Santos buys stake in PNG licence

Australian LNG operator Santos will purchase a 20 percent equity in the PPL 339 licence in Papua New Guinea via a farm-in agreement with Kina Petroleum Limited.

The license is located within the Aure Fold Belt, southeast of the Elk/Antelope fields in an area with active natural seeps and represents Santos’ first entry into this new play in PNG, the company said in a statement.

The Elk/Antelope fields are to be developed by the participants in the PRL 15 joint venture to underpin the Total-led Papua LNG export project.

Santos will join Total and Oil Search which have 35% each in PPL 339. Kina Petroleum will retain a 10 percent stake.

The farm-in is subject to customary government and joint venture partner approvals.