Highlands News

Hides Landowners Demand Answers from LNG Developer

by Michelle Amba – EM TV, Port Moresby

Resource owners from the PNG LNG Project have threatened to shut down the Conditioning Plant in Hides if their demands are not met by the state.

More than a year after the first shipment of the LNG gas, resource owners are still waiting for their royalties.

Landowners from Petroleum Development License areas 1 and 7 have written to developer, Exxon Mobil, questioning the delay in their royalty payments.

Those from PDL 1 are urging the state to bring the balance of K19 million of their Business Development Grants to Hela not to do pay outs in Port Moresby.

Exxon Mobil responded through a letter saying the money is with the State, who is responsible for administering landowner royalties.

Landowners say certain landowners who have connections with government heads and politicians are benefiting, while many are suffering.

Exxon Mobil has been paying landowner royalties to a nominated account identified by the Department of Petroleum and Energy.

The holdup is with the process of identifying landowners for benefit distribution, a process yet to be completed by the Department of Petroleum and Energy.

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