The Japan Bank for International Cooperation (JBIC) said today it has signed a $263 million loan agreement with Nippon Oil Exploration (PNG) Pty Ltd., an subsidiary of JX Nippon Oil and Gas Exploration Corp., for the PNG LNG Project in Papua New Guinea.
The loan will be provided jointly with the Bank of Tokyo-Mitsubishi UFJ, Mizuho Corporate Bank and Sumitomo Mitsui Banking Corp.
The PNG LNG Project participating parties include Exxon Mobil Corporation, Nippon Oil Exploration Limited, Oil Search Limited in PNG, Santos Limited in Australia and the PNG Government.
It plans to produce 6.6 million tons of LNG per year, as well as crude oil by developing oil and gas fields in the upstream, laying pipelines and constructing LNG liquefaction facilities.
About one half of the LNG produced in the Project is expected to be supplied to Japan.
LNG World News Staff, December 9, 2011; Image: Santos