Kumul Petroleum Holdings finance extension

In response to Santos’s advice to the ASX that it agreed to continue to deal exclusively with Kumul Petroleum Holdings during a requested extension until 31 August 2023, KPHL managing director Wapu Sonk said that this was necessary to finalise arrangements for the acquisition of additional equity in the PNG LNG Project.

Wapu Sonk said, ““We are grateful to Santos for the extension and for allowing us the opportunity to secure the additional project equity, for the success and prosperity of the PNG economy. We are currently identifying financiers who understand the unique potential in PNG.”

“Kumul Petroleum is confident that we will be successful in financing the transaction with support from financiers and by working closely with Santos Limited.”

Mr Sonk also thanked the Prime Minister James Marape and his Cabinet who continued to support the transaction due to its strategic nature.

“Given the current volatility in international financial markets and high interest rates Kumul Petroleum needs this time extension in order to complete the equity acquisition transaction. We are presently dealing with a number of private sector lenders and I am confident that we will secure an appropriate financing package”.

“Our first priority is the sustained economic development of PNG’s economy and infrastructure, in which KPHL contributes to directly as a player in the petroleum industry and indirectly through its nation-building programmes and payment of dividends to the State.”

“Increasing national equity in the PNG LNG Project is crucial to enhancing long term revenue base, influence local content in Projects, national development and ensuring that Papua New Guineans benefit from future LNG and other hydrocarbon based projects.”