Wednesday 6 March 2024

PNG Air takes PUMA Energy to court over fuel supply issues

 PNG Air and PUMA Energy are in court over aviation  fuel supply issues.


The case did not proceed for further hearing as PUMA Energy has responded to providing fuel supply to the airline company.




However the case will return to court in a months time after both parties discuss way forward.

Justice Derek Woods who heard the case has accepted both parties request to adjourn for a month as there has been some notable efforts by PUMA Energy supplying aviation fuel to PNG Air.


PUMA Energy lawyer told the court there is already 12000 barrels of JetA1 fuel tested and are now available.


PUMA Energy and PNG Air have agreed there is no urgency for supply to resume.


PNG Air essentially wants a fair distribution of aviation fuel that is based on the existing fuel supply levels and location agreements.


Justice Woods has made orders that PUMA Energy should supply PNG Air aviation fuel based on the agreement on location, price and supply level.


All parties are to meet in a conference within 10 working days to resolve issues  and there should be adequate fuel supplied till May 15.


PUMA Energy must provide 21 days notice to PNG Air of its efforts to procure and supply fuel until May 15.


PNG Air can refile a notice of motion again in court if  fuel supply issues reoccur.


Justice Woods said the issue can be referred to mediation.


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