Ok Tedi Mining Limited (OTML) is on track to generate US$1.5 billion (K5.8 billion) in revenue for 2024. This is a significant increase from 2023 (31%), 2022 (45%) and 2021 (98%).

Managing Director & Chief Executive Officer, Kedi Ilimbit, announced the record revenue at the 2024 PNG Chamber of Resource & Energy Investment Week Conference in Sydney, Australia,

“This result is a testament to the hard work of our employees. Without them, we would not have achieved the success we see here today.”

“What is even more special is that we have a 98 percent national workforce that has delivered this result for us,” said Mr Ilimbit.

OTML intends to become a US$2 billion revenue company within the next five years. This outcome is dependent on the successful implementation of OTML’s Growth 2050 Strategy.

This includes;

• Ok Tedi Energy by 2025;
• New Joint Venture arrangements with OTML and expansion of Ok Tedi Power by 2028; and the
• Ok Tedi Underground Joint Venture arrangement by 2030.

“Whilst we are a nationally owned company, we want to drive our growth and expansion through international best practices and benchmark ourselves against the world industry standards,” said Mr Ilimbit.

“Ok Tedi is a great company, and the future looks promising for us and our shareholders.”

Ok Tedi Mining Limited is expected to generate K40 Billion in social benefits, taxes, royalties and dividends to its shareholders over the next 26 years.

Managing Director & Chief Executive Officer, Kedi Ilimbit, revealed this recently during his presentation at the 2024 PNG Chamber of Resource & Energy Investment Week Conference in Sydney, Australia.

Mr Ilimbit said this is a significant amount and the onus is on the shareholders of OTML who receive these benefits use them for the benefit of everybody.

“K40 billion is a lot of money. The challenge to our shareholders is how do we make use of these social benefits to improve the lives of our people,” said Mr Ilimbit.

The Company celebrated 40 years of production this year. Over the four decades OTML has produced:

• 5.4 million tonnes of copper;
• 16.4 million ounnces of gold;
• 38.1 million tonnes of silver;

These production figures have generated;

• K13.9 billion in Dividends;
• K872 million in Tax Credit Scheme Projects since 1997;
• K1.1 billion in Community Mine Continuation Agreement (CMCA) Payments;
• K1.7 billion in Compensation payments;
• K1,5 billion in Royalties; and
• K11.3 billion in Tax/Duties. These include;
  • K6 billion in Income Tax
  • K800 million in Dividend Withholding Tax;
  • K2 billion Salary & Wages Tax;
  • K354 million Mining Levy

In 2024 OTML was granted a 20 Year extension to its Special Mining Lease as well as the approval by the Board to extend mine life to 2050.

Mr Ilimbit revealed OTML’s 2050 Growth Strategy which includes several key undertakings to not only achieve life of mine (LOM) extension but remain profitable.
These key undertakings include:

• Environmental Stewardship and Sustainable Growth Projects
• Engineered Waste Rock Dump (EWRD) 1 & 2
• Electric drive Haul Truck Re-fleeting
• Processing Asset Renewal
• Pyrite Concentrate (PCon) Pit 4 Construction
• Tailings Storage Facility (TSF)\
• Electrification and Energy Transition Strategy
• Diesel & Jet A1 Storage & Supply
• New FIFO Village
• Kwalimu House
• Community Mine Continuation Agreement (CMCA) Extension Review
• Copper Mark Certification

“These are exciting times ahead for OTML and we are confident that we will deliver on the life of mine extension and generate revenue for our shareholders.

Papua New Guinea remains one of the world's premier destinations for mining investment, said the Minister for Mining, Hon. Wake Goi, during the recent PNG Investment Week in Sydney, Australia. 

Minister Goi stressed PNG's vast mining potential and highlighted the country's mining sector growth, future prospects, and investment opportunities to more than 2,000 delegates and potential investors.

Giving an overview of the mining sector, Goi said it is a mature and thriving sector, with roots stretching back to 1852.

“From the discovery of gold flakes in Motuan clay pots to the establishment of large-scale hard-rock mining operations like the Panguna mine in Bougainville, our nation has a rich mining heritage,” the minister said.

He noted that PNG hosts world-class giant mines, large-scale mines, and small-scale mines, along with several alluvial gold fields across the country.

Goi underlined the mining sector’s significance, which historically contributes over 80% of PNG’s total export revenue, citing impressive production figures from the past five years:

• Gold: 1.7 million ounces annually
• Silver: 2.4 million ounces annually
• Copper: 84,500 tons of concentrates annually
• Nickel and Cobalt: 33,500 tons and 3,000 tons respectively
• Chromite: 123,000 tons of concentrate

The sector generated an average annual export revenue of PGK13 billion over the past five years, he noted.

“PNG has established a strong reputation for mining safety, reducing fatalities from ten per year to an average of one, with zero fatalities recorded in 2017,” Goi added.

