IRVING, Texas, Dec. 8 (UPI) -- Exxon Mobil announced it received approval to go ahead with the development of a liquefied natural gas project in Papua New Guinea.
Exxon Mobil characterized the approval of the PNG LNG project as a milestone, adding global demand for natural gas was expected to supply 15 percent of the world's energy needs for the cleaner-burning resource by 2030.
"With global demand for LNG forecast to nearly triple by 2030, the PNG LNG Project will be an important supply source to meet this future demand, particularly for the economies in the fast growing Asia Pacific region," said Neil Duffin, president of Exxon Mobil Development Co.
Final approval was pending the completion of sales agreements with its customers, which Exxon Mobil said was expected by 2010.
The Tokyo Electric Power Co. and China Petroleum & Chemical Corp. clinched early deals for LNG deliveries from the project.
The PNG project is integrated into processing and production facilities, including a network of transit pipelines.
The company said it expects production capacity from the PNG LNG project to reach 6.6 million tons per year.
