OIL SEARCH LIMITED Oil Search and the 1 PNG Gas Project
PNG Gas Project - A Long Pipeline Project making inexorable progress towards Sanction (Final Investment Decision) Focus on final delivery of key requirements: Final customer mix Government / Landowner agreements Pipeline and…
A New Business Environment Sustained high oil prices Unprecedented demand for gas (especially in Asia Pacific) delivering a new price environment for exports Increasing price disconnect between East Coast Australian market and…
Lessons from the Past PNG Gas Project has had a number of iterations: 1st iteration Townsville supply from Pandora Too small a market Too little reserves 2nd iteration Townsville and Gladstone markets Required : Kutubu and…
Lessons from the Past 3rd iteration The Queensland Solution A pragmatic Joint Venture solution Strong alignment with governments 150 into 120 doesnt go Too much too soon 4th iteration Upstream integration and recalculation A few…
Lessons from the Past 5th iteration Alignment of interests as the Gas World changes Revised Development Plan Diverse market requirements Maximum liquids value Rigorous engineering and cost analysis Focus on alignment of partners…
A Generational Change in Supply Gas Supply fundamentals for the East Coast Markets are being set for the next 20 plus years The Cooper Transition Mature assets Importance of the Moomba Hub A Healthy and Growing CSG Supply…
The Impact of Changes Gas pricing in East Coast Market will remain highly competitive Ensures gas market growth and large pie for us all Delivers gas across many markets NT to Sydney to SA. Gas on gas competition and supply…
Catalyst for Change Major changes in supply arrangements Growth of integrated upstream, midstream and downstream companies Project facilitation (singular alignment) Selective value extraction along the complete chain LNG Model…
Oil Search Gas Commercialisation Startegy Oil Search has over 1 billion boe of proven and probable uncontracted gas and associated liquids Resource is of considerable potential value, as world prices continue to climb…
Gas Resources in PNG (Gross) Recoverable Gas (bcf) Elevala 30,000 Ketu Pandora Recoverable Gas (bcf) 25,000 Uramu Kimu Barikewa 20,000 P'nyang Yet to Find Angore 15,000 Juha Hides 10,000 SE Gobe Gobe Main…
PNG Gas Project Sale of gas from PNG Highlands to Australia through over 4,000 km of pipeline Conditional & firm contracts signed for total gas sales of 155- 229 PJ pa Pipeline in Australia to be constructed by APC (JV between…
PNG Gas Project Status Markets are largely underwritten. Likely to be close to/at initial build plant capacity. Government/landowner agreements - substantial activities in PNG to finalise regulatory and landowner agreements with…
Australian East Coast Gas Supply / Demand 1200 1000 800 PNG OPPORTUNITY PJ VOLUME 600 CSG OTWAY 400 COOPER BASIN 200 GIPPSLAND 0 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 The market…
Gas Commercialisation Phase 2 PNG Gas Project commercialises significant volume of reserves and delivers major infrastructure spine Opens way for further gas development in PNG, for in-country projects and LNG New initiative…
Phase 2 Gas Strategy Aiming for 150 PJ pa initial market load in Port Moresby, growing to over 300 PJ pa FEED on pipeline from Kopi to Port Moresby Flexible gas supply options but to include potential development of: Juha (OSH…
Current Oil Production and PNG Gas Project 17
Juha Angore Pnyang Honinabi Current Oil Production Mogulu North Mogulu South and PNG Gas Iehi Project Kimu Uramu Including Barikewa Phase 2 Gas Pandora 18
PNG Gas Project A Long Pipeline Project fundamentals Simple upstream design configuration optimises facilities and accelerates liquids production Robust cost and schedule estimates Established market threshold, with long term…
PNG Gas Project A Long Pipeline Learning lessons from the past Project being driven by motivated stakeholders Upstream alignment Key stakeholders with upstream, midstream and downstream alignment Important corporate drivers to…
OIL SEARCH LIMITED PNG Gas Project A Catalyst for Change in the East Coast Energy Market 21