Prime Minister James Marape has assured landowners and provincial governments involved in the PNG LNG Project that their agreed equity interests will remain intact as the government finalizes a structure to manage long-term benefits from the country's flagship liquefied natural gas project.
Speaking during Question Time in Parliament, Marape said the government was continuing consultations with affected provinces and beneficiary groups and would not impose a final structure without their participation.
His remarks came in response to questions from Hiri-Koiari MP Keith Iduhu, who sought an update on outstanding landowner benefits under the PNG LNG Project, particularly for communities in Central Province.
Marape said the restructuring process remained ongoing and emphasized that the equity allocated to beneficiaries under the Kokopo Umbrella Benefits Sharing Agreement would not be reduced.
"There will be no dilution whatsoever of the total stake allocated to the beneficiaries," he told Parliament.
"The total stake was agreed under the Kokopo Umbrella Benefits Sharing Agreement, and it will not be diluted or transferred to other beneficiary groups."
The prime minister said the government had already begun discussions with governors from the affected provinces, recognizing their constitutional role in determining how provincial equity interests should be managed.
He said provincial executive councils and provincial assemblies would be responsible for deciding whether their equity should form part of a unified investment structure or be managed independently.
"The Provincial Executive Councils and Provincial Assemblies must decide what is best for their respective provinces and communicate their preferred option to the National Government," Marape said.
He encouraged Central Province leaders, including Iduhu as a member of the Provincial Assembly, to work with the provincial government to reach a collective decision.
Marape said the government's proposal aims to safeguard the long-term value of the 4.27% equity interest in the operational PNG LNG Project while generating sustainable wealth for landowners and provincial governments.
He described the stake as a premium asset that could continue producing income for future generations if professionally managed.
"To the people of the five beneficiary provinces, the 4.27 per cent ownership in a de-risked PNG LNG Project is a premium asset," he said.
"You can choose to distribute the proceeds each year, or you can place the interest in a properly managed structure that continues earning and creating wealth perpetually for the people."
Marape cited the Mineral Resources Development Company (MRDC) as an example of how consolidated landowner assets can generate stronger long-term returns through professional investment and management.
He said the objective was not to alter existing entitlements but to protect and grow the asset so benefits continue flowing to landowners, provincial governments and future generations.
The prime minister said provincial governments have now been asked to evaluate the available options and advise the national government of their preferred arrangements.
He reiterated that provinces wishing to manage their equity independently would be free to do so, provided the decision reflected the collective interests of landowners and local communities.
Marape said consultations with provincial leaders and recognized beneficiary groups would continue before any final structure is adopted, reaffirming the government's commitment to honoring legally agreed benefits and strengthening landowner participation in major resource projects.
