K92 Mining Inc. announces production results for the first quarter (“ Q1 ”) of 2023 at its Kainantu Gold Mine in Papua New Guinea, of 21,488 oz AuEq or 17,593 oz gold, 1,651,297 lbs copper and 29,859 oz silver. Sales during the first quarter were 17,602 oz gold, 1,538,590 lbs copper and 29,164 oz silver.

During the first quarter, the process plant delivered a strong quarterly ore processing rate of 117,903 tonnes or 1,310 tpd, our third highest quarter on record despite experiencing 8 days of combined unplanned maintenance. The unplanned plant maintenance occurred in February due to a mill trunnion bearing failure (2 days downtime) and a limited electrical fire in a cable tray, which damaged a number of cables feeding the wet section of the process plant (6 days downtime) (see February 27, 2023 press release).

After completion of the unplanned maintenance in February, the process plant performed very strongly, setting a new monthly ore processed record of 1,490 tpd in March which is 9% greater than the Stage 2A Expansion design throughput of 1,370 tpd. Additionally, multiple new daily throughput records were achieved during the quarter including 1,726 tonnes processed on February 26, 1,773 tonnes processed on February 28, 1,802 tonnes processed on March 3 and 1,815 tonnes processed on March 11. Importantly these records were achieved prior to the final major upgrade to the Stage 2A Expansion process plant, the flotation expansion to double rougher capacity, which is planned for commissioning in Q2 and is expected to provide a boost to metallurgical recoveries and flexibility to potentially increase throughput further.

Mine performance during the first quarter recorded 117,865 tonnes of ore mined, an 18% increase from Q1 2022, and delivered a total material mined (ore plus waste) of 277,534 tonnes mined, representing an increase of 33% from Q1 2022. During the quarter, operations focused on Kora’s K1 and K2 veins, and Judd’s J1 Vein for a total of 8 levels mined. Mining on Kora was conducted on the 1130, 1150, 1170, 1205, 1265 and 1285 levels, and Judd on the 1285 and 1305 levels.

The operation delivered head grades of 5.21 g/t gold, 0.70% copper and 10.14 g/t silver (6.35 g/t AuEq) in Q1. Metallurgical recoveries averaged 89.1% for gold and 91.3% for copper during the quarter, with recoveries expected to improve upon the commissioning of the flotation expansion planned in Q2 2023. Head grade was notably impacted, during the second half of the quarter, when underground mining encountered an area with more challenging ground conditions than expected, associated with where the K1 and K2 veins almost converge, which impacted our production stoping rates and access to higher grade ore. Generally, in this situation, mill feed would be supplemented by mining from additional mining fronts as we mine through the impacted area more slowly. However, due to development rates being below budget for several quarters during the COVID-19 pandemic, many of the alternative mining areas were not yet developed, therefore supplementing from our low-grade stockpile was required (see March 30, 2023 press release, and see Figure 1).

Operationally, as previously disclosed, we expect Q2 production to be moderately below budget, with the second half of 2023 being our strongest in terms of production and 2023 production being within the bottom half of the guidance range (see March 30, 2023 press release).

The anticipated strength of the second half of 2023 is driven by an expected significant increase to our operational flexibility and stope sequencing. In terms of operational flexibility, it is important to highlight the following positive trends:

• Significant increase in development achieved over the last two quarters: Q1 2023 and Q4 2022 both set new quarterly records for development, of 2,278 m and 2,221 m, respectively. Development for both quarters was also significantly greater than prior quarters, with Q1 2023 development increasing 48% compared to Q1 2022. Strong development rates is a positive leading indicator for operational flexibility, and we note that there are two new sublevels currently being established.
• Multiple equipment recently arrived on site: Recent arrivals include a new loader in Q4 2022, and in Q1 2023 a new jumbo, loader, two integrated tool carriers, Normet explosive charging machine, cement agitator truck and very recently a new long hole drill rig. The arrival of the long hole rig is particularly important as it now doubles our long hole drill fleet, which is expected to drive a notable increase in our drilled stocks (stopes drilled and available for immediate blasting, including more stopes available as “backups” to supplement mill feed if required). The majority of this equipment was originally scheduled to arrive in 2022 and in certain cases was considerably delayed due to the global supply chain. The arrivals of equipment are to both replace existing equipment and expand the fleet. During the remainder of the first half of 2023, two underground trucks and one jumbo are also scheduled for delivery.
• Entirely new mining front to be established in H2 2023: During the second half of the year, we will be accessing the ore body at depth from the twin incline, opening up an entirely new mining front that is serviced by our large and highly productive twin incline infrastructure. As of March 31, 2023, incline #2 (6m x 6.5m) advanced to 2,172 metres and #3 (5m x 5.5m) advanced to 2,230 metres, with development advance during Q1 2023 22% ahead of budget.

