Oil Search will launch a critical process next month for the sale of a 15 per cent stake in its $US3 billion ($3.8 billion) Alaskan oil project and is picking up pace on its proposed LNG venture in Papua New Guinea, heartened by strengthening commodity prices.

But after reporting a full-year net loss of $US320.7 million, chief executive Keiran Wulff is wary of counting on a sustained recovery.