A state team recently conducted a pre-Community Development Agreement (CDA) awareness program in Lae, involving parties to the Wafi Golpu mining project CDA.

The parties are Yanta, Hengambu, Babuaf, Wampar, Butibam, Wagang, Morobe Provincial Government and host Local Level Governments.

The consultation program was aimed at educating the parties who are landowners, impacted communities and stakeholders of the project, on the various benefit streams that will be available to them and how the CDA process will go.

The benefit streams include royalties, equity, Business Development Grants, Infrastructure Development Grants and Tax Credit Schemes amongst others.

The state team explained the various laws, policies and processes, governing the distribution of benefits, and who the beneficiaries of the CDA are going to be.

The highlights of the team's presentations were the explanation on what CDA is and its processes, equity break- ups and business spin -off opportunities that will be available to the landowners and stakeholders.

The landowners and stakeholders asked questions regarding the different agendas that were presented by the State Team, which the team explained.

John Nema, President of Hengambu Landowners Association, thanked the state team for sharing vital information on benefits. Hengambu is one of the three Special Mining Lease (SML) 10 landowner groups, that will benefit from Wafi Golpu Project. The other two are Yanta and Babuaf.

Mr Nema said his group wanted the project to commence immediately. However, he said they needed more information to prepare well for the CDA proper.

He said: “Our people fully support the project. We are willing to sacrifice our land and move this project forward,” said Mr Nema. He urged all landowner groups and stakeholders to cooperate with the state team inspite of their differences in opinions, so that the CDA could be signed in a timely manner.

The State Team said they were going to share more information and that this was the first of more meetings to come. Officer-In-Charge (OIC) of the Mineral Resources Authority’s (MRA) Development Coordination Division (DCD), Jerry Naime, said the state team would put together a road-map going forward for all parties to follow, with the focus to successfully completing the CDA.

The State Team was led by the Department of Prime Minister and National Executive Council (PM & NEC). Other departments represented were the Office of the State Solicitor, Mineral Policy & Geohazards Management (DMPGM), Commerce & Industry, Treasury and the Mineral Resources Authority (MRA).

The first call-off order of £26m, which includes both ENDURON® large format High Pressure Grinding Rolls (HPGR) and wet screens, will be recognised in Q3 with the remaining orders booked later in 2024 and early 2025.

The Weir Group PLC (Weir), a global mining technology leader, has been awarded a £53m contract to provide industry-leading energy efficient, sustainable solutions to the Reko Diq copper-gold project, a 50% owned greenfield development by Barrick Gold Corporation (Barrick). The tier one copper project is located in the Chagai district of Balochistan and is targeting first production in 2028 with an estimated mine life of 40+ years.

During the first phase of the project, Weir will provide fine grinding, separation and tailings solutions. Featured equipment includes Weir’s market leading ENDURON® HPGRs, ENDURON® Elite wet and dry vibrating screens, WARMAN® slurry pumps, and CAVEX® hydrocyclones. Among the equipment to be provided are Weir’s large format HPGRs – the highest capacity design in the market.

The initial £53m contract award will be recognised in the order book in accordance with a phased call-off aligned with manufacturing lead times, with £26m recognised immediately and the remaining orders to be booked in Q4 2024 and Q1 2025. After commissioning of the equipment, aftermarket support will be provided via an on-site purpose-built service centre staffed with Weir technical personnel.

The receipt of orders associated with the contract award during 2024 does not result in a change to Weir’s full year 2024 financial guidance as of 30 July 2024.

Commenting on the contract award, Jon Stanton, Chief Executive Officer of Weir said:

“We are delighted to have secured this significant contract which represents further industry acceptance of Weir’s differentiated sustainable and cost-effective redefined flowsheet solution, with our market leading HPGR technology particularly suited for the water-scarce climate and geology of the Reko Diq copper-gold project. Our engineers have designed an innovative solution that comprehensively addresses the particular challenges of this project and is a great example of working in close partnership with an ambitious customer who shares in our purpose to sustainably and efficiently deliver the natural resources essential to create a better future for our world.”

“Barrick is pleased to be partnering with Weir in delivering sustainable mining and processing in the new mining frontier of Balochistan. The Reko Diq project will grow Barrick’s strategically significant copper and gold portfolios, benefiting all its Pakistan and Balochistan stakeholders.” said Mark Bristow, Barrick President and CEO.

Weir, a global leader in mining technology, has been awarded the contract to supply a large ø2.4m x 2.25m Enduron® HPGR (high-pressure grinding rolls) for De Grey Mining’s flagship Hemi Gold Project in the Pilbara region in Western Australia.

Hemi has a mineral estimate of 10.5Moz and at full capacity, the processing plant will have a nameplate throughput of 10Mtpa.

Peter Holmes, Project Director of De Grey Mining said: “De Grey Mining is pleased to partner with Weir on one of its key long lead items for its Hemi Gold Project and appreciates Weir having a local service facility to provide the required support to our site and the region.”

Bjorn Dierx, Global Product Manager for Enduron® HPGRs said:

“Our partnership with De Grey Mining further expands our footprint in sustainable comminution. Our proven track record of developing highly engineered solutions for the industry, together with our capability to partner with our customers to bring projects to life, ensures that De Grey Mining will be in good hands to achieve its productivity, sustainability and project execution targets.

“The Hemi Gold Project will benefit from Weir’s state-of-the-art Enduron HPGR technology, which delivers operational flexibility, grinding efficiency and equipment availability. Importantly, Enduron HPGRs also provide significant improvements versus traditional tumbling mill technology with energy savings of up to 40% and in turn, a lower carbon footprint. This will be the fifth, similar-sized Enduron HPGR in the Pilbara region alone, which is a testament to its credibility in high capacity, hard-rock grinding.”

Weir recently opened its Port Hedland Service Centre, strategically located to support its customers in the Pilbara region in Western Australia. The centre features facilities for Enduron® HPGR servicing, including tyre roller assembly, and will allow De Grey Mining to benefit from product training in close proximity to the mine site.

Kristen Walsh, Regional Managing Director of Weir’s Minerals Division said:

“This win further underscores Weir’s commitment to making mining more sustainable and demonstrates the substantial opportunity that can be made to CO2 emissions reduction when choosing an energy-efficient technology in a large greenfield project.”

Mayur Resources is pleased to provide an update on Stage 2 wharf development at the Central Cement and Lime Project in Papua New Guinea.

Mayur Resources Managing Director Paul Mulder said the wharf development was a critical piece of work enabling marine infrastructure for both PNG, and the Company’s future plans.

“Dedicated wharf facilities are strategically important to Mayur’s CCL Project. The proximity of the wharf is less than one kilometre from Mayur’s manufacturing facilities and quarries. This compares incredibly favourably over some of our Southeast Asian competitor suppliers, who have trucking distances of some 100 kilometres to the wharf prior to barging to the FOB loading point that are significantly further away from customer markets in Australia and the Pacific, both of which, generate a significant cost advantage for Mayur

“Our wharf facilities create a unique, vertically integrated development with a highly efficient supply chain and direct access to Southeast Asian markets. We look forward to completing construction in Q4 CY2024 and generating earlystage revenue from the sale of limestone and aggregates,” Mr Mulder said.

Second Stage of Wharf Construction Commences

Mayur has placed key orders for construction materials i.e. sheet piling for Stage 2 construction of the wharf with PNG owned and operated Hi-Lift Global, a company with over 48 years of experience in PNG in logistics and facilitating the delivery of construction materials. This is a key milestone in the Company’s CCL project construction program, with the wharf development scheduled to be completed by Q4 CY2024.

