TotalEnergies reached key milestones toward a final investment decision for the Papua LNG project in Papua New Guinea. The company finalized the engineering, procurement, and construction tendering process.
Estimated capital costs for the project fell to approximately $14 billion. This represents a reduction of nearly $4 billion since 2024.
TotalEnergies will transfer project operatorship to ExxonMobil to maximize synergies with the existing PNG LNG facility. The company is selling a 9.1% interest to project partners and will retain a 20% stake.
An amended gas agreement with the Papua New Guinea government is now finalized. The updated deal reflects the project's revised budget and organizational structure.