The minister also outlined several transformative mining projects:

1. Ok Tedi Mine Extension: The mine's lease has been extended for 20 years, potentially extending operations beyond 2040.
2. Porgera Mine Reopening: A 20-year special mining lease has been granted, with landowner compensation agreements nearly finalized. Compensation agreements with landowners and communities are in place, ensuring inclusive benefits and mutual prosperity. Goi also announced that New Pogera Limited has signed the Long Term Compensation Agreement with recognized Landowner Agents for 14 of its 15 tenements, which is in compliance with the Mining Act 1992. The CDA is ongoing and will soon conclude, he added.
3. Ramu Nickel-Cobalt Mine Expansion: A US$1.5 billion investment aims to double or triple output, supported by downstream processing feasibility studies.
4. Wafi-Golpu and Frieda River Projects: Two major copper-gold projects with combined investment potential exceeding US$11 billion are advancing toward permitting and development. As Prime Minister James Marape alluded to in his speech, Goi said the PNG government is paying careful attention to details to ensure they lock in an agreement that thoroughly underpins fair benefits of all stakeholders including, the investors, the State, Provincial Government, LLGs, and local landowners. Frieda River Project: A US$6 billion copper-gold project, with permitting anticipated hopefully by third quarter of 2025.
5. K92 Mine Expansion: The completion of Stage 2A has boosted gold production, with Stage 3 and 4 expansions aiming for 470,000 ounces annually by 2026.

Goi reiterated the mining sector’s anticipation for strong annual production of minerals.

“For copper, we anticipate averaging between 500,000 to 700,000 tons over the next 30 years once new projects commence. For gold, projected annual production may reach around 2.5 million ounces by 2026. For nickel and cobalt, there is potential to double or triple production, reaching up to 90,000 tons of nickel and 9,000 tons of cobalt per annum,” he added.

The minister invited global investors to see PNG's rich geological resources, stable governance, and supportive investment climate for themselves. Major mining companies like Newmont, Barrick, Zijin, Harmony, and Rio Tinto are already operating in PNG, alongside emerging players like K92 Mining Inc., he said.

To enhance the investment environment, the PNG government plans to revise its Mining Act, introducing international best practices, improved tenement management, downstream processing incentives, and equitable benefit-sharing models, Goi said.

The minister reaffirmed the government's dedication to ensuring that mining-driven economic growth benefits all Papua New Guineans.  

“I wish to acknowledge our investors who have made great efforts to foster growth in sustainable sectors like agriculture, building a resilient economic base. Mining in Papua New Guinea is not only about resource extraction; it's about building a legacy of sustainable development, innovation, and integrity.”

He encouraged industry leaders, government representatives, and community stakeholders to collaborate and maximize resource potential while upholding safety, environmental responsibility, and social development.

“Together, we can make PNG become a model for responsible mining on the global stage.” Goi said.

Papua New Guinea's Minister for Mining, Hon. Wake Goi, officially opened the Central Cement & Limestone Project (CCLP) Consultative Forum on November 27th at the Hilton Hotel, Port Moresby.

The forum, in compliance with Section 3 of the Mining Act 1992, focused on advancing the project's Community Development Agreement (CDA). 

The event gathered stakeholders from local-level governments, the provincial government, landowners, and the developer, Mayur Resources, to consolidate perspectives into a unified CDA. Discussions emphasized benefit-sharing and compliance with laws and policies. 

Located in Kido, Central Province, CCLP is a significant economic opportunity with 382 million tonnes of high-grade mineral resources, ensuring long-term operations.

Minister Goi highlighted its role in boosting foreign exchange and creating local manufacturing opportunities, stating: “The government’s take from this project will assist in boosting revenues and aligns with our focus on creating value within PNG.” 

The project, under Mining Lease 526, will produce quicklime, clinker, and cement in phases, addressing national infrastructure needs while reducing reliance on imports. Construction is set to begin in 2025. 

Economic and Strategic Impact

Mayur Resources Managing Director Paul Mulder underscored the project's potential to transform PNG’s economic landscape.

PNG currently imports 250,000 tonnes of quicklime annually, costing approximately USD $35 million. The project will replace these imports with locally-produced quicklime, providing an annual export potential of USD $26 million and supporting regional demand. 

“Nation-building starts with two key materials: iron and cement,” Mulder said, outlining plans to establish PNG’s first locally-produced lime and cement industry under a “rock-to-road” policy. 

The phased development will initially produce 400,000 tonnes of quicklime annually, scaling up to include 900,000 tonnes of cement. This will position PNG as a competitive exporter to Australia and Pacific nations, leveraging its geographic advantage and cost-effective logistics. 

Mulder also highlighted the project's contributions to employment, supporting industries, and environmentally-responsible practices. Infrastructure, including quarries, kilns, roads, and a wharf, represents a USD $110 million investment designed for scalable expansion. 

Landowner Collaboration and Development Progress

Landowner collaboration has been a cornerstone of the project, Mayur Resources noted. Compensation agreements and land access were secured in 2020, following consultations and pre-forum workshops.