Stage 2 of the wharf (Figure 2) will enable both roll-on/roll-off barge access and crane loaded double sided barge operations. First revenues from the sale of limestone and aggregates are expected once Stage 2 of the wharf completes later this year.

Stage 3 of the wharf development is planned for 2025. Once completed, the wharf will be capable of loading and unloading bulk materials on vessels up to Handymax size (40,000 to 55,000 tonnes).

Mayur will own the wharf, which is a strategic asset for the Company’s CCL project. It will provide the Company with ownership and control of its supply chain within PNG, while also providing access to both domestic and export markets. The Company will also continue engagement with other third party prospective Port Operators and Owners.

PNG establishes State Negotiation Team engagement to facilitate Central Lime and Cement Project

Mayur is pleased to report that the National Executive Council of Papua New Guinea’s Government has established a State Negotiation Team to finalise the terms of a Project Development Agreement (the PDA) between Mayur and the PNG Government. The PDA will set out the terms upon which the PNG Government will participate in the CCL Project, ensuring the interests of the state, provincial government, and landowners are adequately represented.

Finalising a PDA with the PNG Government is a critical final step towards Mayur commencing full scale construction of the Central Lime Project and the later expansion into Clinker and Cement.

Mayur expects to finalise the PDA within Q3 CY2024.

Ongoing Stakeholder Engagement & Community Benefits

Mayur is soon to commence construction of a new rugby and sports field for the local community in Kido. Design works are complete with construction to commence in parallel with Stage 2 development of the wharf.

The sports field is critical social infrastructure for the Kido community and early construction will allow for a transition from the existing field to a new location by the end of Q4 CY2024.

Infrastructure projects that will benefit the Kido community will commence upon Financial Investment Decision Conditions Precedent being achieved for the Central Lime Project financing. These include but not limited to the provision of water and electricity supply infrastructure and connecting road and bridge access to Port Moresby.

The Bank of Papua New Guinea (BPNG), Australia and New Zealand Banking Corporation (PNG) Ltd (“ANZ”) and the Global Green Growth Institute (GGGI) have signed a Memorandum of Understanding (MoU) to integrate and reinforce the Inclusive Green Finance Policy (IGFP) into ANZ’s operations and services.

The MoU establishes a framework for cooperation and collaboration between the parties to support Papua New Guinea’s IGFP. This collaboration leverages ANZ’s comparative advantages, ensuring complementarity and mutual reinforcement among all parties. Under the MoU, ANZ will pilot the inclusive green taxonomy through green loans.

ANZ is the fourth financial institution to join this initiative, following the Bank of South Pacific (BSP), Nationwide Micro Bank (MiBank), and Women’s Micro Bank Ltd (Mama Bank), who signed similar MoUs with GGGI and BPNG earlier this year.

Funded by the New Zealand Ministry of Foreign Affairs and Trade (NZ-MFAT) through the “Low-Emissions Carbon Reduction Development” Program, the Green Finance Centre will provide policy advisory services, technical assistance, knowledge-sharing, and capacity-building activities to all four financial institutions. GGGI is providing all technical and administrative support to GFC who is guided by the IGFP Steering Committee chaired by BPNG.

As part of the MoU, GFC will conduct a needs assessment on ANZ to shape the development of green loan products aligned with the taxonomy. GFC and ANZ will also hold periodic consultations to review the planning, implementation, and outcomes of their cooperation, identifying opportunities for enhancing collaboration.

In anticipation of the Agence Française de Développement (AFD) funded program “Greening the Pacific Financial System” (GPFS), GFC will establish and capitalize the Green Refinancing Facility (GRF) with 1.8 million Euros in Papua New Guinea. Financial institutions aligned with the IGFP and the MoUs will qualify to access the GRF.

BPNG Governor Mrs. Elizabeth Genia expressed her excitement and gratitude at the MoU signing event, noting ANZ’s commitment to developing green products aligned with the Green Taxonomy. She also thanked GGGI for its guidance and support in coordinating with ANZ to implement the MoU.

ANZ CEO Mr. Lachlan Halstead remarked on his enthusiasm for signing the MoU and participating in this important initiative. He emphasized that such initiatives align with ANZ’s goal of developing social and sustainable loan products in the PNG market. Given PNG’s developing economy, these initiatives are essential, he added.

GGGI PNG and Solomon Islands Country Representative Mr. Sakiusa Tuisolia highlighted the significance of the MoU signing with ANZ, noting ANZ’s long-standing presence in PNG for over 100 years. Mr. Tuisolia stressed that despite international efforts to combat climate change in PNG, more support, funding, and resources from the domestic private sector are necessary. Financial institutions like ANZ play a critical role in this endeavor.

Prime Minister Hon. James Marape announced that Papua New Guinea’s economic outlook is showing significant improvement, driven by stronger growth, low and stable inflation, and a substantial easing of foreign exchange (FX) shortages.

“The PNG economy is on a positive trajectory, with inflation persistently remaining below the historical average of 5.5 percent, and even lower than global averages— demonstrating the government’s strong commitment to price stability,” the Prime Minister stated.

Prime Minister Marape highlighted the International Monetary Fund’s (IMF) GDP growth projection of 4.6 percent for 2024, which places Papua New Guinea among the fastest- growing economies in the region.

“The FX backlog for essential imports has improved drastically with waiting times for essential orders dropping significantly. BSP Financial Group has reduced wait times from a peak of six-to-eight weeks to just two-to-four weeks, with other banks reporting similar improvements. The Bank of Papua New Guinea is also injecting more FX into the market than ever before. This will help promote investment, jobs, and growth,” said the Prime Minister.

“These positive outcomes are the result of taking tough policy decisions, proving that doing the right thing is paying off. Overall, the outlook is bright, with stronger growth, stable inflation, and easing FX shortages leading the way forward.”

The Autonomous Bougainville Government (ABG) has announced the signing of a Memorandum of Understanding (MOU) with Stellae Energy Ltd (Stellae), a UK-based Green Energy Solutions and Assets company.

This partnership marks a significant achievement in Bougainville's journey towards energy independence and economic sustainability through the exploration of the region’s volcanic geothermal resources.

The MOU outlines a working cooperation between Stellae and the ABG through the Department of Mining and Petroleum (DMP) and the Bougainville Power and Water Corporation (BPWC), to identify and develop potential geothermal energy sites across the island.

This initiative is part of Bougainville's broader energy security strategy to harness its natural resources in a way that benefits local communities, fosters economic growth, and contributes to global efforts to combat climate change.

“It is the Bougainville energy policy strategic view that green energy investment and development is encouraged by the government,” said President Ishmael Toroama who is also the Minister responsible for Mineral and Energy Resources.

“This partnership is a testament to Bougainville's commitment to sustainable development and can provide the basis for an industrial revolution in Bougainville in the near future. By tapping into solar energy and now our geothermal resources, we not only aim to secure a reliable and clean energy source for our people but also aim to reduce our dependency on imported fossil fuels, paving the way for a greener and more self-sufficient Bougainville,” he said.

Stellae Energy Ltd, known for its innovative approach to renewable energy, will lead the exploration efforts in collaboration with local stakeholders. The project will be rolled out in phases, beginning with a comprehensive Exploration Screening Study. This study will assess the viability of various geothermal sites and lay out a clear roadmap for future development.

This opportunity has potential to bring electricity to local communities and businesses and also look into producing Green Hydrogen; this alternative energy carrier can be used to power transportation and other sectors, further supporting sustainable development in Bougainville.

