New Simberi Gold has signed the revised 2013 National Executive Council-endorsed Community Development Agreement (CDA) for Simberi, marking a milestone in strengthening partnerships and establishing a framework for sustainable development across the Tabar Islands.
The agreement was signed on Friday at the Mineral Resources Authority (MRA) headquarters in Port Moresby by New Simberi Gold, operating under its parent company, Tabar Island Holdings Pty Ltd. (TIHPL), following a review and board approval process.
TIHPL Country Manager Randy McMahon said the signing followed years of negotiations and collaboration among the company, government representatives and landowner stakeholders. The agreement establishes a framework for improving the distribution of mining benefits and coordinating development priorities for Simberi communities.
A key provision allows royalties to be distributed directly to their intended beneficiaries, alongside a structured infrastructure and socioeconomic development plan involving the state and provincial government.
McMahon said the agreement would help ensure mining benefits reach their intended recipients while creating opportunities for the government and industry to work together on community priorities.
“Following concerns raised over royalty distribution in the past, this agreement establishes a more transparent process that directs royalties straight to beneficiaries. That is one of the most significant achievements of this CDA,” he said.
The agreement also includes a state commitment of 15 million kina (K15 million) for infrastructure projects over three years, providing a basis for coordinated investment in essential services and community development across Simberi.
McMahon said the CDA would strengthen cooperation among the company, government and landowner representatives to address development needs, improve living conditions and support the operation’s long-term sustainability.
It also provides a longer-term development framework that extends beyond the mine’s immediate operational needs, taking into account the future of landowners and their families after mine closure.
The signing follows a CDA ceremony on Aug. 28, 2026, when the other participating parties executed the agreement. New Simberi Gold deferred its signing to allow its partners — St Barbara, Lingbao Gold Group and Kumul Minerals Holdings Ltd. — to review the final document and obtain the necessary board approval.
McMahon acknowledged the MRA and other stakeholders for their continued efforts throughout the negotiations, saying the agreement required sustained collaboration and a shared commitment to reaching an outcome.
MRA Project Coordination Manager Pelis Vatnabar welcomed the signing, describing it as a significant step in a process spanning nearly three decades. He said stakeholders resumed discussions in 2025 and concluded negotiations the following year, paving the way for the formal signing.
Vatnabar said the milestone strengthened the partnership among the company, the state and various levels of government, creating an opportunity to work together on the broader development priorities of Simberi stakeholders.
The focus now shifts to implementing the agreement’s commitments and delivering lasting benefits to communities across the Tabar Islands and New Ireland Province.
