Exxon Stops Work on Papua New Guinea LNG Plant (XOM)

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By Paul Ausick Published
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Exxon Mobil Corp. (NYSE: XOM) has stopped work in one location on its $15.7 billion liquefied natural gas (LNG) plant in Papua New Guinea. The stoppage is the result of another dispute with landowners who have reportedly threatened plant workers after demanding additional compensation from Exxon.

Exxon experienced a delay at the construction site in 2009 due to a similar demand from local landowners. The plant, which will produce 6.6 million metric tons of LNG for export, is expected to be in operation by 2014.

The delay affects only an area surrounding a quarry an Exxon representative told Reuters, and work is continuing at other project areas.

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About the Author Paul Ausick →

Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.

He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.

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