In addition to providing clean energy, this opportunity when progressed successfully will create jobs, stimulate local economies, and position Bougainville as a future leader in renewable energy within the Pacific region.

“The ABG is committed to ensuring that the development of geothermal resources is carried out with the utmost respect for the environment and the rights of local landowners. The government will work closely with Stellae Energy Ltd to engage with communities throughout the exploration and development process, ensuring that their voices are heard and their interests protected,” said Peter Kolotein, ABG Secretary for Mining and Petroleum.

It is difficult to attract American companies to come and invest in Papua New Guinea (PNG) if they continue to go through the frustrations of establishing themselves in PNG, says The United States (US) Ambassador to PNG, Her Excellency Ann Marie Yastishock. Ambassador Yastishock made this statement today in her meeting with the Minister for International Trade and Investment, Hon. Richard Maru.

Ambassador Yastishock said: “A classic example is StarLink. StarLink was promised a license in January this year. We are now in August and they still have not had their approval. One of the big sticking points for US and the US companies is ease of doing business and it is not always easy to do business here in PNG. So, the questions are: What do we do to attract those American businesses to come to PNG? How do we get NICTA to approve StarLink License that would reduce the cost of internet access which will be helpful to communities who do not have access to the internet? It is difficult to understand why it is very difficult to get approval in PNG when Pacific Island countries like Tonga and Fiji have approved StarLink which has brought down the cost of internet access big time.”

Ambassador Yastishock further stated: “There is a lot PNG can offer including the population and the landmass, and it sits in a place between ASEAN, South East Asia and the Pacific, and it is a member of the APEC. We have American businesses already operating in the country including Exxon Mobil, Hilton, Marriot, and Newmont that has now started up. We are also talking to some other American companies about coming to PNG but it is these little stumbling blocks that frustrates American companies. Without dealing with issues like this and the Government not being able to help us we cannot attract American businesses to come and operate in PNG to help drive the cost of doing business down, create employment, and help drive economic growth.”

Minister Maru in response said: “American companies have a good reason to be frustrated. This is unacceptable. We need competition and we need to drive the cost of doing business down in the country, including internet cost. Our consumers should be the most important factor. We need to drive the cost of doing business down in this country and make it affordable. PNG has one of the highest costs of doing business and when American companies are willing to help us to offer critical services, we are just frustrating them.”

It is understood that the Ombudsman Commission has stopped NICTA from issuing the license because of some investigations which has taken over eight months while the country and the consumers have been held at ransom.

The Autonomous Bougainville Government (ABG), Bougainville Copper Limited (BCL), and Rio Tinto have signed a Memorandum of Understanding to address concerns around future risks of ageing infrastructure in the former Panguna mine area. 

This collaboration comes in response to information obtained during field work forthe independent Legacy Impact Assessment, which identified several ageing structures requiring prompt attention. The MoU aims to mitigate potential risks associated with deteriorating infrastructure and promote safety in the region. 

Works will be carried out on old BCL assets, including the Jaba Pump Station and the Momau River Bridge, as well as the former mine area workshop, storage facilities and concrete wall in the Panguna town area. The works are expected to commence in November 2024 and will take several months to complete.

ABG Chief Secretary Kearnneth Nanei said concerns about run down infrastructure had been escalated to the government following field work conducted as part of the Panguna Mine Legacy Impact Assessment (PMLIA). 

“We are very pleased to be working with BCL with support from Rio Tinto in responding to the issues raised, in the best interest of our people. As we await the final results of the legacy impact assessment, these works represent a positive sign of cooperation by BCL and Rio Tinto,” he said.

BCL Chairman Sir Mel Togolo said as the mine’s former operator and holder of the EL01 exploration licence for the area, BCL maintains a presence and is recognised as a development partner on the ground in Bougainville. 

“Our local team will be working closely together with the ABG in overseeing the project works to ensure these ageing buildings and structures don’t cause issues for the community,” he said. 

Rio Tinto Country Director for PNG Andrew Cooper said: "We are pleased tosupport the Autonomous Bougainville Government and Bougainville Copper Limited in addressing these issuesidentified as a priority during the legacy impact assessment field work. We commend the ABG and Chief Secretary Nanei for their proactive leadership in driving tangible action.”

The results of Phase 1 of the PMLIA are due for public release in the fourth quarter of 2024.  These will provide all parties with a clearer understanding of the potential environmental impacts and directly connected social and human rights impacts, associated with the Panguna mine since the cessation of mining in 1989. 

Addressing a diverse audience of analysts, regulators, environmental scientists, and industry professionals during the Geosciences, Exploration, and Extraction (GEE) 2024 Conference, the Mineral Resources Authority (MRA) Managing Director, Jerry Gerry, emphasized the critical importance of sustainable practices in harnessing Papua New Guinea’s rich mineral and petroleum resources.

The conference commenced at APEC Haus in Port Moresby on August 7 to 9 with over 350 delegates attending and thousands nationwide and from abroad watching via live stream. Following the tradition of excellence established in the inaugural conference in 2022, the event brought together experts to discuss the future of resource extraction.

In PNG Prime Minster Hon. James Marape’s opening speech through MRA MD Gerry, he acknowledged the global community of scientists whose work contributes to enhancing life and supporting the economic, environmental, and public health needs of nations.

Marape highlighted the significance of this year's conference theme, "Research and Innovation in Geosciences, Exploration, and Extraction for Sustainability," as a response to the growing international demand for limited resources.

This year’s theme also addresses the rapidly depleting PNG minerals and hydrocarbon reserves due to a lack of major discoveries over the last four decades.

Marape underscored the responsibility that comes with PNG’s abundant mineral and petroleum resources. He noted, “As a nation, we stand at a crossroads where our decisions will resonate through generations yet to come.”

He stressed that the exploration and extraction of these resources are not merely academic exercises but vital missions that directly impact the livelihoods of countless communities.

Marape also called for the use of cutting-edge technologies and artificial intelligence to minimize environmental harm while maximizing the efficiency of exploration and extraction methods.

“Our globe is demanding a reduction of emissions and greater care for our environment,” he said, urging the industry to embrace sustainable mining practices.

Highlighting the necessity for collaboration, Mr. Garry advocated for cross-border, interdisciplinary partnerships between universities, research institutions, government agencies, and private enterprises.

Such cooperation, he emphasized, is crucial for protecting the environment while meeting the demands of an ever-growing population.

Mr. Garry extended his gratitude to the conference organizers, particularly the Chairman of the Organizing Committee, partners and all sponsors.

