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Thursday, May 30, 2019

Voting in PNG parliament shows Marape has support to be new PM



Voting in Papua New Guinea’s parliament on Thursday showed former finance minister James Marape had enough support to replace Peter O’Neill as prime minister after weeks of political turmoil over the handling of a gas development deal.
Speaker of Parliament Job Pomat is yet to tally the votes, but lawmakers showed their allegiances by moving over to sit on Marape’s side of the house. Well over half the 111-seat house moved to Marape’s side.
Marape quit as finance minister in April over a gas deal with France’s Total SA he called too generous to the oil major. His allies suggested on Thursday that, as leader, he could review the deal.
Political instability is not unusual in the poverty-stricken but resource-rich country, but Marape’s defection from the government tapped into growing concern over governance and resource benefits not reaching the poor. Those concerns ultimately led to O’Neill’s resignation on Wednesday.
Should Marape assume the leadership, he and his allies have indicated that April’s agreement, which allows Total, Oil Search Ltd and ExxonMobil Corp to begin work on a US$13 billion (RM54 billion) plan to double gas exports, could be reviewed.
“Agreements and resources laws will be relooked at as a matter of priority,” Philip Undialu, a lawmaker aligned with Marape, told Reuters by text from the Grand Papua Hotel where his supporters are based.
“It’s going to be a fair deal not necessarily radical,” he said.
Undialu said he believed Marape could command the backing of 79 MPs, a clear majority.
Marape told Papua New Guinea’s National newspaper two weeks ago, in reference to the April deal, that “something is wrong somewhere when the government is not unlocking... resources for our people”.
“We have a government that wants to save the interests of corporate giants,” he said.
Opposition leader Patrick Pruaitch is another possible replacement and, in a Parliament with few ideological divides, any number of other contenders could emerge.
The political uncertainty has knocked almost six percent from shares in Oil Search, an Australian partner in large liquefied natural gas developments in PNG, since the challenge to O’Neill gained traction on Friday.
Business leaders and another development partner, Santos Ltd, dismissed immediate concerns but said political developments would be watched closely.
Reuters

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