The Pasca A Project in Papua New Guinea, spearheaded by Twinza Oil and the Mineral Resources Development Corporation (MRDC), is poised to move forward in two phases with a projected investment of $1.5 billion USD. The development strategy for this major initiative has been detailed by Twinza’s Chief Executive Chairman, Stephen Quantrill.
Quantrill outlined that the project will start with the production of liquids and later shift to liquefied natural gas (LNG) via a floating LNG facility. “Our approach is both innovative and efficient, designed for safety, rapid revenue generation, and cost-effectiveness,” Quantrill remarked.
The project’s infrastructure will include the installation of three wells. Operations will occur in waters approximately 90 meters deep, with the reservoir crest about 2,000 meters below sea level and the gas-water contact at roughly 2.4 kilometers.
Since its initial exploration license application in 2008, Twinza has been deeply invested in the Pasca A Project, committing over K400 million to date. This investment has supported extensive activities including drilling, seismic surveys, and other specialized assessments, all validated by Gaffney, Kline & Associates with the latest update provided in early 2023.
The project is projected to make a substantial impact on Papua New Guinea’s economy, with initial revenues expected by 2028. In mid-2024, Twinza and MRDC signed a K45 billion agreement to foster a collaborative relationship between the investor and the PNG government for effective project management.
Quantrill stressed the importance of regulatory certainty for securing investment, noting that regulatory approvals, such as the gas agreement and petroleum development license, are crucial for the project’s progress. “Securing regulatory approvals is essential for investment, and these are key milestones for us,” he emphasized.
Recognized by the PNG government as one of the top five new resource projects, the Pasca A Project is seen as a “low-hanging fruit” due to its straightforward offshore development in the shallow waters of the Gulf of Papua, about 90 kilometers from the coast.
The development will incorporate standard facilities, starting with a jack-up platform with topsides and a Floating Storage and Offloading (FSO) unit for initial liquid production, and transitioning to floating LNG for gas production.