The invaluable Sponsors of the GEE 2024 Conference that made the GEE Conference possible;

Platinum Sponsors:

• Mineral Resources Authority
• Kumu Minerals Holdings Limited: The National Minerals Company 

Gold Sponsors:

• K92 Mining
• Ok Tedi Mining
• Ramu Nico Management (MCC) Limited

Bronze Sponsors: 

• Newmont
• Deka Dynamics

Conference Partners:

• Cars Island Mobile Hire
• Crown Hotel Port Moresby
• Vodafone
• NYW Development Limited

Also contributing to prepare and research, terms of presenters, session chairpersons are the following:

1. Mining Resources Authority of the Independent State of Papua new Guinea
2. World Bank Group, Papua New Guinea
3. Kumul Petroleum Holdings Limited, Papua New Guinea
4. Kumul Mineral Holdings Limited, PNG
5. Auckland University of Technology, New Zealand
6. Coordinating Committee for Geoscience Programmes in East & Southeast Asia , Thailand
7. PNG University of Technology, PNG
8. University of Papua New Guinea, PNG
9. James Cook University, Queensland, Australia
10. Akita University, Japan
11. Victoria University, New Zealand
12. University of New Castle, New South Wales, Australia
13. Ok Tedi Mining Limited, PNG
14. University of Wollongong, New South Wales, Australia
15. Dabai Geoconsult Limited, PNG
16. University of Western Australia
17. Woodlark Mining Limited, PNG
18. University of Queensland, Australia
19. K92 Mining Limited, PNG
20. Mongolian Univerity of Science and Technology, Mongolia
21. St Barbara Limited, PNG & Australia
22. Pan Australian Resources, Queensland, Australia
23. Geo Scan Australia Pacific, Queensland, Australia
24. Universoty of Goroka, PNG
25. University of Auckland, New Zealand
26. University of Colombo, Sri Lanka
27. Meteorological Office, United Kingdom
28. Curtin University, Western Australia, Australia; Peak Oil PNG Pty Limited, Australia & PNG
29. Don Bosco Technical Institute, PNG
30. Circum-Pacific Council & San Jose University, USA
31. Twinza Oil, Victoria, Australia
32. Mineral Resources Development Company Limited
33. Cranfield University, United Kingdom
34. PNG Forestry Agency, PNG

All attendees were encouraged to share their knowledge and experiences to benefit the complex extractive industry and ensure the sustenance of the environment.

The GEE 2024 Conference featured numerous sessions dedicated to the latest research, innovations, and sustainable practices in geosciences, exploration, and resource extraction. The sessions were broken down into 12 sub-themes presented in 3 days:

• Sub-Theme 1: The Strategic Roles of Government, Industry, Universities & Society with respect to Geoscience, Energy & the Extraction Industries
• Sub-Theme 2: National, Pacific Regional & International Geoscience & Society
• Sub-Theme 3: Professor Hugh Davies Session - PNG & Pacific Geology & Tectonics
• Sub-Theme 4: Mining & Minerals in PNG & Globally
• Sub-Theme 5: Economic Geology: Minerals & Mining
• Sub-Theme 6: Mining Engineering & Geotechnical Issues
• Sub-Theme 7: Mining, Minerals, Environment & Futures
• Sub-Theme 8: Geoscience, Environment, People, & Planetary Management
• Sub-Theme 9: Geohazards & Risk Management
• Sub-Theme 10: Professor Russell Perembo Session: Energy, Marine & Coastal Geoscience
• Sub-Theme 11: Miscellaneous Geosciences
• Sub-Theme 12: Miscellaneous Geosciences

Prior to the conference, there was a Pre-Conference Field Trip on 6th August to several locations. They included Varirata National Park, Sogeri Plateau, Varirata National Park and Lookout, PNG Power Rouna 2 Hydropower Facility, Site Tour by PNG Power Site Team, and Laloki Mine Roaster (17 Mile).

An innovative partnership between the Australian Government and PNG-based accreditation provider Paradais Review Services is set to send six Papua New Guineans on a vital training program in South Australia.

Over a two-week program, these individuals will train as National Association of Sustainable Agriculture Australia (NASAA) Organic Inspectors and Food Safety Management System Auditors in Adelaide.

Local farmers have long struggled to gain access to the lucrative global organic produce market despite much of their crops being naturally organic. A major barrier has been the absence of locally qualified organic certifiers.

Currently, international certifiers come in from countries like Australia, making the process both costly and logistically challenging for PNG agribusinesses. This initiative seeks to address this issue head-on by equipping local professionals with the necessary skills and qualifications.

Australian High Commission Economics Counsellor Nic Jonsson said this training initiative is a concrete step under the PNG-Australia Partnership to improve livelihoods in PNG’s agricultural sector.

"Once this training is complete, PNG farmers will have on-the-ground access to internationally qualified organic food inspectors. This means it will make it easier for PNG produce to compete in valuable overseas organic markets like Australia," Mr. Jonsson said.

He said the inspectors will conclude their initial 14-day training on August 23 before returning to PNG.

Over the following year, they will continue their learning through online modules and practical, on-the-ground instruction, ensuring they are fully certified and ready to assist PNG farmers by August 2025.

PNG has and estimated 100 (m) million ounces of gold that is yet to be mined according to the Prime Minister Hon James Marape.

The PM revealed this when officially closing the Geoscience, Exploration & Extraction Conference 2024 yesterday at the APEC Haus in Port Moresby.

He said based on the gold price of around US$ 2,400, the 100m ounces would equate to a total asset base of US$150 billion worth of gold. He described the numbers as “staggering” considering that PNG also produces copper, nickel and silver which adds onto the asset base.

He said PNG has a young geology and that the country sits on possibly six or seven plate tectonics that is still forming, with mineralization continuously taking place.

The PM said in terms of policy, the government was looking at ensuring that PNG harvests and processes its resources in the country, so that the nation value-adds and exports finished products.

“Our market is closer to home, not to mention markets further from us. We have 4 billion people right within the Asian region and millions in Australia with appetite for our resources. We are placed in a in a part of planet Earth that can produce resources, process resources and supply to the market that is closer to home.”

He assured the mining sector that it would continue to receive government support, adding that the government was looking at regulatory framework and legislative environment that does not hurt investors, but at the same time PNG value-adds from the harvest of its resources.

The PM said that the government was looking at a transparent way of farming out exploration and ensuring that the best companies are participating in exploration, and development of our resources. He said the Department of Mineral Policy & Geohazards Management (DMPGM) and the MRA have been asked to look at the the possibility of auctioning resources . He said this was something that the government was looking at very closely.

“We put the resources, maps and exploration spaces on auction. The best companies out there who have cleaner technology, better resource benefit sharing formula and those who can respect my Land owners and provinces better, could come in, bid and bring in the capital and work with local partners to develop these resources.”

There has been a decline in mineral exploration activities in the country since 2019, according to the Managing Director of the Mineral Resources Authority (MRA), Jerry Garry.

Mr Garry said this recently at the Geoscience, Exploration & Extraction Conference 2024, at the APEC Haus in Port Moresby.

The MD said from 2012-2018, most of the country was taken up by companies exploring for mineral resources. He said today exploration activity had declined significantly, indicating that it was a concern.

“As a country, without exploration, there will be no mining,” said Mr Garry.

He said some of the factors that had contributed to the decline had been the negative perception about the country especially in terms of law & order, lack of geoscience data and the perception that the turn-around time for permitting of licenses is slow amongst other factors.

About 60% percent of the country’s annual revenue comes from the mining sector. It is therefore important to start looking for new mines now, because the lead time from discovery to commissioning of projects is between 11-50 years, as in the case of the Frieda River Project. The MD said the Frieda River project was discovered in 1967 and that the project had not been commissioned yet.

Mr Garry said in order to overcome the challenge of depleting resources, the MRA had come up with a 5 year program which includes testing of deep-seated porphyry system, providing quality baseline geoscientific data, testing fly and new potential geological areas.

Papua New Guinea (PNG) is losing billions in US Dollars from the fisheries industry in revenue inflows because 80 percent of fish caught in the PNG Exclusive Economic Zone (EEZ) is processed and sold in other countries in US Dollars since PNG does not have a Domestication Policy. Chairman of RD Group, Mr. Roy Rivera revealed that over 60 per cent of RD’s business is done in US Dollars because it processes the fish in PNG and sell to Europe and the US market as premium canned tuna under their various brand names. This is the very important part of their business mix.

