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InterOil's (IOC) Q1 earnings and revenue surged but shares -13% premarket as the company also...

InterOil's (IOC) Q1 earnings and revenue surged but shares -13% premarket as the company also says it received notice that the government of Papua New Guinea will reject its plan for a major new liquid gas project in the country. IOC has come under criticism from government officials for failing to abide by the terms of a 2009 agreement.
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  • Shareholders Unite
    , contributor
    Comments (3027) | Send Message
     
    Yes, it’s election time in PNG. And just as in other countries, not all of the stuff going on is equally rational

     

    The unofficial letter they received was from the Department of Energy. It wasn’t what the Prime Minister said (O’Neill, who is the authority on this, in his capacity of head of NEC), it wasn’t even what the Minister of Energy (Duma) said.

     

    The problem is that there are different parties which do not talk to eachother. Only the NEC can cancel the project, not any single department or Minister.

     

    This is what InterOil said. They see no problems in fulfilling the conditions of the 2009 agreement, and they don’t know how many times they can repeat this.

     

    In any case, even the unofficial letter they received talks of half a year consultation discussion, not cancellation, and InterOil is confident they can satisfy the terms of the 2009 Agreement.
    14 May 2012, 09:26 AM Reply Like
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