Kumul Petroleum Holdings Limited (KPHL) today presented an interim dividend of K400 million to the Government, bringing the total contribution for 2026 to over K1 billion.
The K400 million payment follows an advance dividend payment of K150 million made in December 2025, bringing KPHL’s total dividend contribution to the State for 2026 to K550 million. Combined with more than K480 million in Advance Payments Tax already remitted this year, KPHL’s total direct contribution in 2026 now exceeds K1 billion.
KPHL continues to affirm its position as one of the country’s leading contributors to national revenue and economic development
The dividend was presented by Chairman Amb. Isaac Lupari, CBE, GCL, during an official ceremony attended by Prime Minister Hon. James Marape, MP, Petroleum Minister Hon. Jimmy Maladina, MP, Minister of State Enterprise Hon William Duma LLM MP, Government officials, KPHL Acting Managing Director, Luke Liria and the KPHL seniormanagement team.
Delivering Sustainable Returns to Papua New Guinea
Speaking at the presentation, KPHL Chairman Amb. Isaac Lupari said the dividend reflects the Company’s strong financial performance, disciplined stewardship, and commitment to delivering long-term value to Papua New Guinea.
“As the national petroleum company, our responsibility is to ensure that the country’s petroleum resources generate tangible and sustainable benefits for current and future generations of Papua New Guineans.”
The Chairman noted that today’s payment follows KPHL’s K700 million dividend distribution in 2025 and demonstrates KPHL’s ongoing commitment to supporting the Government’s fiscal priorities while maintaining prudent financial management,
The KPHL Board indicated that, subject to operational performance, cash flow requirements, debt obligations and future investment commitments, further dividend distributions will be considered during the remainder of the year.
Strong Contribution to National Development
Since 2014, KPHL has delivered substantial economic benefits to the State and the people of Papua New Guinea through dividends, taxes, investment and national development initiatives. Between 2014 and 2025, KPHL contributed:
- K1.827 billion in taxes;
- K3.431 billion in dividends
- K3.463 billion in strategic petroleum investments, including additional PNG LNG equity acquisitions, petroleum development commitments and the establishment of Niu Power Ltd in partnership with Santos;
- K416 million towards national development initiatives, including support for ANGAU Memorial Hospital, Port Moresby General Hospital and rural electrification programs; and
- K740 million through approved infrastructure projects
In addition, the Company has continued to support numerous community, education, health and social development initiatives throughout the country as well as its corporate socialresponsibility commitments.
Papua LNG Project Financing
KPHL has secured domestic financing which, together with cash flow from its 15.1% interest in the PNG LNG Project, will provide a total funding package of US$1.1 billion for the State’s 22.5% equity participation in the Papua LNG project.
Domestic lenders, through a BSP-led consortium, will provide US$300 million, whi|st the remaining US$800 million will be funded from KPHL’s PNG LNG cash flow from 2026 to 2032.
For 2026, KPHL has US$ 180 million to meet its first cash call following the project’s final investment decision (FID).
Historic Milestone in State Project Financing
Chairman Lupari said this marked the first time in Papua New Guinea’s political history that funding of this size and magnitude had been raised domestically, together with the national petroleum company’s own cash flow, to support the State’s participation in a major resources project. He commended Prime Minister Hon. James Marape and his Government for this historic milestone.
Governance Reform and Institutional Strengthening
KPHL is currently implementing a broad organisational transformation program aimed at strengthening governance, improving operational efficiency and preparing KPHL for future growth opportunities, including participation in the Papua LNG Project. The reform program focuses on:
- Increasing returns to the State;
- Strengthening KPHL’s commercial performance;
- Enhancing governance and accountability;
- Improving investment and procurement oversight; and
- Positioning KPHL as a fully integrated and active petroleum asset management company.
As part of this initiative, KPHL has introduced enhanced governance controls across procurement, approvals, sponsorships, expenditure management and corporate decision-making processes.
Forensic Review of Historical Non-Core Investments
The KPHL Board has also commenced a comprehensive forensic review of historical non-core investments and expenditures valued at approximately K1.2 billion. All non-core projects have been placed under care and maintenance while the forensic audit is underway. Projects currently under review include:
- Kumul Tower;
- Jet A-1 Fuel Facility;
- Fabrication and Technical Training Facility;
- Construction of Surgical Ward Port Moresby General Hospital; and
- Purchase of a vessel from India
The review will assess governance compliance, procurement processes, investment performance, commercial outcomes and value-for-money considerations. According to Chairman Lupafi, the review is intended to strengthen corporate accountability and ensure future investments are aligned with KPHL’s core business mandate and commercial objectives.
“As custodians of strategic State assets, we have a responsibility to ensurethat every investment undertaken delivers measurable value and contributes to the nation’s long-term economic interests.”
Strategic Focus on Core Petroleum Business
KPHL is also undertaking a strategic review of its wider asset portfolio to ensure greater focus on its core petroleum operations. Where appropriate, non-core assets may be jointly developed, leased to competent operators, or divested through structured commercial arrangements. KPHL said future partnerships will be based on strict commercial principles, prioritising partners with demonstrated technical capability, operational experience and financial strength.
Commitment to Nation Building
Chairman Lupari said that while financial performance remains important, KPHL’s overarching objective is to create sustainable value for all Papua New Guineans through responsible stewardship of national petroleum assets.
“Every dividend we pay, every investment we make and every decision we take must contribute towards the prosperity of our nation. Strong financial performance must be matched by strong governance, accountability and transparency.” He added that KPHL will continue to pursue disciplined growth, strengthen governance standards and support the Government’s development agenda while creating lasting value for future generations.
