PNG LNG PAYS ALL REVENUES UNDER THE PROJECT AGREEMENT WITH STATE

PNG LNG PAYS ALL REVENUES UNDER THE PROJECT AGREEMENT WITH STATE

Press Statement released on Friday, 3 September 2015

The Governor of Bank of Papua New Guinea, Mr Loi Bakani has reassured the people of PNG that all revenue streams from the PNG LNG Project have been paid by the operator on time and as required under the PNG LNG Project Agreement.

Loi Bakani further confirmed landowner royalties are being paid by the operator into a Trust Account with the Bank of PNG.

“I would like to allay landowner concerns that their royalties have not been paid.  To date approximately K108 million in landowner royalty payments has been deposited by PNG LNG, into a Trust account set up by the Government of Papua New Guinea with the Bank of PNG. The money has been safeguarded for landowners with multiple government signatories required before the money can be released.

“As soon as the Government has completed the process of landowner identification currently underway, all necessary arrangements will be made to disburse the funds to the rightful landowners,” said Bakani

Bakani also said that in addition to landowner royalties, the operator of the PNG LNG project paid its first Development Levy payment of K73.8 million on 27 March this year.

“In addition to royalties and development levies the State is directly benefiting from the PNG LNG project thought equity dividends paid by the operator to the National Petroleum Company of PNG and direct and indirect taxes.

“This is a project of national importance to Papua New Guinea and we look forward to working with ExxonMobil PNG in support of future expansion opportunities, including the P’nyang development.”

Authorised by: Loi M Bakani CMG

                          Governor