Editorial

Final investment decisions on gas projects, a weaker kina and Starlink? Business Advantage PNG looks to the year ahead and considers what PNG-focused businesses can expect in the coming 12 months.

Papua New Guinea’s financial year is almost over and there are many green shoots appearing in the economy. At the same time, business needs to be ready for some significant changes in the new year.

The highly anticipated Papua LNG project is expected to reach a final investment decision in early 2026. This week, senior representatives of project lead TotalEnergies and the PNG government signalled that an FID is drawing closer.

While doing business in Papua New Guinea is never without its challenges, there have been some positive developments regarding some of the most-persistent business impediments.

While Papua New Guinea joining Australia’s National Rugby League competition in 2028 might be taking up column inches in Australian newspapers, the bigger story belongs in the business pages.

Papua New Guinea’s Independent Consumer and Competition Commission is set for a busy few months, as the country looks set for a higher-than-usual level of mergers-and-acquisitions activity. Beyond M&A, there are other developments for investors to look forward to as well.

Recent encouraging indicators will reinforce the cautious optimism being felt in Papua New Guinea’s business circles. But international factors – notably the prospect of a prolonged international tariff war – are a reason to remain watchful.

Interviews conducted for the annual Business Advantage PNG print magazine, to be launched in March, reveal a newfound appetite for investments outside of Papua New Guinea’s capital.

The past year has been a challenging one for Papua New Guinea’s major businesses but, as we are learning from our own conversations with them, they are nevertheless proving remarkably resilient. Now, all eyes are again focused on the next wave of resources investments.

Looking back over the history of resources development in Papua New Guinea, the need for patience and persistence is clear.