Puma Energy in a statement said they have insufficient Foreign Exchange currency to purchase products, restricting the ability to import fuel company’s requests for action to avoid imminent fuel supply disruptions.
Puma Energy is not able to repay suppliers for fuel purchased from international markets over the past six weeks as it continues to urge commercial banks and the Bank of PNG (BPNG) to allocate foreign exchange.
Puma Energy currently has nearly USD 70 million of outstanding FX orders with the Bank of Papua New Guinea, which has limited the company’s ability to sustainably manage long term fuel requirements.
BPNG has not released sufficient USD to Puma Energy for its outstanding orders from October and commercial banks have not allocated available commercial FX flows to Puma.
Hulala Tokome, Chairman and Managing Director of Puma Energy Papua New Guinea said: “Ensuring fuel supply is vital to PNG. We continue to urge the BPNG and banks to work together and allocate FX flows to fulfill Puma Energy’s orders. We are working hard to ensure there is no impact of fuel supply this month and avoid the possibility of fuel rationing to preserve stocks for emergency services, hospitals and critical infrastructure, such as power generation.”
This FX issue was raised to the responsible authorities including the members of Parliament early this year; Deputy Prime Minister John Rosso said this issue between Bank of PNG and Puma Energy will be addressed however it still remains to date.