Mr. Rivera said: “Imagine how much US Dollars PNG could be making if all the fishing companies were processing fish into semi and final products and exporting to other countries in US Dollars. As the first fishing company in PNG, we want to commend the Marape-Rosso Government for finally making a very bold decision after 49 years to correct this policy and bring in a Domestication Policy where all fish caught in PNG is processed in PNG. This will significantly increase PNG’s earnings in US Dollars and really contribute to minimizing the US Dollar crisis that PNG is struggling with. It will also result in creation of 50,000 to 100, 000 new jobs.”

Mr. Rivera stated: “Our company (RD) is so grateful that of all the fishing companies in PNG and outside PNG, the Marape-Rosso Government has chosen to partner us in this exciting new JV Fishing Company. We are committed to this JV, and we want to assure Prime Minister, Hon. James Marape, MP, and the Marape-Rosso Government that we are very committed to this JV and are determined to ensure that we do our best to make sure that our JV Fishing Company succeeds. We will be working very closely with the new Chairman of the SNT, Mr. Dairi Vele, and the technical team and lawyers from both sides to make sure that over the next four weeks we will finalize the negotiations and have the draft agreements- the Heads of Agreement between the State and RD, and the Shareholder Agreement between the State and RD for the operations of the JV, ready for submission to the NEC for approval. My team will be travelling to Port Moresby in the next two weeks to meet with the SNT to finalize the agreements.”

Mr. Rivera also stated that plans to develop the Pacific Marine Industrial Zone (PMIZ) would not work unless the JV company have fish to process.

“At the moment we are really struggling to meet the demand of our customers. In PNG, we cannot meet the local market demand because we are not able to produce enough canned fish with our current capacity, and we are also not able to meet our international market demand. Currently our business split is 40 percent domestic and 60 percent international. With our own fishing fleet under this JV, we are confident that we will be able to increase the supply of fish so we can process more fish to meet our domestic and international market demand,” said Mr. Rivera.

Under the proposed JV, RD is offering their 645 hectares of land in Vidar, Madang, to be jointly owned by the State and RD under the JV company.

“This is a very important step because the PMIZ and PNG’s dream to be the ‘Tuna Capital’ of the world will not happen unless we have all the complimentary services that the fisheries sector will need including water supply, shops, dry dock, slipway, international wharf, etc. That is why we are making our land available,” said Mr. Rivera.

Mr. Rivera further stated: “We are now talking to KCH to enter into a Memorandum of Understanding (MoU) over the next two weeks to work with them to develop a Masterplan for our proposed SEZ. We cannot develop new canneries and processing plants without water and power supply, and a new international wharf. These are the areas of expertise that KCH has which we want to lean on, so a partnership with KCH for us is so critical at this stage. We want to go out on international tender in partnership with KCH for a development of a Masterplan for our 645 hectares of land together with the land that NFA owns we can make our shared dream of making PNG the ‘Tuna Capital’ of the world. We have an urgent need to build a new cannery to meet our domestic and international market demand, but we cannot do that without a reliable supply of water and power, and sewerage system. Power supply is a very serious issue. Currently, the power supply to Vidar is so bad that we are basically running our diesel generators 24 hours a day. We are therefore in discussions with KCH to enter a long-term partnership with them to help us develop water, power, and sewerage facilities so we can develop the second cannery which will enable us to meet the huge demand for canned tuna in PNG and our international market demand.”

“We are very happy that Madang Governor, Hon. Ramsey Parawi, MP, and Member of Rai Coast & Minister for Labor and Employment, Hon. Kessy Sawang, MP, are on the State Negotiating Team because we have to involve our local leaders and people in this massive development that we want to do in phases in Madang. We have to make sure that local people benefit from all the spinoff opportunities, and we are also involving the two districts who are part of PMIZ- Madang and Sumkar districts,” added Mr. Rivera.

Minister Maru said this fishing JV is a new step for the Government to chart into uncharted waters.

“There are risks involved and it is important that the SNT in its negotiations is able to give confidence to the Government when it presents the submission that this JV will minimize risks to the State and that it has a chance to succeed,” said Minister Maru.’

Minister Maru further stated: “For the first time, Papua New Guineans will sit on the fishing vessels of this JV company, crew the fishing vessels which employ up to 40 crew per vessel, and master the trade of fishing, processing, and marketing of fish. Spending a long time at sea is a very serious deterrent to our locals in long-term employment as fishermen where they do not get back to their families for up to a year and in some cases two years.”

“It is important that under the new JV we look at ways in the negotiations to attract our own people to work as fishermen and live on the vessels while at the same time we must look at ways to look after their families in a way that their package and renumeration is structured to attract many of our unemployed youths to work on the fishing vessels and also to work in the fishing industry. These are some important parts of the negotiations that the SNT must undertake.”

Chairman Rivera and Minister Maru agreed that the JV agreement must also include Phase 2 which is the building of a new cannery and Phase 3 which is the development of a new Special Economic Zone (SEZ).

“The Fishing Company is under phase 1 of our partnership between RD and the State. Phase 2 will include the building of a new cannery which is needed right now, and phase 3 will cover the development of a new SEZ to include the 645 hectares land that RD is offering to the new JV Fishing Company. The requirement for capital could be achieved by listing this JV company in the National Stock Exchange so provinces, especially coastal provinces and our own people and institutional investors can invest in this company, so it truly becomes a PNG-owned integrated business,” said Minister Maru.

“If we attend to issues like water and power supply and provide all the infrastructure like international wharf and dry dock, we have a great chance of attracting other Pacific Island States to come and invest within the PMIZ. If we know how to operate canneries, we can lend them a helping hand to set up their own. Right now, we do not have the knowledge ourselves. Countries like Namibia and Australia are Fishing States because they do not allow other people and other countries to come in under bilateral agreements to fish their waters. This is the step that PNG must take and must be prepared to take.”

Minister Maru further added: “There is going to be a lot of hard work and a steep learning curve, but I thank the Prime Minister for his leadership and the support of the Minister for Fisheries, Minister for State Enterprises, and the Cabinet for making the decision to domesticate our fishing industry starting with the JV with RD. One day PNG will be a Fishing State and I am excited we are starting with the first step now. This will be one of the greatest decisions that Marape-Rosso Government will make in its term, and I look forward to the next four weeks of solid negotiations and the approval of the agreements so we can operationalize this JV Fishing Company and start this new journey.”

Meanwhile, new SNT Chairman, Mr. Dairi Vele has given his commitment that he will work very closely with the chairman of RD and the negotiating team to tidy up the negotiations and finalize the two agreements over the next four weeks.

“I am confident that the negotiations and the two agreements will be finalized in the next four weeks because a lot of work has already been done by the previous Chairman and his team in terms of the negotiations,” said Mr. Vele.

Prime Minister Hon. James Marape on Tuesday, August 6, 2024, expressed his gratitude to the outgoing Indian High Commissioner to Papua New Guinea, H.E. Inbasekar Sundaramurthi, for his exceptional contributions during his tenure.

Prime Minister Marape acknowledged the progress made in India-PNG relations under High Commissioner Sundaramurthi’s leadership, noting significant milestones such as the 2023 visit by Indian Prime Minister Hon. Narendra Modi. This visit, according to Prime Minister Marape, laid the groundwork for a more robust partnership with India, the world’s fifth-largest economy.

“You have been a good High Commissioner for India to PNG in your time here. I am very happy that during your time here, PNG-India relationships have grown from strength to strength,” Prime Minister Marape stated during his meeting with High Commissioner Sundaramurthi.

