K92 Mining Project MoA parties successfully conclude consultative meeting

By: PNG Business News June 10, 2023

Parties to the K92 Mining project Memorandum of Agreement (MoA), successfully concluded a two-days consultative meeting in Goroka on May 31-June 1, creating a pathway towards finalizing the MoA that was initialed in 2020 in Kokopo, East New Britain Province. 

The parties are the State, the Eastern Highlands Provincial Government (EHPG), the Agarabi Rural Local Level Government (ARLLG), K92 Mine Limited, the Bilimoia Landowners Association (BLA), and the Associated Landowners.

The stakeholders identified key action items which must be completed in two months after which time, it is anticipated that a date for the finalization of the initialed 2020 MoA review will be set.

The action items are: 

1) The National Content (NC): 

  • a) Business Development and procurement/supplies plan/guideline. This is developed by the Department of Commerce & Industry (DCI). The plan is a guide by which landowner companies like the BLA can potentially participate, in business spin-offs contracted out by mines. The DCI will engage with K92 Mine, to ensure that the company’s business development plan is aligned with the NC and relevant laws. The DCI will also engage with the BLA to discuss their business plans and aspirations. 
  • b) Labour & Employment – This is a training plan developed by K92 Mine which the Department of Industrial Relations will engage with K92 Mine on, to ensure labour laws are complied with. The department will also engage with the BLA to discuss their plans in terms of employment and training.
2) Lands Commission (formally Land Titles Commission) – The LC will set a budget for a hearing and circulate to the parties for budgetary commitments and contributions.
3) MoA – The BLA will submit to all parties a list of additional benefits to include in MoA for parties’ consent.
All parties have been urged to work towards completing their tasks so that the initialed MoA can be signed and implemented.
Chairman of the meeting Andrew Gunua, thanked leaders of all parties for their commitment, respect and understanding during the meeting, despite challenges and the different dynamics experienced.
The leaders are the BLA Chairman Johnson Uringke, K92 Mine’s Vice President External Affairs & Sustainable Development, Philip Samar, Eastern Highlands Provincial Administrator Allen Los, Agarabi Rural Local Level Government President Honourable Pangu Edward, leaders of the Associated Landowners, and State Team leader Michael Wau.
The leaders expressed satisfaction on the outcome of the meeting adding that they would work together for the common good of all parties, especially the landowners of the project.
MOAs are benefits packages that parties negotiate. These include royalites, Tax Credit Schemes, Special Support Grants (SSG), business development and training & development amongst others.

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