John Lewins, K92 Chief Executive Officer and Director, stated, “While the first quarter was more challenging than expected, there were many positives that we can build on for the operation going forward.

Firstly, the performance of the process plant was very strong, setting a new monthly ore processed record in March of 1,490 tpd, 9% greater than the Stage 2A Expansion Rate. Multiple new daily records were also set during the quarter, with the latest record now standing at 1,815 ore tonnes processed on March 11 th . Importantly, this strong performance has been achieved prior to the commissioning of the flotation expansion for the Stage 2A Expansion that is planned for Q2 and is expected to provide a boost to metallurgical recoveries and flexibility to potentially increase throughput further.

On the underground mine, we see operational flexibility significantly improving over the coming weeks and months, driven by our recent record development advance rates, multiple key pieces of equipment now on site, and, a new mining front at depth in H2 serviced by our twin incline that is significantly oversized for not just the Stage 2A Expansion (500,000 tpa) throughput rate but also Stage 4 (1.7 mtpa).

And lastly, we are very excited about our exploration plans for 2023. In Q1, exploration continued to expand the drilled deposit extents at our Kora-Kora South and Judd-Judd South vein system (see February 21, 2023 press release), and porphyry drilling also recently commenced on A1, our top copper-gold porphyry target.”

Photo credit: Wafi-Golpu JV

Wafi-Golpu Joint Venture (WGJV) participants, Newcrest and Harmony Gold (through their respective PNG subsidiaries) have today signed a Framework Memorandum of Understanding (MOU) with the Independent State of Papua New Guinea at a signing ceremony which was attended by the Governor General, the Prime Minister and key members of his cabinet, as well as the Governor of the Morobe Province.

The MOU represents a substantial step forward in progressing and signing a Mining Development Contract for Wafi-Golpu and confirms the parties’ intent to proceed with the project, subject to finalising the permitting process and approvals of both the Newcrest and Harmony Boards.

The MOU sets out key terms to be included in the Mining Development Contract, which is a prerequisite for a Special Mining Lease (SML), including:

• State equity participation, royalty rate, tax package and term and scope of the SML. 
• Key terms for other related agreements with the State, including provision for stability to underpin the significant long-term investment required to develop and operate the project. 
• Commitments for the WGJV to invest in infrastructure and social development projects that will deliver long-term benefits to local communities. 
• The framework for the parties to progress the permitting of the Wafi-Golpu Project as quickly as practicable in accordance with applicable regulatory processes.

Peter Steenkamp, Chief Executive Officer of Harmony Gold Mining Company Limited, said, “This MOU is an important step in progressing the permitting of the Tier 1 Wafi-Golpu project, one of the world’s premier, undeveloped copper-gold deposits. I wish to thank Prime Minister Marape and his Government for the constructive manner in which they have worked with the WGJV partners and for the commitment demonstrated in advancing this important and long-awaited project.”

“This MOU is a pivotal milestone towards the development of one of the world’s premier, undeveloped, copper-gold deposits. Importantly, the project will result in fair and equitable benefits for landowners, communities, local level governments, the Morobe Provincial Government and the Independent State of Papua New Guinea, while also delivering strong returns for investors.” said the Interim Chief Executive Officer of Newcrest Mining Limited, Sherry Duhe.

The MOU recognises that development of the Wafi-Golpu Project will be of major significance to the people of Papua New Guinea and encourages its development to contribute both socially and economically to the community. In addition, it also provides a viable and stable foundation for the long-term development of the Project by the WGJV.

Photo: President of the PNG Chamber of Mines and Petroleum Mr Anthony Smaré

Last year, the 16th Papua New Guinea Mining and Petroleum Investment Conference and Exhibition was held from 5th to 7th of December 2022 at Sydney Hilton Hotel. The event was hosted by the Papua New Guinea Chamber of Mines and Petroleum with the theme "PNG Resources: Securing the next wave of responsible investment”.  

There were over 1,000 delegates from industries related to global hydrocarbon, minerals, and energy industries. Other participants are government officials, landowners, and those from the international investment sectors. [1]

The conference seeks to highlight investment and development opportunities that PNG can offer.

