PNG LNG Restarts Second Train

Papua New Guinea LNG has restarted its second train and resumed LNG exports after having been closed due to an earthquake in the country’s highlands in late February, joint venture partners have said.

Operator ExxonMobil confirmed in a company results call on April 27 that train 2 had restarted. On April 30 it provided more detail, saying: “Production has been gradually increasing since the Hides gas conditioning plant and one train at the PNG LNG plant restarted earlier in the month. The company expects to reach full capacity in May."

Santos CEO Kevin Gallagher said: “The safe restart and ramp-up of both LNG trains ahead of ExxonMobil’s previously estimated eight-week timeframe is a major achievement by the operator”.

PNG LNG was closed February 26 due to the 7.5 magnitude earthquake and production of train one did not resume until April 13. Initial estimates pegged the restart date and the end of the month or early May.

PNG LNG is operated by ExxonMobil (33.2%), with Santos (13.5%), National Petroleum Company of PNG (16.8%), JX Nippon Oil and Gas Exploration Company (4.7%), Mineral Resources Development (2.8%), and Oil Search (29%) holding interests in the project, which has a current nameplate capacity of 6.9mn metric tons per year but can operate in excess of 8.5mn mt/yr.