((Automated translation by Reuters, please see disclaimer https://bit.ly/rtrsauto))
(Added quote from statement and context)
French oil and gas giant TotalEnergies TTEF.PA said on Monday that a new liquefied natural gas (LNG) project in Papua New Guinea would require “more work” before a final investment decision could be made. .
TotalEnergies said its chief executive Patrick Pouyanne recently told Papua New Guinea Prime Minister James Marape that the project would need to work with third-party contractors to achieve commercially viable engineering, procurement and construction contracts. .
“With this in mind, the project will review the structure of certain lots and open the competition to a wider panel of Asian entrepreneurs. Consequently, the final investment decision () of the Papua LNG project is now expected for 2025,” he said. the company said.
The head of local producer Kumul Petroleum previously said the final investment decision was planned for 2024.
Marape and Pouyanne agreed that this delay would not affect the first works planned in Papua New Guinea in 2024.
The Papua LNG project, with a capacity of 5.4 million tonnes per year, is the second major gas project in the poor Pacific country. It is a joint venture between TotalEnergies, Exxon Mobil XOM.N and Santos STO.AX and state-owned Kumul Petroleum.
The resource-rich but poor South Pacific country is seeking to boost foreign investment and trade amid a struggle for influence between the United States and China in the region.
Environmental groups said the LNG project was incompatible with keeping global warming below 1.5°C because of emissions produced when the gas is burned by customers.