InterOil scales up operations in Papua New Guinea InterOil (IOC) is relocating core functions from its 100-person office in Cairns, Australia, to support expanding operations in Papua New Guinea. The Cairns office will close by the end of the year. The decision to increase capacity in PNG comes as InterOil is finalizing an agreement with Total (TOT) to develop a multi-billion dollar LNG project in PNG. Work continues on completing the Total agreement by the end of Q1 2014. InterOil has also begun a new round of drilling as part of its exploration activities across almost 4M acres in PNG. The company plans to drill up to eight wells in the next 12-15 months. The commencement of drilling operations will employ an additional 300 people.
BP upgraded to Neutral on reduced Russia risk at JPMorgan JPMorgan upgraded BP (BP) to Neutral citing less risk in Russia and a pathway to cash flow neutrality in 2017. JPMorgan this morning also upgraded Total (TOT) to Overweight and Eni SpA (E) to Neutral.