ExxonMobil PNG agrees electricity sale to PNG Power

ExxonMobil PNG agrees electricity sale to PNG Power

ExxonMobil PNG, operator of the PNG LNG project, has executed an agreement for the sale of electricity to PNG Power.

Under the agreement, PNG LNG will supply up to 25 megawatts of electricity to PNG Power, which will, in turn, build the necessary infrastructure to the LNG plant in order for supply to commence, the company said in a statement.

The agreement fulfills one of the key commitments made under a memorandum of understanding signed by ExxonMobil and the government of Papua New Guinea in January 2015 to provide domestic gas for power generation for Port Moresby.

It is expected the work to connect supply from the LNG plant will be completed in time for the Pacific Games. In addition, the memorandum of understanding provides for the supply of long-term gas sales to a new state-owned gas-fired power generation unit to be built near the LNG plant.

Image: Oil Search

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