Exxon secures extra $1.5 bln financing for PNG LNG

Reuters

PERTH, Oct 4 (Reuters) - Exxon Mobil has secured anadditional $1.5 billion in debt financing for its $19 billionPapua New Guinea liquefied natural gas (LNG) project, itsproject partner Oil Search said on Friday.

The $1.5 billion in supplemental financing will help coveroverruns at the 6.9 million tonne per year LNG development,where costs climbed to $19 billion from $15.7 billion late lastyear.

PNG LNG remains on track to deliver its first LNG cargoes in2014, Oil Search said.

Partners in PNG LNG, led and operated by Exxon Mobilsubsidiary Esso Highlands Ltd, include Oil Search, NationalPetroleum Company Papua New Guinea (NPCP), Santos, JXNippon Oil & Gas Exploration, Papua New Guinea's MineralResources Development Company and Petromin PNG Holdings Limited.

The PNG LNG project is Papua New Guinea's biggest-everresources development and could lift GDP by 20 percent.

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