Minister Goi praised the progress, urging stakeholders to approach negotiations collaboratively to ensure the project’s success. 

“Landowners have consented to development, and key infrastructure, such as the jetty for the wharf, is under construction,” he said. 

The project has secured significant international financing, including:

• US$50 million equity investment from Appian Capital Advisory LLP (ACAM) and Associates, broken into US$40 million in project equity and US$10 million convertible for corporate purposes.
• US$11 million in Senior Secured Financing.
• US$70 million in base facility to bring stage 1 into production
• US$22.2 million expansion facility to expand the lime project to 4 kilns
• US$22.2 million cost over-run facility provides equity investors with funding certainty through the construction phase.

Additional funding ensures cost-overrun coverage and further expansion of lime production, Goi said.

Mulder emphasized the broader implications of the project, noting its role in addressing Australia’s demand for cement and lime, which currently depends heavily on imports.

With limited investments in Australian cement production, PNG’s proximity offers a logistical edge, particularly for exports to Townsville, just two days away by sea. 

Stakeholder Support and Future Steps

Minister Goi commended the collaboration among provincial leaders, landowners, and Mayur Resources. He reaffirmed the Marape-Rosso government’s commitment to the project as a national priority. 

“The government is committed to seeing this project commence construction in 2024 and move into full-scale development and operation during our term,” he said. 

MRA Managing Director Jerry Garry emphasized the importance of landowner inclusion, calling them the “most valuable stakeholders” in any extractive industry.

He praised the forum’s role in accommodating landowner aspirations and urged collective efforts to ensure the project's success. “As we modernize our country, cement is key to building long-lasting homes and infrastructure,” Garry stated. 

The Central Cement & Limestone Project marks a pivotal step for PNG’s economic development, transitioning from import dependency to local production and export capability.

“Currently, PNG imports 250,000 tonnes of quicklime annually for gold, nickel, and copper processing, at significant cost. This project will replace imports, provide locally-produced quicklime, and open export opportunities,” said Mulder.

This potential adds around US$26 million per year in export revenue, improving the balance of trade giving the downstream processing. 

With strong governmental and stakeholder backing, the project is poised to contribute significantly to national growth and regional trade.

Papua New Guinea's Minister for Mining, Hon. Wake Goi, has reaffirmed his commitment to transparency and efficiency in the country’s mining sector.

During a media conference on November 26 at the Mining Haus in Port Moresby, Minister Goi announced the signing of 48 tenement licenses, covering various operations such as alluvial mining, exploration, and license variations. 

The approved licenses include 18 extensions, five new grants, three variation proposals, four alluvial mining leases, seven new alluvial mining leases, six dealing transfers, and one tribute agreement.

One application is set for review in the coming months, while three remain under further assessment by the Minister and the Mineral Resources Authority (MRA). 

This marks the first licensing set approved since Minister Goi’s appointment, reflecting his pledge to streamline processes and enhance transparency in mining deals. 

Minister Goi emphasized his commitment to public accountability, stating that publishing the list of approved licenses in the media is a deliberate effort to eliminate misinformation and build trust among stakeholders. 

“I want the people and the country to know that the companies granted a mining license have been approved through all correct procedures,” he said. 

Rigorous Compliance with Mining Act

All licenses underwent rigorous checks to meet the requirements outlined in the Mining Act 1992, including compliance with Sections 28, 38, 45, 46, 48, and 55.

Minister Goi commended investors for adhering to the regulatory framework and acknowledged the efforts of the MRA and the Mining Advisory Council (MAC) in processing and recommending applications. 

“The due process now ends on my part as I sign off and announce the licenses in the media,” Minister Goi said. He added that remaining applications are still being processed and will be finalized within two weeks by the Registrar of Tenements. 

Streamlining Processes for Global Investment

Minister Goi underscored the importance of timely application processing to position PNG as a preferred destination for international investors. 

“The quicker we process applications, the better we position Papua New Guinea as a preferred global investment destination,” he stated. 

Tenement holders are also advised to adhere to approved work programs within the grant’s time frame to avoid unnecessary extensions and delays. Legislative and systemic improvements are underway to reduce inefficiencies, discourage delays, and encourage timely development. 

MRA’s Role in Ensuring Robust Processes

MRA Managing Director Jerry Garry reassured stakeholders of the independent and thorough nature of the licensing process. He detailed the multi-stage evaluation framework -- including technical, legal, and financial assessments -- that precedes any license approval. 

“This is not a system where one person makes decisions in isolation,” Garry emphasized, highlighting MAC’s role as an independent advisory body. 

Garry noted that some applications pending for nearly a year have now been signed, attributing previous delays to ministerial transitions. He expressed optimism that turnaround times would improve under the current Minister’s leadership. 

The Ministry of Mining confirmed that steps are being taken to filter out unnecessary extensions and variations, ensuring positive investments and timely project development.

