From the Chief Executive Officer

Elk-Antelope appraisal under way

Drilling of the Antelope 4 appraisal well marks another key step in development of the Elk-Antelope gas field in Papua New Guinea. The well, one of at least two to be drilled on the field in the next few months, is designed to determine the southern extent of the Elk-Antelope reservoir. The next appraisal well, Antelope-5, will test its western boundary.

The wells will provide key information for certification of the resource and for planning of a potential multi-train LNG development, which includes concept selection, basis of design and front-end engineering and design. These wells are among up to eight exploration and appraisal wells that we expect to drill by the end of 2015. They reflect our commitment to explore our licences in the Eastern Papuan Basin to create maximum value for our shareholders and the people of Papua New Guinea. Independent estimates suggest more gas is yet to be found in the basin, which has yielded Papua New Guinea’s largest undeveloped field in Elk-Antelope.

The drilling campaign indicates how Papua New Guinea’s oil and gas industry is maturing and providing opportunities for all Papua New Guineans. Wealth created by the LNG industry offers the chance for Papua New Guinea to invest as never before in the health and wellbeing of its citizens – something about which we are proud to play our part.

Dr. Michael Hession