The Prime Minister also recognised India’s support to PNG during times of natural disasters, despite the challenges faced within India itself. He remarked, “In the face of your own disasters or problems back in your country, your assistance to us during our recent times of disaster like the landslip at Mulitaka in Enga Province, is very much acknowledged. It shows that you are a true friend and you care for us in our time of need.”

Highlighting the importance of Prime Minister Modi’s visit, Prime Minister Marape noted that High Commissioner Sundaramurthi has proposed a reciprocal visit for him to India later this year.

In their discussions, Prime Minister Marape advocated for continued Indian support in education, particularly through the establishment of sister campuses of Indian universities in PNG and the involvement of Indian teachers in local schools. He emphasised the value of ongoing scholarship programmes that enable PNG students to study in India, encouraging greater participation as the two nations continue to strengthen their relationship.

Furthermore, Prime Minister Marape expressed his commitment to deepening ties with India, welcoming India’s offer of assistance in technology advancement, biometric identification systems, electoral systems, and the supply of medicine.

Prime Minister Marape indicated his intent to finalise a reciprocal visa-on-arrival arrangement with India, which has been pending, in recognition of India’s existing visa-on-arrival policy for PNG citizens.

Prime Minister, Hon. James Marape on Tuesday, August 6, 2024, welcomed new Chinese Ambassador to Papua New Guinea, His Excellency Mr Yang Xiaoguang, while commenting on the “great strides” the two countries have made in their bilateral ties in the last five years.

Ambassador Yang Xiaoguang paid a courtesy call on the Prime Minister at his office at Sir Manasupe House in Waigani, during which Prime Minister Marape and the Ambassador reaffirmed the existing bilateral relationship between Papua New Guinea and China.

“Papua New Guinea and China have always had a good, cordial relationship since 1976 when our two countries signed a joint communique establishing diplomatic ties,” said PM Marape.

“I welcome you to Papua New Guinea, Ambassador Yang, and look forward to a greater collaboration with you to continue what your predecessors have put in place.”

Prime Minister Marape said it was “satisfying” to see the PNG-China relationship elevated to this new level, a sentiment that was later echoed by Ambassador Yang in his reply to the Prime Minister.

PM Marape continued by reaffirming China’s position in terms of Papua New Guinea’s trade and investment with China, highlighting to the new envoy that China continues as one of the biggest importers of PNG produce and raw materials where China buys more from PNG than the other way around.

He also acknowledged the roles that Chinese President Xi Jinping, and Premier Li Keqiang and his successor Premier Li Qiang have played in understanding his objectives in downstream processing as a strategy to heighten the country’s economic strength, and providing support in this area.

“I want to place on record both President Xi Jinping’s and Premier Li’s understanding of our focus on downstream processing. In my last trip to China, we signed certain MOUs, and one of them was for bio-clearance so PNG produce can be exported to China.

“So great strides have been made in the last few years, especially on the Chinese government’s appreciation of our focus on downstream processing, and their support to us to get into downstream processing to export back to China and other parts of the world.”

The Prime Minister then reflected on his visits to China over the last years since taking office, reiterating the level of diplomacy and respect accorded to him by the government and the leaders of China.

He affirmed to the new envoy the focus on manufacturing and downstream processing and requested that the Ambassador continue to work with his government to progress matters this area.

PM Marape concluded his remarks by stressing PNG’s stance on the One China policy and invited more Chinese investments into the country.

Ambassador Yang said it was a “privilege and honour” to be the new ambassador in Papua New Guinea, adding that he wanted to see the PNG-China bilateral ties improved to greater heights during his tenure in office.

He said, “I am confident that with your assistance, we can achieve our mutual target of improving further our relationship.

“We appreciate your Excellency’s attachment of great importance to the PNG-China relations.”

Ambassador Yang acknowledged the visits Prime Minister Marape has made to China and his message in welcoming more Chinese investors into PNG.

Ambassador Yang said, “More and more Chinese companies are interested in investing in PNG, as we see PNG has a huge potential in further development. We believe PNG can be more prosperous, independent and more influential. During the course of PNG’s development, China will be a reliable partner as we do not affiliate any political conditions to our relations, no empty promise, and no interference in the internal affairs.

“China always regard PNG-China relations from a strategic point of view. In 2018, our President made a historic visit to PNG and improved our bilateral relationship to comprehensive strategic partnership, and in recent years, we have supported each other on my occasions. We have seen our political mutual trust deepened and broadened our economic and trade cooperation.

“In the past years, you have visited China twice and met with our President and prime minister, and you signed a series of important documents enhancing our bilateral cooperation. You also met with a series of Chinese senior figures when they visited PNG.

“You expressed strong message to Chinese investors of welcoming Chinese investments and of supporting our bilateral relations, especially Prime Minister, we appreciate greatly your governments abidance by the One China principle.

“We can say PNG-China relations are at its best times in history, so I will work on the good foundations laid down by my predecessors to further cooperate with our PNG friends to deepen this cooperation,” said Ambassador Yang.

Ambassador Yang noted the work being carried out to put into place a Free Trade Agreement between the two countries, and highlighted the need for a stronger practical cooperation in agriculture, fisheries, forestry, climate change, and clean energy besides the traditional ones of infrastructure, and trade & investment.

He also mentioned opening up into Information & Communications Technology, disaster prevention and relief. The Ambassor also highlighted the current work China is doing in developing a currency settlement mechanism, and the Bank of China opening up a branch in Port Moresby, both of which will better facilitate Chinese investments in PNG.

In the area of people-to-people exchanges, the new envoy highlighted the need for visa exemptions so more Chinese people can visit PNG as tourists and investors seeking businesses in the country, as China has opened up direct air services link between Guangzhou and Port Moresby since 2023.

“I cannot find any faults in our relationship thus far. I am satisfied that we have elevated our relationship to this stage,” Prime Minister Marape concluded.

Credit Corporation (PNG) Limited has achieved a long-held dream of its founding directors by evolving into a fully-fledged bank, a milestone celebrated by Chairman Dr. Albert Mellam during the official licensing event by the Bank of Papua New Guinea (BPNG).

The transition to CreditBank PNG marks a pivotal moment in the company’s history, reflecting its vision to become one of the leading financial service groups in the South Pacific.

Dr. Mellam remarked: "Today, that dream is realized. Becoming Papua New Guinea's newest homegrown bank reflects our clear vision to be recognized as one of the leading financial service groups in the South Pacific.”

At the milestone event in Port Moresby in early August, Dr. Mellam expressed deep gratitude to BPNG for its support throughout the licensing process. "On behalf of the Board, management, staff of Credit Corp, and its shareholders, I want to say thank you," he stated.

CreditBank PNG is set to offer a comprehensive range of banking services, including transaction accounts, savings, and deposit products, facilitated through new internet banking and mobile platforms.

The bank aims to cater to customers in the small to medium enterprise (SME), commercial, and emerging middle market segments.

"Customers in these segments want to partner with a financial service provider who delivers exceptional service and innovative products," Dr. Mellam noted.

With over 45 years of experience in PNG’s financial sector, Credit Corporation is well positioned to meet the evolving needs of its customers.

The transition to banking will allow CreditBank PNG to expand beyond its established equipment finance offerings, introducing new services that support the growth of businesses across the country.

The journey to becoming a commercial bank involved a comprehensive project, including the implementation of a new core banking system, a web-based banking application, and significant enhancements to internal processes.

