Papua New Guinea’s national oil and gas company, Kumul Petroleum Holdings Limited announced today that all necessary eligibility process verifications had been completed with the PDL 7 landowners, so that they were able to receive accrued Kroton Equity Option (KEO) preferential dividends.
The 2009 PNG LNG Project Umbrella Benefit Sharing Agreement between the Independent State and recognised provincial governments and landowners impacted by the project were entitled to exercise a commercial option to acquire shares in the State entity taking up shares in the project, known as the Kroton Equity Option.
Wapu Sonk, Managing Director of Kumul Petroleum said, “working closely with the Department of Petroleum and MRDC, we have completed the landowner identification studies for this landowner group, ensuring that they can receive their KEO entitlements.”
“Today I am pleased to announce that Kumul Petroleum can award this PDL 7 landowner group with a share certificate, recognising them and their nominated company, and therefore a cheque for their accrued preferential dividends from 2017 to 2021, for K22.7 million, this is a significant amount.”
“I thank these landowners for their patience over these past 5 years, we are all glad this moment has come.”
The PDL7 landowner beneficiaries have established and nominated Kroton Laitepo Equity Limited to receive the KEO benefits on their behalf.
Mr Sonk added, “It is important that Kumul Petroleum follows due process, including proper identification verified by the Department of Petroleum.”
“We issued a public notice in May this year notifying all KEO beneficiaries to complete KEO eligibility criteria requirement. The PDL 7 landowner beneficiaries are the first to complete this.”
Mr Sonk took the opportunity to also encourage other beneficiary groups to complete their KEO eligibility criteria compliance so that they could also receive their KEO related benefits.