JAKARTA (RambuEnergy) – Pacific Oil & Gas (Perlak) Ltd, a subsidiary of Royal Golden Eagle (RGE) found by tycon Sukanto Tanoto, has unveiled its plan to discontinue the company’s operation, pending on approval of its shareholders at the upcoming meeting.
In a published statement, the company has invited its investors to attend extraordinary shareholders meeting on April 12, 2018.
The meeting will discuss three main agenda, namely the discontinuation of operations; voluntary liquidation and appointment of a liquidator and other matters.
The decision came as no surprise after the company made no progress over the development of its Kisaran Block in North Sumatera. The company has obtained approval of its plan of development (PoD) to develop the block in 2015. However, in the following year, it decided to call off the development of the block following the plunge of oil price.
When it submitted the PoD, it assumed oil price at US$81 per barrel, but then the oil price fell to below US$50 per barrel and even fell to as low as US$39.5 per barrel.
Pacific Oil & Gas, the operator of the Kisaran block, held participating interest of 55%, Bukit Tinggi 22.5% and the remaining shares of 22.5% is held by New Zealand Oil & Gas.
In Canada, Pacific Oil & Gas, through its subsidiary Woodfibre LNG Limited is proposing to build a liquefied natural gas (LNG) processing and export facility at the former Woodfibre Pulp and Paper Mill about seven kilometres southwest of Squamish, British Columbia, and about 70 kilometres from the urban centre of Metro Vancouver.
The Woodfibre LNG Project comprises construction and operation of a gas processing and liquefaction facility to produce approximately 2.1 million metric tonnes per annum of LNG, associated storage capacity of 250,000 m3, and export infrastructure.
In June last year, the company obtained approval from the Canadian government for a 40 year export licence for the Woodfibre LNG Project in Squamish, British Columbia.
Canada’s Minister of Natural Resources Jim Carr said, “The approval of Woodfibre LNG’s 40-year export licence provides certainty for investors while creating jobs for Canadians as the world moves toward a low-carbon future. This project also underscores the significance of working together with First Nations communities, as it will lead to environmental protection and economic benefits for the Province of British Columbia and the Squamish Region.”
On April 6, 2017, the National Energy Board (NEB) announced that it had granted the 40 year export licence to the Woodfibre LNG Project, subject to a Governor in Council approval.
In its decision, the NEB found that the quantity of natural gas proposed to be exported by the Woodfibre LNG Project, for a term of 40 years, is surplus to Canadian needs, and can accommodate a plausible increase in demand as well as exports proposed by the Woodfibre LNG Project. (*)
Written by Staff Writer, email: email@example.com