Puma Energy PNG has confirmed that it will begin taking steps to reduce its operations and fuel supply to customers ahead of the unilateral closure of its bank accounts by Bank South Pacific (BSP), scheduled for the 8th of March 2024. The decision comes after eight months of engagement with BSP and various authorities, including the PNG Government, Bank of Papua New Guinea (BPNG) and others. BSP has been unwilling to share their reasons for the planned closure of the bank accounts or to constructively discuss solutions. Puma Energy, however, has received no concrete evidence of wrongdoing from either BPNG or BSP in relation to its BSP accounts. BSP has close to seventy percent of the market share in PNG and currently banks the major exporters who are largely Puma Energy customers and are responsible for the majority of the commercial USD flows into PNG. As Puma Energy PNG is amongst the largest consumer of USD with an ongoing requirement of approximately US$50 million per month, BSP is currently the only bank out of Puma’s existing banking partners who is able to provide access to the financial services and FX needed to fully operate and supply fuel in PNG. As a result, Puma has unfortunately been forced to begin to reduce its operations in order to match the FX access of the remaining banking services that it has in PNG. In addition, Puma is now taking these steps as it is currently selling product that it will not be able to pay its suppliers for once its accounts with BSP are scheduled to be closed. In the interim, this will result in substantially reduced levels of fuel supply into PNG until a solution is found. Puma will only prioritize the supply to emergency services. Chairman and Managing Director of Puma Energy Papua New Guinea, Hulala Tokome, stated that they are deeply disappointed to reach this point despite their best efforts over the past eight months. “We have requested the Government of PNG to convene a taskforce so that the Government can ensure security of supply and limit the impact on the community and economy.” “Puma Energy remains committed to PNG and open to dialogue with all stakeholders to find an amicable and sustainable way forward to return to full operational scale and to secure fuel supply for the country.” Furthermore, Puma Energy is a committed partner in PNG, having invested over US$650 million in its operations since 2014 to improve energy security, affordability, and access across the country. Over the years, the company has employed over 500 direct skilled workers and created over 2,500 indirect jobs in PNG through its supply chain.