The project also focused on upskilling staff to ensure they are equipped to manage banking operations. "Our new core banking system was launched in a controlled production environment in just seven months, on time and within budget," Dr. Mellam said.

The successful pilot phase, with positive feedback from staff, helped refine the services to be competitive and user-friendly.

Dr. Mellam thanked the project team, BPNG staff, and business partners who played crucial roles in testing the Kina automated transfer system for inter-bank payments. He also acknowledged the licensing, supervision, and payments teams at BPNG for their invaluable support.

As CreditBank PNG embarks on this new chapter, Dr. Mellam reaffirmed the company's commitment to providing robust and innovative banking services, contributing to the growth of PNG's financial sector.

"We are very proud to receive this license as Papua New Guinea's newest bank and excited about the opportunities it will create for us and our customers,” he added.

August 5th marked a historic moment for Papua New Guinea's financial sector as the Bank of Papua New Guinea (BPNG) issued commercial banking licenses to TISA Bank Limited and Credit Bank PNG Limited.

This event, held at the BPNG headquarters in Port Moresby, is the first time two banking licenses have been granted on the same day, signaling a significant advancement in the PNG’s banking sector.

Governor Elizabeth Genia of BPNG officiated the event, stating: “It is my great pleasure to confirm that the Bank of Papua New Guinea has issued each with a commercial banking license today. Our hearty congratulations to PNG's new commercial banks, TISA Bank Limited and Credit Bank PNG Limited.”

The announcement coincided with BPNG's 50th anniversary, adding to the significance of the occasion.

Governor Genia highlighted the positive impact of increased competition for Papua New Guineans. BPNG, she said, will continue to provide regulatory support to both new banks, ensuring they meet the necessary standards.

“For the financial system to be strong and vigorous, we need more service providers to foster real competition,” she noted. “BPNG actively supports reputable new entrants into the commercial banking market.”

The banking sector in PNG has faced challenges in recent years, with some banks closing operations or shifting strategies, leading to fewer retail banking options and a concentration of market share. However, the licensing of TISA Bank and Credit Bank PNG is expected to reverse this trend.

Governor Genia expressed optimism that increased competition would benefit consumers through more choices, innovative solutions, and better fee structures.

Dr. Albert Mellam, Chairman of Credit Corporation (PNG) Limited, reflected on the significance of the moment, stating: “Since we commenced operation in 1978, it has been a dream of our founding directors for Credit Corporation PNG to become a bank one day. Today, that dream is realized.”

He also outlined new services that Credit Bank PNG will offer, including internet banking and mobile applications tailored toward small to medium enterprises and emerging markets.

The rigorous two-year assessment process conducted by BPNG ensured that both TISA Bank Limited and Credit Bank PNG Limited met stringent requirements to operate as commercial banks, including governance, risk management, financial health, and operational systems.

Governor Genia reiterated that obtaining a banking license is just the beginning. Ongoing compliance with the Banks and Financial Institutions Act 2000 and other regulations is crucial for these banks’ continued operation.

TISA, a key player in the savings and loans industry since 1972, also celebrated this milestone, as its Chairman Gabriel Tai emphasized the bank's commitment to adhering to BPNG's regulations and serving its 80,000 members across Papua New Guinea.

“TISA Bank is for everybody in Papua New Guinea,” Tai stated, underscoring the bank’s inclusive approach that aims to provide services to a broad range of customers, including SMEs and MSMEs.

These new bank entrants are expected to create jobs, promote financial inclusion, support local small and medium-sized enterprises (SMEs) and micro, small, and medium-sized enterprises (MSMEs), and drive innovation within the sector.

The Papua New Guinea Chamber of Resources & Energy (PNG CORE) is pleased to announce the 2024 Papua New Guinea (PNG) Investment Week.

The event, which will take place from December 6th to 11th, 2024, at the International Convention Centre in Sydney, was officially launched by Prime James Marape.

In his remarks, the Prime Minister acknowledged the partnership between Government and PNG in continuing to promote PNG as an investment destination of choice.

“The annual PNG Resources & Energy Investment Conference and Expo has been the country’s premier international event, which has enabled our international stakeholders, particularly those within resources & energy, to engage with the State to discuss opportunities in PNG, as well as to progress development of projects within this critical economic sector. Last year’s event was a tremendous success with heads of major mining and energy companies present and promoting investment in PNG.

It is indeed the only event where all who matter are in one place at the one time.

It is timely that the event is broadened into a week of promotion of international investment in PNG, and we are very happy that it has now become PNG Investment Week, and will feature not just the promotion of investment in our core energy and resources sector, but also other sectors such as financial services, agriculture, fisheries, manufacturing, infrastructure and renewables but also the very good work that PNG’s bilateral and multilateral partners are doing in PNG. My government stands ready to work with PNG CORE to make this event a resounding success yet again.”

PNG CORE President Anthony Smare reaffirmed the commitment by industry to promote opportunities on offer, in partnership with government, and key stakeholders.

“This change of name and format of the traditional conference into 5 days of PNG focused activities in Sydney, will boost investment into PNG by expanding attention beyond PNG’s resources sector into other areas such as PNG’s financial sector, agriculture, fisheries, renewables and infrastructure and providing opportunities for our international and multilateral partners to also advocate for PNG as an investment destination. We anticipate more than 2000 business delegates to attend the PNG Investment Week, with well over a thousand from international jurisdictions. We believe that by working closely with the National Government, and our major private sector and multilateral partners, we can deliver an investment event that will be both larger and more successful than anything we have delivered in the past offshore in terms of translating to improving investor sentiment in PNG and driving more direct investment into PNG’s various sectors. We are also pleased to acknowledge as well, the early and proactive commitment by the Autonomous Bougainville Government to use the event to promote direct international investment into Bougainville.”

This event will unite all investment and business stakeholders in PNG and abroad through a series of activities:

• PNG Golf Challenge
• PNG International Suppliers Forum
• Meet the PNG Regulators
• Large Investor briefings with PNG PM
• President’s CEOs Dinner
• PNG Investment Conference
• PNG Investment Gala Dinner
• PNG Investment Expo

As part of its member engagement activities, staff from PNG Chamber of Resources and Energy (PNG CORE) recently took part in a stakeholder engagement, hosted by ExxonMobil PNG (EMPNG).

This advocacy session, facilitated by EMPNG’s Government Affairs team, provided PNG CORE staff with an appreciation of work done by the PNG LNG Project operator, particularly through their external affairs and stakeholder engagement.

PNG CORE Chief operating officer Pansy Taueni-Sialis said it was an informative session which provided insights on what happens in the PNG LNG Project especially around benefit sharing agreements, licenses, ongoing trade and investment relations, landowner benefits and the overall operations of the project.

“As the leading industry body for the mineral, petroleum, and energy sectors, it is crucial for the PNG CORE team to understand the intricacies of project operations to provide relevant support, particularly in advocacy and representation on behalf of our members at various levels. We are grateful for the opportunity for our team to attend this workshop.”

PNG CORE Graduate Trainee Henrietta Daniel said the workshop significantly clarified the operational structure of the LNG pipeline, detailing the roles and responsibilities across the entire system - from drilling and operations at the Hides Gas Conditioning Plant (HGCP) to the processing facility at Caution Bay, outside Port Moresby.

“My primary interest lies in LNG processing, from inception to shipment, and the workshop's detailed breakdown of these processes was particularly enlightening. I gained valuable and firsthand insights into the PNGLNG project’s future expansion plans, including the integration of the Papua LNG Project to the existing plant and the transition towards greener practices with e-trains.”

