Oil Search brings Total into Papua New Guinea for first time

Long-time Papua New Guinea explorer Oil Search Ltd. has farmed out a 50% interest in five of its Papua New Guinea exploration permits to France’s Total SA. It is the major’s first entry into the country.

The value of the deal has not been disclosed, but Total will reimburse Oil Search for past licence costs and provide a partial carry through an initial offshore drilling program in the Gulf of Papua as well as for the acquisition of seismic data in several onshore permits.

Further payments will be made if the exploration program is successful.

The deal includes as many as seven exploration and appraisal wells in the offshore permits and as many as eight wells onshore. Oil Search has retained the operatorship.

The deal is a culmination of a lengthy selection process which involved Oil Search looking at a number of international, LNG-capable independent oil and gas companies.

The drilling program of two definite wells and two options will begin offshore during first-quarter 2013.

Total says the deal is part of a strategy to strengthen the company’s presence in the region, particularly in gas and LNG.

Oil Search and Total have previously had a relationship, sharing exploration interests in the Middle East and an adjunct to the Papua New Guinea deal is an agreement for the two companies to form a strategic partnership to evaluate other licence prospects in the country—but excluding the highland region where Oil Search has a 29% of the Papua New Guinea-LNG project operated by ExxonMobil Corp.

Total says it is interested in carbonate plays and the most likely alliance with Oil Search will be Miocene-age carbonate prospects in the offshore Papuan Gulf where gas discoveries like Pandora and Pasca were made in the 1980s and onshore Gulf Province where Canadian company InterOil has had success with its Elk and Antelope gas discoveries.

Related Articles

WAFWA: Aerial survey finds lesser prairie chicken population grew

07/06/2015 A recent range-wide aerial survey found the lesser prairie chicken population rose 25% from 2014 to 2015, the Western Association of Fish & Wil...

Buru awarded onshore Canning licenses

07/06/2015 Buru Energy Ltd., Perth, and Mitsubish Corp. have been granted two production licenses for Ungani oil field in the onshore Canning basin of Western...

Earth model assists Permian asset valuation

07/06/2015 Laredo Petroleum Inc.'s Permian-Garden City asset is an unconventional resource play with more than four potential stacked zones covering a 1,700 s...

China's Yanchi area, western Ordos basin derived from mixed source

07/06/2015 The Yanchi area lies in the west of China's Ordos basin and to the west of the giant Sulige gas field, site of recent breakthroughs in Lower Permia...

Newfoundland, Labrador prepare for deepwater exploration

07/06/2015 Canada-Newfoundland and Labrador Offshore Petroleum Board's (C-NLOPB) most recent call for bids for the Eastern Newfoundland Region is coming to a ...

US House committee leaders send letters to Plains, PHMSA about leak

07/06/2015 US House Energy and Commerce Committee leaders from both parties asked Plains Pipeline LP and the US Pipeline and Hazardous Materials Safety Admini...

EIA: Argentina, China lead shale development outside North America

07/06/2015 Argentina and China have respectively drilled more than 275 and 200 wells targeting shale plays over the past 2 years, providing each country with ...

Judge's order delays BLM's implementation of fracing regs

07/06/2015 A federal district judge in Wyoming temporarily delayed the US Bureau of Land Management's implementation of its recently issued hydraulic fracturi...

Tullow Oil provides production update on Jubilee, other fields

07/01/2015 Tullow Oil PLC reported that gross production for the Jubilee field offshore Ghana averaged 105,000 b/d in this year’s first half, up from 102,000 ...
White Papers

UAS Integration for Infrastructure: More than Just Flying

Oil and gas companies recognize the benefits that the use of drones or unmanned aerial systems (UAS) c...

Solutions to Financial Distress Resulting from a Weak Oil and Gas Price Environment

The oil and gas industry is in the midst of a prolonged worldwide downturn in commodity prices. While ...
Sponsored by

2015 Global Engineering Information Management Solutions Competitive Strategy Innovation and Leadership Award

The Frost & Sullivan Best Practices Awards recognise companies in a variety of regional and global...
Sponsored by

Three Tips to Improve Safety in the Oil Field

Working oil fields will always be tough work with inherent risks. There’s no getting around that. Ther...
Sponsored by

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by
Available Webcasts

Operating a Sustainable Oil & Gas Supply Chain in North America

When Tue, Oct 20, 2015

Short lead times and unpredictable conditions in the Oil & Gas industry can create costly challenges in supply chains. By implementing a LEAN culture of continuous improvement you can eliminate waste, increase productivity and gain end-to-end visibility leading to a sustainable and well-oiled supply chain.

Please join us for this webcast sponsored by Ryder System, Inc.


On Demand

Leveraging technology to improve safety & reliability

Tue, Sep 22, 2015

Attend this informative webinar to learn more about how to leverage technology to meet the new OSHA standards and protect your employees from the hazards of arc flash explosions.


The Resilient Oilfield in the Internet of Things World

Tue, Sep 22, 2015

As we hear about the hype surrounding the Internet of Things, the oil and gas industry is questioning what is different than what is already being done. What is new?  Using sensors and connecting devices is nothing new to our mode of business and in many ways the industry exemplifies many principles of an industrial internet of things. How does the Internet of Things impact the oil and gas industry?

Prolific instrumentation and automation digitized the industry and has changed the approach to business models calling for a systems led approach.  Resilient Systems have the ability to adapt to changing circumstances while maintaining their central purpose.  A resilient system, such as Maximo, allows an asset intensive organization to leverage connected devices by merging real-time asset information with other critical asset information and using that information to create a more agile organization.  

Join this webcast, sponsored by IBM, to learn how about Internet of Things capabilities and resilient systems are impacting the landscape of the oil and gas industry.


Taking the Headache out of Fuel License and Exemption Certificates: How to Ensure Compliance

Tue, Aug 25, 2015

This webinar, brought to you by Avalara, will detail the challenges of tax document management, as well as recommend solutions for fuel suppliers. You will learn:

-    Why it’s critical to track business partner licenses and exemption documents
-    The four key business challenges of ensuring tax compliance through document management
-    Best practice business processes to minimize exposure to tax errors


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!


Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected