TotalEnergies (TTE.L, TTE.PA) said Monday that the Papua LNG project in Papua New Guinea is advancing towards a final investment decision after achieving major contractual and commercial milestones.
The milestones include the completion of the engineering, procurement and construction tendering process, finalization of the gas agreement, creation of a liquefied natural gas marketing joint venture and the execution of an LNG off-take heads of agreement.
TotalEnergies also agreed to transfer operatorship of the project to ExxonMobil and sell a 9.1% interest to its Papua LNG partners, while retaining a 20% stake and its LNG offtake share.
Following the completion of the farm-down and the exercise of the Papua New Guinea government's back-in right, ExxonMobil will hold a 34.1% stake, Santos 21%, Eneos Xplora 2.4%, and Kumul Petroleum Holdings and MRDC 22.5%, the company said.