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Santos, along with P'nyang project participants ExxonMobil and JX Nippon, signed a contract with the Papua New Guinea government for the Papua New Guinea liquefied natural gas (PNG LNG) plant.
The parties will sign a gas agreement that provides a clear framework for the future development of the project
The signing of the agreement marks an important milestone for the project, which is developing the financial framework and supporting project scoping and evaluation
The P'nyang project, operated by ExxonMobil, will deliver LNG through new upstream facilities in the western province linked to existing infrastructure
In addition, the project is also subject to the final investment decision of the participants
When completed, up to 5% of P'nyang gas will also be used to support the government's electrification efforts
Santos chief executive Kevin Gallagher said he looked forward to supporting the operator in developing the resource for the region, which is also a long-term backfill to existing LNG infrastructure
He also stressed that the P'nyang project will start after the Papua LNG project is delivered
“Under a benefit-sharing agreement to be negotiated in the future, the P’nyang project will provide benefits to
Santos holds a 38.