The culmination of the tedious due process, administered by MRA, reflects a commitment to fostering accountability and advancing the sector. 

Listing of 48 Tenement Licenses:

Great Pacific Gold Corp. is providing a corporate update on its Wild Dog Project, its ongoing diamond drilling program at the Kesar Project and its recently held Annual General Meeting.

Highlights

• GPAC executive team recently visited Kesar and Wild Dog 
• Kesar Anteruno diamond drilling program progressing well:
  •  ~1,000 meters of drilling completed to-date with two diamond rigs turning
  • Holes KDH-01 and KDH-02 tested NW-SE Anteruno structures drilling from North to South
  • Hole KDH-03 is testing a parallel structures drilling South to North
  • 2,500 meters of drilling and five holes expected to be completed by year-end, with drilling planned to continue through Christmas and into January
  • East Vein Target mapping and soil sampling underway with drilling expected in Q1 2025
• Wild Dog Site Visit reiterated that Wild Dog is a mid-stage exploration project with high-grade and bulk tonnage potential
  • Previous small scale open pit mining has revealed a high-grade gold-copper system with intense alteration and brecciation
  • Epithermal/oxide system open along strike and at depth
• Post the 2024 completion of various road access projects, Wild Dog 2025 program developed to include:
  • infrastructure establishment and data consolidation, and
  • diamond drilling focused on 3km portion of Wild Dog structure 
• GPAC’s AGM was held on November 26, 2024 and all proposed resolutions were approved including the re-election of the five Directors

“The executive team’s inaugural visit to Wild Dog, alongside our in-country GPAC personnel, provided an invaluable opportunity to see the tremendous potential of this project firsthand,” said Greg McCunn, CEO of Great Pacific Gold.  “Joining me on this visit were our new Vice President of Exploration, Callum Spink, Vice President of Corporate Development, Mick Carew, and Director Chris Muller.  After the visit we planned out an extensive exploration program for 2025 focused on a 3km portion of the Wild Dog corridor.  This area had historical mining operations which exposed intense and extensive brecciation, alteration and veining, pointing to a substantial hydrothermal system as indicated by high-grade intervals from previous drilling.”

Mr. McCunn continued, “Meanwhile, at our Kesar Project, diamond drilling is progressing well, with two drills active and approximately 1,000 meters completed to date.  We are encouraged by the visual results and are planning to extend the program into 2025 to include testing the highly prospective East Vein Zone, located 2 kilometers north of current drilling at Anteruno.  We look forward to updating the market with results as they become available.”

Annual General Meeting

GPAC is also pleased to announce the results of the AGM held on November 26, 2024.  At the AGM, shareholders approved all motions put forth including re-election of Greg McCunn, Chris Muller, Robert McMorran, Iain Martin and Charles Hethey.  The shareholders also approved the appointment of BDO Canada LLP as the auditors of the Company, as well as the 10% rolling stock option plan and the securities-based compensation plan (“SBC Plan”).

The SBC Plan permits the grant of Restricted Share Units (as defined in the Equity Plan) and Deferred Share Units (as defined in the SBC Plan) (Restricted Share Units and Deferred Share Units collectively referred to as “Awards”). The maximum number of shares issuable pursuant to the Awards that may be granted under the SBC Plan is fixed at 10,022,854. Further, the maximum number of shares for which Awards and other share compensation issuable to: (i) any participant shall not exceed 5% of the outstanding shares within any one-year period, (ii) a consultant shall not exceed 2% of the outstanding shares within any one year period; and (ii) insiders as a group shall not exceed 10% of the outstanding shares. No persons providing investor relations activities may be granted Awards under the SBC Plan. All Awards are subject to a mandatory one year vesting requirement. Additional details of the SBC Plan are set forth in the Company’s information circular dated October 24, 2024.

In conjunction with the AGM, the GPAC Board approved the granting of 775,000 restricted share units to current and newly hired management and consultants.

The Mineral Resources Authority (MRA) on behalf of the National Government on Friday Nov 29, 2024, announced a K500,000 credit (loan) support facility, for the women landowner associations of the Wafi Golpu Mining Project.

A dummy cheque for this seed capital funding was presented to Mibank, by the Managing Director of the MRA Jerry Garry in Lae. MiBank will facilitate, manage and process small loans for the women at a minimal interest rate that is suitable, using its loans system.

The women’s associations that will benefit from the credit facility are the Yanta Women’s Association, Hengambu Women’s Association, Walemo Babuaf Women’s Association, Wagang Outfall Women’s Association, Butibam Pipeline Women’s Group and Wampar Pipeline Women’s Group.

The funding comes under the government’s Micro-Credit Scheme, for women landowners and communities impacted by mining operations.

