The agreement, signed nearly a year ago, proved unpopular with many leaders and led to the collapse of Peter O`Neill`s former government. Kua said the government had the option of postponing the P`nyang project until the new oil and gas laws and the revised tax system are introduced this year. Nevertheless, he said it was more advantageous to negotiate and sign the P`nyang gas agreement under the existing 1998 Oil and Gas Act. According to the relevant institutions (OECD, IMF and IETI Extractive Industries Transparency Initiative), natural resource revenues in PNG projects fell well short of international standards.     It was therefore understandable that the renegotiation of the Papua LNG agreement was a priority for the Marape government in terms of its power. Kua has resumed negotiations. However, energy groups were only willing to grant minor concessions. Kua had to accept the terms of the Papuan LNG agreement, but he insisted that the agreement provide much better conditions for the P`nyang gas field: “In the P`nyang talks, the government appears to be looking for better tax support, more local content and jobs, more information on projects from the operator and a firm commitment to the development of P`nyang within a defined time frame.”  Energy groups were unwilling to take this into account and discussions between government and business failed on January 31, 2020.  Prime Minister Marape expressed confidence that progress on the Papuan LNG project was continuing with the main developer ExxonMobil.
 Three new trains to convert natural gas into LNG were planned to process The Gas of Papua LNG and P`nyong. It was only after the granting of an oil development licence for the P`nyang field that the energy groups wanted to continue planning and planning for the extension of their LNG plan with new trains.  The result was a dead end. Papua New Guinea gas (PNG gas) has been an exporter of liquefied natural gas (LNG) to Papua New Guinea since 2014.  The LNG sector is important to PNG`s economy: the value of LNG exports in 2017 was estimated at $3.6 billion, while GDP was estimated at $20.5 billion. Globally, PNG is a small producer. In 2017, PNG ranked 17th on the list of exporting countries; exports covered 1.5% of LNG exported worldwide.  There are five LNG projects in PNG; only the Hides project is fully operational.