Taiwan Suspends LNG Purchases from Papua New Guinea Amid Office Closure Row

Taiwan has suspended spot market purchases of liquefied natural gas (LNG) from Papua New Guinea (PNG) after PNG's foreign minister announced that Taiwan's representative office would be closed.

The decision was made unilaterally by PNG, bypassing the civil service decision-making process, and without prior consultation with Taiwan.

Taiwan's Department of East Asian and Pacific Affairs Director-General Michael Lin stated that the move 'severely damages bilateral relations' and that Taiwan has always been willing to discuss further cooperation in trade and energy with PNG.

The suspension will affect spot market purchases, but a long-term contract with ExxonMobil for 1.2 million tonnes of LNG per year remains in place.

Taiwan's representative office in PNG will continue normal operations, despite the closure announcement, and aid programs in PNG will also continue for now.