The purpose of this scheme is to enable the women to:

1. have improved access to financial support which will empower them to establish or expand their income generating options under the bank’s guidance.
2. ensure a sustainable approach to entrepreneurship.
3. strengthen the women’s capacity to ensure there are sustainable improvements in their livelihoods.
4. make independent decisions impacting positive changes in their communities.
5. strengthen the women’s capacities to ensure there are sustainable improvements in their livelihood, and
6. make independent decisions impacting positive changes in their communities’ experience.
7. seed capital funding will be used as equity support of 90% for each loan applicant, using the Mi Bank’s loaning system. The loan products which the equity support can be used against are the:
8. Speed Loan
9. Personal Loan and
10. Business Loan product

The eligible lending limits may range from K2, 000 to K10, 000 for Micro Finance loans, while business Loans are limited to K20, 000 only. Income earning options to be considered include street vending, trade stores, bakeries, small scale mining, agribusinesses such as livestock and cash crop farming, public transport and other business activities deemed appropriate by Mi bank and calculated at an interest rate as set by the bank at the time of request.

When presenting the cheque, Mr Garry said women and mothers are special and are the backbones of families. He said inspite of any circumstance in a family setting, we could all depend on women to look after business ventures as they are nurturing, caring and protective in nature. Mr Garry said as the regulator of the mining industry, the MRA had been involved in many developmental and benefits sharing agreements, adding that in many cases, menfolk in landowner groups had been receiving most benefits leaving women with little to no benefits. He said the Micro-Credit Scheme is purposely designed to benefit women and mothers which would in turn benefit families and communities.

The presentation of the cheque was witnessed by Senior MRA officers, Wafi Golpu Joint Venture’s Head of External Relations & Sustainable Development, David Wissink and Community Affairs Manager, David Masani.

Mr Wissink said the company was ready to provide additional support to the women’s associations especially in the areas of training associated with the scheme. He said in the ongoing Mining Development Contract (MDC) for the Wafi Golpu Project, there is section called the National Content Plan. He said in the plan, the company has a commitment to support landowner women associations in business developments such as this scheme.

The women’s associations collectively expressed gratitude towards the government for the opportunity given to improve their livelihoods.

Ok Tedi Mining Limited (OTML) launched the first and largest front wheel loader, a Cat® 995 Large Wheel Loader (LWL), in Papua New Guinea and the second in the Pacific recently in Tabubil

The Cat 995 LWL was purchased earlier this year from Hastings Deering, the Caterpillar equipment dealer, to increase production capacity and meet the growing demands of the industry market.

OTML Managing Director and Chief Executive Officer, Kedi Ilimbit said that the purchase of the latest edition of the front wheel loader will add to the company’s fleet of mining equipment, which already include a wide range of cutting-edge machinery.

“The Cat 995 is up to 23% more productive than the Cat 994 Wheel Loader, while the company has been using the smaller Cat 993 loader for almost 4 decades. Cat 995 has a more powerful engine, higher-rated payload, and efficient hydraulic system that allows for fast cycle times and higher production which is efficient for our operations,” said Ilimbit.

Hastings Deering Resource Industries Account Manager Todd Wallace acknowledged the existing partnership between the two companies.

“We are excited to deliver the first Cat 995 LWL into PNG and the second Cat 995 LWL into the Hastings Deering territory. Ok Tedi has the second of the first 3 Cat 995 LWL models built worldwide,” said Wallace.

The launch of the Cat 995 LWL is a historical milestone for OTML as a world-class mine and for Papua New Guinea in the mining industry.

OTML is committed to investing in advanced and low emission technology and equipment to ensure efficiency in mining operations, production success, and the safety and well-being of all its employees, business partners, and the surrounding mining communities.

Atlas Steel PNG has broadened its services to meet the needs of the mining sector, eliminating the need for local mines to rely on overseas suppliers for mining support products.

The company, which has been Papua New Guinea’s premier steel manufacturer and distributor for 48 years, is now diversifying its offerings beyond its traditional focus on the industrial sector, building and construction.

Atlas Steel has long been a supplier to the country’s mining sector, and now, in response to increased demand, it is introducing a range of consumables and ground support products designed specifically for both surface and underground mines.

The company aims to streamline the mining supply chain by offering a more efficient, locally managed solution.

Mr David Kembek, Technical Sales Manager of Atlas Steel PNG, told PNG Business News: "For years, Atlas Steel has served the steel and construction industries in Papua New Guinea. However, we are now venturing further into the mining sector, which holds tremendous growth potential.”

“Our focus is on introducing a new range of mining consumables and ground support systems to better support local mining operations."

The company’s expansion is a direct response to the challenges faced by the mining industry, particularly during the COVID-19 pandemic, which disrupted global supply chains and led to higher shipment costs and longer lead times.

Atlas Steel aims to address these issues by holding stock locally, significantly reducing delivery times.

Kembek said: "We understand the importance of timely supply for mining operations."

"Many mines rely on critical consumables being available when needed. By carrying stock locally, we can ensure faster and more reliable deliveries to meet those needs."

