pacific, Country Standings, Socio-Political Performance, July 2010 37
Figure 15: Papua New Guinea, Natural Gas Assets Map, 2009 38
Figure 16: Papua New Guinea, Total Marketed Natural Gas Production (MMcf), 2002- 2009 39
Figure 17: Papua New Guinea, Marketed Natural Gas Production by Type (MMcf), 2002- 2009 40
Figure 18: Papua New Guinea, Number of Gas Discoveries, 2004- 2009 43
Figure 19: Papua New Guinea, Natural Gas Pipeline Length by Company (Km), 2009 48
Figure 20: Papua New Guinea, Total Liquefaction Capacity (Million Tonnes), 2000-2015 49
Figure 21: Papua New Guinea, Liquefaction Capacity by Company (Million Tonnes), 2000-2015 50
Figure 22: GlobalData Methodology 103