The government-owned entity has made initial cash payment as part of its continuing plan to fund 20.5% of the costs of developing the field.
InterOil Executive Vice President Christian Vinson described the Petromin buy-in as an important milestone in the development of the gas field.
“We hold very high hopes for Elk/Antelope, based on testing we have undertaken in recent months”.
“We believe the discovery has the potential to make a major contribution to the future economic development of the nation”, he said.
“On this basis we are delighted to have Petromin aboard”.
Recent testing has shown the Elk-4 site has a gas flow rate of 105 million cubic feet per day.
It is greatest flow rate from any exploratory gas well in PNG history.
Estimates show Elk-4 having a condensate rate of 1,890 barrels per day.
“The flow rate is a great indicator of the potential deliverability of the reservoir”.
“It gives a strong indication as to the quality and quantity of the Elk/Antelope discovery”, Mr. Vinson said.
InterOil is currently drilling the Antelope -1 exploration well.
It is intended gas from this field would feed the proposed Liquid Niugini Gas Project, of which InterOil is a foundation partner.
The multi-billion Kina development project would bring a wide range of economic benefits to the nation.
The initial phase would see a pipeline constructed from the
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