As part of its expansion, Atlas Steel is also working to develop the local supply chain and create new opportunities for local engineers and graduates to gain experience in the mining sector.

"We’re actively engaging with the country’s major mining operations, including established names like Lihir Gold Mine (Newmont PNG) and K92 Mining, which is PNG’s largest underground mine," Kembek added.

"We are also continuing to service OK Tedi, one of our longest-standing customers. Additionally, we are eager to support emerging projects such as the Wafi-Golpu Joint Venture, which we believe will play a key role in the country’s mining future."

Currently, Atlas Steel maintains strong relationships with all major mining companies in PNG, supplying its traditional range of products.

However, with this new initiative, the company is expanding its services to include a broader portfolio of mining-related consumables like shank adaptors, speed rods, drill tubes, button bits, mine mesh, cable bolts and split set friction rock stabilizers.

Kembek emphasized the company's proactive approach. "We are planning visits to key mining sites across the country to discuss both our established product range and the new consumables we are introducing. We are optimistic that these discussions will lead to stronger partnerships with the mining community."

In addition to strengthening relationships with local mines, Atlas Steel is also in talks with Australian suppliers to further expand its range of offerings.

The company is positioning itself as a key player in PNG’s mining supply chain by ensuring that local mines can access high-quality materials, plus an added stock management service to save valuable space and keep stock counts, without the need to look abroad for these services.

"By supplying from our branches in Lae and Port Moresby, we can ensure that mining companies have the materials they need, when they need them.”

Tolu Minerals Limited has successfully extended the mineralisation of its Tolukuma gold and silver deposit, announcing strong results from its latest drilling program at the nearby Taula vein system.

Located 4.5 kilometers southeast of the existing Tolukuma gold mine, the exploration effort confirmed high-grade gold and silver intersections, opening up the potential for significant resource expansion and suggesting continuity of mineralisation beyond the proven historically mined Tolukuma ore bodies.

Managing Director and CEO of Tolu Minerals Ltd, Iain Macpherson, expressed his satisfaction with the results, saying the drilling marks a significant step in the company’s strategy to expand the Tolukuma mineral resource estimate and ultimately redevelop the site into a major gold and silver producer.

In an exclusive interview with PNG Business News, Macpherson said: “It is exceptionally pleasing that Tolu has achieved this very important and significant milestone in the execution of the Company’s strategy of leveraging the existing Tolukuma infrastructure and proven operational performance.” 

He said it is also confirmation of the validity of Tolu’s previously released Exploration Target focused on the southern and eastern areas of the mining lease and surrounding exploration license.

Tolu Minerals’ maiden nine-hole diamond drill program at Taula, totalling 638.85 meters, has yielded promising results, particularly from drill holes TDH07 and TDH08.

TDH08 intersected a remarkable 4.80 meters of mineralisation averaging 22.79 grams per tonne (g/t) of gold and 513 g/t of silver, including a standout 1.0-meter section with 61.20 g/t gold and 1979 g/t silver.

These results come from a structural inflexion zone, a key feature previously identified at the Tolukuma mine, suggesting the mineralisation could continue to expand along these zones.

The drilling has extended the known gold and silver mineralisation by over 450 meters at depth and has confirmed that the Taula vein system, which has a surface strike length of over 1,500 meters, remains open to both the North and South.

These results are expected to form the basis for a maiden JORC (Joint Ore Reserves Committee) Resource estimate, with further drilling and evaluation already underway.

Tolu Minerals has used a combination of geophysical surveys and historical data to guide its drilling efforts. The company’s 3D Induced Polarisation (IP) and Airborne Magneto Telluric (AMT) surveys have been instrumental in identifying potential mineralised zones at depths down to in excess of 1,000m.

The recent drilling has confirmed the effectiveness of these surveys in targeting high-grade areas, with results reinforcing the validity of Tolu's exploration models.

Macpherson said, “This program is the first absolute verification that Tolu’s geophysical programs including historical, 3D Induced Polarisation and the more recent Airborne Magneto Telluric survey provide an effective tool for targeted exploration.”

“The small, nine-hole Taula diamond drilling program, utilising our own equipment, planned on a combination of the geophysical results and surface exploration, has defined a further zone of gold mineralisation at depth extending 450m of strike and continuity that is open ended to the North and South.”

“The confirmation of higher grade gold and silver zones along structural inflexion zones is an important indication, as that was an important feature of mining at Tolukuma and supports our model that the mineralisation extends well beyond the historical mining zones.”

The company is now focused on expanding its exploration efforts southward towards the Miliahamba prospect and eastward along the broader Taula and Tolukuma vein systems.

In addition to the drilling at Taula, Tolu Minerals plans further surface exploration, including trench sampling and rock sampling, to map out the full extent of the mineralisation. The company is positioning itself for long-term development and potential production increases. 

“This drilling program has demonstrated strong results extending mineralisation further to the South of Tolukuma mine,” Macpherson said.

