Through its co-ownership in PDL 1, Kumul Petroleum together with the PDL 1 partners, jointly sell gas to the Oil Search wholly-owned and operated gas-to-electricity plant (the “Hides Project”). The Hides Project buys gas from the PDL 1 partners, conditions and sells to the Barrick operated Porgera gold mine.
The SE Gobe field is located in the Southern Highlands Province of PNG, 85 km southeast of the Kutubu Oil field. It forms one half of the oil fields in the Gobe Anticline with the other half being the Gobe Main field. KPH interest in PDL3 obtained via acquisition of Cue Energy interest in 2014 and the acquisition of Southern Highlands Petroleum (SHP), a subsidiary of JX Nippon, in 2017.
Production from the oil column commenced in 1998 peaking at 18,400 BOPD in same year before declining. In March 2015, gas blowdown started with gas export to PNGLNG at a rate of about 35 MMscfd.
Petromin (Eda Oil) interest in PDL5, Moran oil field, was transferred to KPHL in June 2016, as part of the Legislation mandating Kumul Petroleum Holdings as the PNG Government representative of all petroleum development licences in PNG. The field is operated by Oil Search. It is unitised into the Moran Unit containing PDL2, PDL5, PDL6 portions of the Moran field.
Kumul Petroleum is the State’s nominee in the ExxonMobil operated PNG LNG Project (the “Project”) in accordance with the Oil & Gas Act 1998.
Kumul Petroleum has a 16.57% participating interest, the 3rd largest, in this multi-field, multi-party, integrated venture having a development cost of over US$19 billion that includes a gas conditioning plant upstream in Hides, a combined 700 kilometres of on-shore and offshore pipeline and a two train LNG plant near Port Moresby. The Project has a nameplate of 6.9 MTPA producing 9 TCF of gas over 20 years.
Kumul Petroleum’s participating interest is determined by the amount of gas committed to the Project from a defined area within its four underlying petroleum development licences (PDL). Kumul Petroleum has a 20.5% interest in each of:
The joint venture owners of the Project are: ExxonMobil (33.2%), Oil Search (29.0%), Kumul Petroleum Holdings Limited (16.6%), Santos (13.5%), JX Nippon (4.7%), MRDC (2.8%) and Petromin (0.2%) whose interest are been added to Kumul Petroleum Holdings.