As the nation celebrates its 40th independence Anniversary Petroleum Resources Kutubu (PRK) also is proud to celebrate its achievement since oil started flowing from Kutubu in 1992.

PRK financial performance in 2014 was phenomenal. PRK consolidated Gross Revenue for 2014 was K231.7 million-compared to K138.7 million in 2013 and net profits have more than doubled from K65m in 2013 to K120.7 million last year. The main reason for the extra ordinary growth was the six months of sales of LNG cargoes, reduction of corporate tax rate from 50% to 30% and dividends flow from other investments. The PRK Boards foresight to invest K240 million over the last four years from their cash flow to finance their equity stake of 1.12% in the PNGLNG project is finally paying off.

Over the last 5 years PRKs total asset have more than doubled from K781 million to now K1.55 billion and net Assets have also grown from K708 million to K965 million. Such investments include third largest shareholder in BSP, 1.12% in the PNGLNG project, acquisition of additional 6.5% of the Kutubu Strategic oil pipeline (Pipeline Licence 2), largest unit holder and shareholder of Pacific Property Trust and Hevilift respectively, 14% of Pacific International Hospital, 42% of the Pearl Resort and more recently will be 1/3 owner of the Star Mountain Plaza.

A total of K260 million have been paid to the beneficiaries since 2002 as dividend.

This is an average dividend per year of K22 million over the last 12 years. Based on 2014 Deloites Audited consolidated accounts this year the PRK Board have approved a final dividend of K40 million which is the highest ever for PRK. From the dividend, 40% will be distributed to the Gulf and Southern Highlands Provinces. The other 60% will be distributed to the Fasu, Foe and Kikori pipeline landowners.

Despite the downturn from the price of oil and reduction in the LNG revenue, next year the dividends from other investments outside of the Petroleum Sector, such as Bank of South Pacific, Pacific Property Trust, Hevilift and Pearl Resort will slowly fill in the gaps to sustain the dividend flow.