“This represents an important milestone as it is the first drilling program out of the ML and having confirmed the geophysical results, it is now a relatively simple exercise to connect the dots to expand the Mineral Resource Estimate Resources that may be exploited by existing infrastructure well into the future,” he said.

Ok Tedi Mining Limited (OTML) Managing Director and Chief Executive Officer, Kedi Ilimbit announced a 2024 final dividend payment of PGK250 Million that will be paid in December, bringing the total dividends paid in 2024 to K450 Million.

This announcement was made recently at a dinner event hosted to celebrate the Company’s 40th year of production after the OTML Board of Directors’ approval at their recent board sitting onsite from the 11th -14th of November.

The company declared an interim dividend payment of PGK200 Million earlier this year.

OTML has contributed PGK13.4 Billion in dividends to the country over the last 40 years.

Mr Ilimbit said, “Ok Tedi mine has changed over time, going from foreign ownership to 100 percent Papua New Guinean-owned and led mine. The dividend payments demonstrate that the business has been well managed.”

He further added, “We started strong at the beginning of this year with high production and despite the collapse of an electrical transmission tower in the last quarter, the metal prices are favourable, and we will finish the year strong.”

Also of notable importance is the Company’s new ‘reset, restore, reinvigorate strategy which has seen a whole new restructure of the Company’s operations and the associated improvement in performance and productivity.

Mr Ilimbit thanked the workforce for another successful year of production and looks forward to continued successful operations while delivering on its commitment towards the people of Western Province and Papua New Guinea.

OTML Board Chairman Jeffrey Innes thanked the management and the workforce for their collective efforts, and the support from the local communities to deliver this dividend to the people of PNG.

“As the mine life extends to 2050, we plan on making OTML a US$2 Billion a year revenue-making company.”

“Over the next 27 years, our company is poised to generate a projected K40 billion (US$8.5 billion) in revenue. This will further enhance our contribution to the country and ensure that our operations continue to deliver value for many years to come.”

Mayur Resources Limited is pleased to provide an update on construction activities at Mayur’s Central Lime Project in Papua New Guinea.

Mayur continues to make progress at its Central Lime Project, advancing both Stage Two of its wharf and other early construction works. Over recent days, Mayur has taken delivery of essential equipment and materials utilising its own wharf infrastructure. This equipment will be used to facilitate the development of Stage Two of Mayur’s wharf and other enabling infrastructure as the Company progresses towards full-scale construction of its Central Lime Project pending a Final Investment Decision.

Mayur anticipates mobilising the sheet piling contractor by the end of November 2024. Piling materials are already en route from the manufacturer.

Completion of Stage Two of the wharf will enable Roll-On/Roll-Off (RO/RO) and crane loaded barge operations facilitating sales of raw limestone by Mayur as well as further deliveries of construction equipment and materials necessary for full-scale construction (see ASX announcement 13 August 2024 for further information on Mayur’s wharf).

Local Community Engagement

Mayur has committed to constructing essential infrastructure for the local Kido community near the Central Lime Project, including a new sports field, as part of its broader social responsibility programme. Mayur is pleased to advise that construction activities have commenced following design completion last month.

Mayur looks forward to completing this project by January 2025, providing valuable social infrastructure to the Kido community. Additional infrastructure projects benefitting the Kido community are planned to commence upon the Final Investment Decision being made at the Central Lime Project.

Prime Minister Hon. James Marape has congratulated Ok Tedi Mining Limited on its 40th anniversary while noting that the mine – on the verge of closure only a few years ago is now operational for another 25 years.

The company held a dinner party on the evening of Thursday, 14 November 2024, in Tabubil to mark the occasion of their 40th anniversary. Although Prime Minister Marape could not attend, he was able to address company management and staff virtually from his office in Waigani, Port Moresby.

“Tonight is an important milestone. It’s a pleasure, honour and privilege to be part of this occasion. In 1984, when the mine was opened, it ran with the story of our country. It came at the backdrop of the Panguna mine that was carrying us. Four years later, when Panguna mine was shut down because of the Bougainville crisis, Ok Tedi remained became a cornerstone and an anchor of our country’s economy to today,’’ said Prime Minister Marape.

While thanking the Ok Tedi management and staff, including those from the past for a good legacy, PM Marape noted that Ok Tedi ships 250,000 to 400,000 tonnes of concentrate of copper, gold and silver annually, earning a revenue of K1 billion for the country and a profit exceeding K200 million for the company.

The Prime Minister also expressed his appreciation to Western Province leaders from all levels, landowners and the people for ensuring that the mine continued to operate.

“I want to thank Western Provincial Government, past and present leaders; landowners, and people of Western Province for their gift of Ok Tedi to Papua New Guinea, which has been a major revenue resource for PNG at the expense of their environment, including the river system, ‘’ Prime Minister Marape said.

PM Marape has highlighted that when his government came into office in 2019, Ok Tedi was on the verge of closure, but his government directed the company board and management to do a study and extend the life of the Mine.

