On 19 July 2018 Santos Ltd reported that it was still in discussions regarding a proposal to farm-in to the Pânyang retention licence â PRL 3. It is thought that Santos has been in discussions with the joint venture for some time and was close to signing a deal in early-2018 before delays pushed back negotiations. PRL 3 is operated by Exxon Mobil Corp through its subsidiary company Esso Highlands Pty Ltd. Santos is already a partner in the Exxon Mobil operated PNG LNG project with 13.5% working interest and in late-2017 Santos farmed in to five Oil Search-- Exxon Mobil exploration licences which lay across the Muruk to Pânyang, Toro gas play trend.  Pânyang is outlined to provide feed stock for an additional train at the PNG LNG facility, located in Port Moresby. It is considered that the field could be developed as a standalone project but be fully integrated for transportation / processing and would be aligned to the current PNG LNG joint venture partnership. With that said, Exxon holds a total of 49% interest in PRL 3 and Oil Search holds 38.51%. This equates to 15.8% and 9.51% above the respective PNG LNG equity. A farm-down of interest could accommodate for a Santos entry, and perhaps other PNG LNG partners also: JX Nippon and Kumul Petroleum.  Pânyangâs position as future high impact producer in PNG was underlined in April 2018 after the completion of appraisal activities increased the natural gas resource to 4.36 Tcf, moving it into rank #4 of PNG field based on recoverable reserves. The independent recertification of the Pânyang resource was conducted by Netherland Swell and Associates following completion of Pânyang South 2 in late January 2018. The recertification certainly supports the proposed PNG LNG expansion project with the 1C upgrade likely to more than sufficient to underpin an additional train in Port Moresby.  The Pânyang 1 field was discovered in 1990 and PRL 3 was awarded on 12 April 2000. Participants in the permit are Esso Highlands Pty Ltd (21.01% + operator), Ampolex (PNG) Ltd (27.98%), Merlin Petroleum Co (12.5%) and Oil Search (PNG) Ltd (38.51%).
On 19 July 2018 Santos Ltd reported that it was still in discussions regarding a proposal to farm-in to the Pânyang retention licence â PRL 3. It is thought that Santos has been in discussions with the joint venture for some time and was close to signing a deal in early-2018 before delays pushed back negotiations