“I am grateful for the opportunity to receive this firsthand information, which will go long way in assisting me in my role with PNG CORE in providing awareness to our membership across the resources sector.”

Ok Tedi Mining Limited (OTML) has signed a road construction contract worth K18.1 million for the Alice Pit to the Border Post Road Project in North Fly District.

Funded through the Infrastructure Tax Credit Scheme (ITCS), the 14.55km road will serve as a critical link, connecting local communities to a key PNG-Indonesian border post at Yetetkun in the Ningerum LLG.

The new infrastructure is expected to transform the lives of locals, providing them with better access to cheaper goods and services that foster social and economic growth.

OTML Managing Director & Chief Executive Officer, Kedi Ilimbit, said this is one of two roads strategically planned to be constructed to the border.

“There is a reason why we are leading the roads to the border, and it’s because we want to get goods and services from across the border rather than our local communities waiting for weeks for services to be delivered from Port Moresby,” said Mr Ilimbit.

Mr Ilimbit further added that OTML is committed to support the setting up of a border facility at Yetekun.

He further commended and thanked the Western Provincial Government and Administration team for attending the signing event and importantly for their continuous support towards the OTML ITCS projects by ensuring due processes are followed prior to contract being awarded and implemented.

Western Province leaders present at the signing included Governor, Taboi Awi Yoto, North Fly MP James Donald, Middle Fly MP, Maso Hewabi, and Provincial Administrator, Robert Kayun.

The leaders said the Alice Pit to Border Post Road has been a dream for their people for so many years and the ground breaking is marking the start of this dream becoming a reality.

They thanked OTML and the National Government for their cooperation in having the project approved for delivery.

China Railway Construction Engineering Group Co, has been awarded the project and are expected to complete the task in 12 months.

OTML is a 100% PNG-owned mine and is committed to mining responsibly, while delivering sustainable economic developments to its impacted communities and PNG.

The 2024 Business Regulators Summit co-hosted by the Investment Promotion Authority (IPA) and Department of Information, Communication and Technology (DICT) on July 30 to 31 in Port Moresby drew representatives from businesses, regulators, investors, government agencies, non-government organisations, and the media across Papua New Guinea to Port Moresby for the two day summit.

Discussing the result on the outcomes of the inaugural 2019 event, IPA Managing Director Mr Clarence Hoot said: “From the first summit, an outcome report on the discussions and recommendations were produced, and an NEC paper was submitted through the Minister of Commerce and Industry.”

“The key recommendations include all streamlining all regulatory agencies to adopt system automation (interoperability) to achieve government’s vision for digital transformation.”

This year’s summit aimed to identify synergies among the government and the statutory regulatory agencies to take stock of reforms and progress to achieve PNG’s e-commerce agenda and digital transformation.

DICT Minister Timothy Masiu officially launched the summit at Stanley Hotel in Port Moresby on July 30.

“This Summit aligns perfectly with our digital transformation agenda where the objective is to harness digitalization for social and economic growth,” he said.

The theme, “Interoperability; Connect and Co-create,” underscores efforts by his Ministry and DICT’s collective goal to harness synergies among government bodies and statutory regulatory agencies to advance the nation’s e-commerce agenda and digital transformation efforts.

“This is where interoperability comes into play. Interoperability will make conducting economic activities easier for business communities,” Masiu said.

“The journey toward digital transformation supported through interoperability is both exciting and challenging. You, as regulators play a very important role in creating an environment where it will be conducive for business to grow.”

“The easier the business processes are, it will encourage more citizens to engage and operate MSMEs’ and SMEs’ creating more income generation and employment opportunities,” Masiu added.

 “This will contribute towards growing PNG economy that will ultimately result in the improvement of the citizens’ livelihoods.”

 “Our aim here today is to leverage these insights to inform our strategies and policies, aligning them with international best practices that have successfully driven digital transformation,” the minister added.

The two-day-summit featured a focus on high-level statements from the Government Ministers on the first day, followed by agenda setting and overview of the Regulators Summit topics.

The second day included panel discussions at technical level for regulators and policy makers to identify issues and opportunities, and outline recommendations for regulatory convergence and interoperability.

Discussions focused on:

• A stock-take on progress in adopting e-commerce and digital optimization within government departments, agencies, and industry regulatory bodies to improve service delivery.
• Promoting dialogue and identifying a central depository point for regulatory agencies to create synergies and achieve interoperability in business processes.
• Providing policy recommendations for the government’s consideration and action.

Masiu stressed that the discussions aimed to inform ongoing Government to Citizen (G2C) and Government to Business (G2B) digitalization initiatives through necessary policy and legal frameworks, including the Digital Transformation Policy 2020, the Digital Government Act 2022, and the Digital Government Plan 2023–2027.

He said: “Together, we can provide policy recommendations that align with our national goals and drive meaningful change. Our collective insights will inform the government’s strategic decisions, ensuring that our policies are responsive to emerging challenges and opportunities.”

Key sponsors of the summit included PNG Ports Corporation, Immigration and Citizenship Authority, and the Australia-PNG Economic Partnership Program.

The Papua New Guinea Chamber of Resources and Energy (PNG Core) Manger for Policy and Analysis, Gretel Orake, addressed the urgent need for regulatory reform and enhanced capacity within PNG's regulatory bodies during the 2024 Business Regulators Summit held at Stanley's Hotel.

Orake highlighted critical areas requiring attention to foster a more conducive business environment and drive the nation's economic growth as it approaches its 50th anniversary.

Presenting on “Challenges in Regulatory Compliance and Coordination” on the second day of the Summit, Orake stressed the role of regulators in ensuring the ease of doing business in PNG.

“This is a call to attention, recognizing the critical role of regulators in ensuring the ease of doing business. The industry is about our country and our people," she emphasized.

Orake noted that the scrutiny faced by the extractive industry is intense, and meeting international standards is imperative for the country's development.

Reflecting on the decline in exploration licenses over the past decade, Orake pointed out: "Just over ten years ago, we had a lot... An example of that is the mining exploration tenement map in 2011. Ten years later, in 2023, the interest has declined."

Despite PNG’s natural resource potential remaining unchanged, the waning interest signals a need for regulatory revitalization, she said.

Orake emphasized the necessity of adhering to global norms through stringent regulations such as the Mining Act, Oil and Gas Act, and Environment Act.

"For Papua Energy, for instance, to get its oil and gas license, it needs to comply with the Environment Act. It must spend up to 19 million Australian dollars to comply with our Act," she detailed.

However, Orake identified a critical imbalance: the extensive requirements placed on the industry versus the limited capacity of regulatory bodies.

"When the industry is coming with a 19 million dollar document for you to review, and you are an organization that has what, 6 people? This increases the risk of error in decision making," she remarked, highlighting the delays and inefficiencies caused by under-resourced regulatory agencies.

She stressed the importance of adequate funding and resources for regulatory bodies to function effectively, and called for enhanced coordination among regulators to streamline processes and reduce bureaucratic hurdles.

"I should be able to, as a regulator, have the funding. When I have only 5 or 6 people, I should still have the ability to put out a tender and ask for expert advice," she asserted.

Orake also addressed the issue of outdated legislation, particularly the need to update the Mining Safety Act. Urging the government to commit resources to modernize regulatory frameworks, Orake emphasized that a well-resourced regulator is key to a successful economy.

"Teamwork makes the dream work. An enhanced coordination of regulators will definitely result in the ease of doing business," she said, reiterating the importance of a robust regulatory framework for the future of PNG's economy.