Papua New Guinea has reaffirmed the strength and consistency of the Papua LNG project framework, underscoring the role of established joint marketing arrangements in supporting long-term revenue stability and investor confidence.
The Ministry of Petroleum in April reiterated a press statement issued on March 13, 2026. Minister for Petroleum Hon. Jimmy Maladina said the government is maintaining the marketing structure agreed under the 2019 Papua LNG Gas Agreement, describing it as a critical component of the project’s commercial and financing architecture.
The agreement, signed during the administration of former prime minister Peter O’Neill, provides for joint marketing between TotalEnergies and state nominee Kumul Petroleum Holdings Limited. Maladina said the arrangement is not a new policy direction but a contractual obligation embedded in the project framework.
“We are not changing anything. We are executing what the State already agreed to in 2019,” he said.
From a commercial standpoint, joint marketing is widely recognised across global LNG developments as a mechanism that improves market access, strengthens bankability and enhances revenue predictability. The structure also aligns with financing requirements, including TotalEnergies’ role in supporting the State’s equity participation.
The government reiterated that the State retains full equity entitlement under the agreement, with revenues earned in proportion to its shareholding. Kumul Petroleum will also maintain board representation within the joint marketing structure, ensuring visibility and participation in decision-making.
Maladina emphasised that joint marketing does not transfer ownership of resources or diminish the State’s revenue rights, but forms part of a broader framework designed to support project delivery and long-term returns.
The statement also reaffirmed the government’s commitment to strengthening Kumul Petroleum as the national petroleum company, within the bounds of existing contractual obligations. Maintaining consistency in agreements, he said, is critical to safeguarding Papua New Guinea’s credibility with investors and international partners.
“The Government is implementing the terms of an agreement entered into by the State. Any departure would expose Papua New Guinea to legal, financial and reputational risks,” he said.
As Papua LNG advances, the government urged stakeholders to rely on verified information and established agreements when engaging in discussions on the project, signalling a continued focus on stability and disciplined execution in the country’s resource sector.
