New Guinea Energy Limited (ASX:NGE OTC:NGELY) is an Australian company that has historically focussed on oil and gas exploration in Papua New guinea (PNG). It is now a Listed Investment Company that retains some legacy PNG Assets.
A LIC is an entity whose principal activities relate to investing (directly or indirectly) in listed and unlisted securities.
NGE may make investments in any industry and will be able to diversify across sectors, companies and trends. Our focus market is Australia, however we remain open to opportunities to invest internationally.
These two licences were sold by NGE to subsidiaries of ExxonMobil, Oil Search and Santos. If these licences are converted to petroleum development Licences then NGE will receive an additional US$28M and will also receive uncapped royalty payments for any production from PPL 277 which runs parallel to the PNG LNG infrastructure.
On 11 August 2016 the Company announced that the Group has lodged with the Papua New Guinea Department of Petroleum & Energy applications to surrender PPLs 266 and PPL 267 which expire on 15 August 2016 and 14 August 2017 respectively. NGE had been actively seeking farm-in partners for both permits for many years, while continuing to explore and improve the permits’ prospectivity. Unfortunately, a farm-in partner for PPL 266 had not been found and it was the Board’s opinion that the possibility of finding a farm-in partner for PPL 267 was so uncertain that incurring additional licence holding and exploration expenses was not justified.
The Company is also a 50% owner of a fit-for purpose onshore drilling rig specifically designed to be able to be mobilised and used in difficult to access, remote locations.