TAIPEI (Taiwan News) — Taiwan has stopped buying spot liquefied natural gas from Papua New Guinea following Port Moresby’s decision to close Taiwan’s representative office in its capital, the Ministry of Foreign Affairs said Tuesday.
Papua New Guinea Foreign Minister Justin Tkatchenko announced earlier this month that the Taipei Economic Office should cease operations immediately. The move drew criticism from several countries, while Foreign Minister Lin Chia-lung (林佳龍) said Taiwan would reconsider LNG imports.
Ministry officials said Tuesday that Taiwan had stopped making spot purchases of LNG from Papua New Guinea, per Liberty Times. Spot purchases refer to LNG delivered within a few weeks to three months, rather than through long-term contracts.
MOFA said bilateral programs, including scholarships and agricultural development aid, were not affected. Taiwan’s office was also continuing to operate as usual while contacts with senior Papua New Guinea foreign ministry officials continued, according to Taipei officials.
Diplomats are trying to persuade Papua New Guinea that allowing the Taiwan office to continue operating is in the interest of both sides. LNG imports will continue to depend on Taiwan’s energy needs, MOFA said.
Taiwan bought 500,000 metric tons of LNG from Papua New Guinea on the spot market during the first quarter of the year, while state-run energy company CPC Corp., Taiwan had a one-year contract to import 1.2 million metric tons, per Liberty Times. Officials said Taiwan can also buy LNG from other countries on the spot market.