While the company management at the time could not do it, Prime Minister Marape said he was pleased with the new management, headed by Kedi Ilimbit, for being able to extend the life of the mine to year 2050 – an additional 25 years.

He said: “This demands that the National Government through the Mineral Resources Authority will have to liaise with the landowners and the Western Provincial Government on the mine extension, and the possibility of looking at benefits-split in the extended life.

“We appreciate Western Province for their continued support of the mine. The balance of the life that is coming on must contribute better to Western Province as well as the country from the earnings we get from the mine going forward.

“We are also asking the mine to look at the tailings disposals – the possibility to utilise new technology and look at better tailings disposals so that it is friendly to river systems we have as well as to the local environment.

“Instructions have also been given out to look at other potential mine areas within the vicinity.’’

Prime Minister Marape commended Ok Tedi on reaching a special milestone in its operation and thanked the company for its contribution to the country’s progress and development.

In going forward, he urged the company to continue to look after the Western Provincial Government and the people by way of giving them projects, im- proving infrastructure and providing other basic services such as health under the company’s tax credit scheme.

Exploration is important for the future of Papua New Guinea’s mining sector, which plays a vital role in the nation's growth. Without continued exploration, the country will face a decline in mining activity, said Papua New Guinea Mineral Resources Authority Managing Director Jerry Garry.

“And if there is no exploration, there will be no mining in this country,” Garry said at a signing event on November 14th with a Chinese mining agency at the Mining Haus in Port Moresby.

He explained that the country faces a significant gap in junior exploration companies, a trend that has been on the decline for over 15 years -- worsened by the global mining sector’s focus on advanced projects and mergers rather than exploration in potential locations in the country.

“If we do not invest in exploration, we risk running out of new mining projects,” the MRA chief said.

Garry emphasised the importance of expanding exploration efforts and partnering with countries like China, which possesses advanced technology and expertise.

This was highlighted during the signing of a five-year Memorandum of Understanding (MOU) between the MRA Geological Survey and the China Geological Survey from 2025 to 2030, witnessed by Dr. Wang Tiangang of the latter’s Institute of Geology and Minerals. 

The MOU will involve two main components. The first is a geoscience survey, which includes geochemical mapping, soil and rock sampling, and the use of remote sensing techniques in certain areas. The second component focuses on capacity building for the MRA, with opportunities for MRA geoscientists to attend universities in China for advanced degrees (Masters and Doctorates).

“This partnership with China provides an opportunity to generate new data that could attract new exploration companies and potentially uncover new mineral deposits in PNG,” Garry added.

Mr. Gabriel Kuna, MRA Officer in Charge (OIC) Geological Survey Division, was also present to witness the signing.

The MOU aims to facilitate collaboration in geological research and scientific data analysis, providing a framework for the exchange of technical knowledge and enhancing geoscientific research capabilities, and is a follow-up to the initial MOU signed in 2012.

The key activities under the MOU will depend on the financial and human resources available to both parties. Other potential areas of collaboration include:

1. Exchange of scientific and technical information
2. Research visits and knowledge sharing
3. Joint projects and subject studies in areas of mutual interest
4. Training of research fellows for joint projects
5. Joint workshops, conferences, and lectures
6. Other mutually agreed forms of cooperation

Following the signing, the two parties will begin conducting geological surveys throughout PNG. The data collected will be added to the country's geological map, which is marketed to investors globally. This will help further promote PNG as a mineral-rich nation with proven resources.

China is recognized for its cutting-edge geoscience technology and innovation, and Garry emphasized that this partnership offers PNG a unique opportunity to learn from Chinese expertise

Explaining the processes, Kuna said: “We will also be collecting soil samples and rock samples here in PNG. Some of those will be taken up to China.”

MRA will share the knowledge and experience gained from this collaboration with other agencies and government departments across PNG. The goal is to eventually expand the geoscientific research efforts to cover the entire country, he added.

Garry said since the onset of the COVID-19 pandemic, many international partners providing technical support to the MRA had been lost.

However, the MRA has since secured new collaborations, including a partnership with other country governments focused on capacity building in the Geological Survey Division, the only scientific arm of the government “responsible for collecting and providing new scientific data for the development of our country,” Garry said.

“Given the rugged and inaccessible terrain of PNG, collecting such data is challenging and costly. This collaboration will help us keep up with global technological advancements, which is crucial for enhancing our understanding of geology and mineral deposits in the country.”

Garry expressed his gratitude to Dr. Wang and the China Geological Survey for their commitment to the partnership.

 “Such collaborations like this will put new scientific data on the table that may entice new players into the country. And hopefully we can be able to generate interest and a new scientific understanding that may unravel some of the new deposits within the country,” he said.

Dr. Wang, on behalf of his superiors and team, expressed his excitement about the collaboration and the opportunities it presents for both countries.  “I take this opportunity to say thank you and look forward to our cooperation,” he said.