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Papua New Guinea replaces oil tax system with new contracts to boost investment and revenue.
Papua New Guinea has overhauled its petroleum fiscal regime, replacing the old tax and royalty system with a new Production Sharing Contract model approved by the National Executive Council.
The change, announced by Petroleum Minister Jimmy Maladina at the 2025 Petroleum and Energy Conference, aims to boost transparency, attract investment, and increase government revenue from oil and gas projects.
The reform supports long-term goals to position PNG as a regional energy hub, with the new framework expected to influence future development, including the PNG LNG Project, which has already returned over K32 billion to the state.
The government also established a new Petroleum Authority to strengthen oversight and governance.
Meanwhile, international interest remains strong, with TotalEnergies advancing the Papua LNG project and the Western Energy Project projected to inject $3.5 billion into the economy.
The IMF has reached a staff-level agreement on economic reforms, supporting macroeconomic stability.
Papua Nueva Guinea reemplaza el sistema de impuestos al petróleo con nuevos contratos para impulsar la inversión y los ingresos.