PNG Gas Can Sustain Economy: Duma

Petroleum and Energy minister Mr William Duma believes the oil and gas industry in Papua New Guinea can continue to play an important role in sustaining the country’s economy well into the foreseeable future.

Petroleum & Energy Minister, William Duma

In his address to the twelfth Papua New Guinea Mining and Petroleum Investment Conference in Sydney, Australia, Mr Duma told delegates that “the petroleum sector has been the main backbone of our economy."

“It has indeed made a substantial contribution to our economy but it has much more to contribute in the future considering the gas developments taking place in the country and certainly the prospects that lie ahead”, Mr Duma said.

This is despite the country having declining crude oil reserves and “no new positive or economically viable oil discoveries” anticipated.

Mr Duma expressed concern that the country’s economy could be adversely affected without new developments in the oil and gas sectors, stating the need for “stronger and broader economic development” in tandem with existing energy projects.

“The gas industry has the capacity to make a real difference replacing oil revenues and in shaping our country”, Mr Duma said.

He added that the challenge for the O’Neill government would be to “raise the standard of living” for the people of PNG “and to enhance their participation in economic development.”

The three-day annual Mining and Petroleum Investment Conference is being attended by a record 1350 delegates from all sectors of the oil and gas industry and will end on Wednesday.