Total SA may opt out of competition with ExxonMobil in a bid for ownership of the InterOil's 36.5 percent stake in Elk-Antelope gas field in Papua New Guinea
Australia: In order to buy the stakes of US listed InterOil
in Elk-Antelope gas field located in Papua New Guinea, ExxonMobil is expected
to become the sole bidder for buying the stake after quoting bid of USD 2.2
billion (offering of USD45 per share). The French company Total SA is expected
to opt out keeping in view the amount quoted by ExxonMobil. In order to simplify the ownership of the
Elk-Antelope gas field, both companies, Total SA and Exxon Mobil were
interested in taking out InterOil's 36.5 percent stake. With takeover of
InterOil, ExxonMobil will expand its existing PNG LNG plant using gas from
Elk-Antelope field. ExxonMobil produced 7.4 million tonnes of LNG in 2015 and
the companies interest in the stake lies behind the fact that Papua New Guinea
is well-positioned to export gas to Asian markets where demand growth is the
highest.
TechSci Research depicts that
the takeover of InterOil will help either of companies to expand their existing
LNG facilities or build new LNG plants which will boost the natural gas
compressors demand in Papua New Guinea during 2016-2021.
According
to TechSci Research report, “Global
Natural Gas Compressors Market
By Technology, By Application, By Region, Competition Forecast and
Opportunities, 2011 - 2021”, the global natural gas compressors market is anticipated to
cross USD5.5 billion by 2021. On the basis of technology, natural gas
compressors are segmented into two categories - positive displacement
compressors and dynamic compressors. Among these categories, positive
displacement compressors form the most preferred natural gas compressors
category, predominantly due to their low cost and increasing use in gas
gathering and processing. However, in the recent years, majority of the
upstream and midstream companies are inclining towards dynamic compressors due
their higher efficiency and low maintenance compared to positive displacement
compressors.