PNG passes four LNG amendment bills as Papua LNG advances toward FID

Papua New Guinea’s Prime Minister’s Office said on 22 October 2026 that Parliament unanimously passed amendments addressing income tax, resource-contract fiscal stabilization, oil and gas, and stamp duties. The government presented the legislation as a step toward implementing negotiated terms and advancing Papua LNG.

According to the announcement, the arrangements do not permanently reduce headline corporate income tax or production-levy rates. A price-linked sharing mechanism uses a neutral benchmark of US$81 per barrel, with the low-price incentive and higher-price state premium each capped at US$1.95 billion. These are the government’s stated terms, not a calculation of any participant’s tax position.

The release describes anticipated foreign direct investment of US$14.5 billion and explicitly says the government is progressing the project toward a final investment decision. Legislative passage, FID, financing, EPC awards and valve procurement remain distinct milestones. No additional equipment order or delivery schedule was disclosed.