Honorable James Marape (MP) - PNG Prime Minister, provided the keynote address on Day 1. Other notable speakers include Mr Anthony Smaré - President of the PNG Chamber of Mines and Petroleum, Pat Conroy - Australian International Development Minister, Honorable Ano Pala (MP) - Minister for Mining (PNG Government), and Honorable Kerenga Kua (MP) - Minister for Petroleum (PNG Government). 

In Mr Anthony Smaré’s opening address, he mentioned that foreign investments play a significant role in the development of PNG and have a catalysing impact on the PNG’s economic development.

He stated that the country has five major projects coming up including the Papua LNG Project, Wafi-Golpu, Pasca, and the reopening of Porgera and P’nyang. 

Prime Minister Hon. James Marape delivering the Keynote Address at the 16th PNG Mining and Petroleum Investment Conference and Exhibition.

In his speech, Prime Minister James Marape encouraged investors on PNG’s potential, and inspired partnerships in development on the ground.

He said, “We are a mineral and petroleum nation. We know how to give incentives, embrace and protect investors, and allow investors to make a fair and profitable return on their investments.”

“The next wave or first waves of responsible investments, or I would rather say ‘responsive investments’, are our big five projects that my government has worked on the last three years where deep in my planning office we label them as “PPPPW”.

Prime Minister Marape also mentioned that PNG is expecting positive future projections for growth and stands to reach a 200-billion-kina economy, but it must include local involvement.

“You take my gas, and you take my people with you, we will support everything you do, it wasn’t a literal statement to taking my people with you, but for the betterment of their life,” he said.

In relation to this, Mr Smare noted that PNG’s resource growth is over K30 million and is expected to grow exponentially.

“As I discussed with PM Marape yesterday, his government is now at a unique juncture in our nation’s history. It is the first time that our country is on the cusp of delivering not one, but four major resource projects of over $30 billion. Papua LNG with its $12 billion capital cost, Pnyang at $10 billion, the reopening of Porgera, and Wafi Golpu Copper-Gold project at $6 billion or potentially higher. Add the Pasca gas project at $2 billion and one can understand why negotiating all these deals at the same time has placed the government negotiation machinery under significant strain.”

Moreover, he pointed out Australia’s continued support as a development partner to PNG but highlighted that future investments projects could also include other global economies like China.

“China is a very important partner of our country. It plays a significant role in our economy currently.  It has interests in a number of our mining projects – a quarter of Porgera through Zijin Mining, and the majority interest in the Ramu Nickel-Cobalt mine through MMC. China is a buyer of much of our current minerals output.  China is also a significant buyer of our LNG production from the PNG LNG, and it will likely be a major buyer of gas from our new LNG developments – Papua LNG, Pnyang, and Pasca.”

Hon. Pat Conroy, MP, Australian Minister for International Development and the Pacific

Honorable Pat Conroy, Australian Minister for International Development and the Pacific, said that Australia does need to step up participation in the development of PNG.

"All of our investments in Papua New Guinea are squarely aimed at helping Papua New Guinea achieve its economic and development priorities. We’ve provided budget support loans of around $1.2 billion in 2020 and 2021, to help Papua New Guinea repair its budget out of the pandemic. And we are supporting the Papua New Guinean Government’s efforts to make Papua New Guinea a more attractive place for business activity and investment.”

The Minister noted that they are aware of how much the mining and petroleum sectors contribute to Papua New Guinea’s economy. “We are both countries with abundant natural resources. We are both countries with significant mining sectors which have been fundamental to our economic development – supporting growth, exports, and jobs.”

“Many of the Australian mining and petroleum companies represented at this conference have made significant investments in economic and social development, spanning decades of engagement with communities from Western Province to the New Guinea Islands.”

In relation to Australia and its historic relationship with PNG, Mr Smaré acknowledged that Australia remains a vital development partner to PNG, but pointed out that the country no longer holds the position as dominant investor in PNG.

“Much of the Wau-Bulolo gold rush of the 1920s was funded by Australian capital, and Australian funded explorers and mining companies discovered and/or developed much of our most important projects – for example, Conzinc Rio Tinto found and developed Panguna, Australia’s BHP was the majority partner who developed Ok Tedi in the early 1980s, Australia’s Niugini Gold discovered Misima and Lihir, and Rio Tinto was the majority partner in the development of Lihir in the early 1990s.”

He mentioned that Australia remains one PNG’s most important investors, but for the past 15 years, the resources and energy sector has seen major investments from other countries like US, Canada, France, and China through multiple large-to-mega investments.

In closing, Mr Smaré’s addressed a question to the Australian audience. “So, what role will Australia play in PNG’s development going forward?”

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The Papua New Guinea Chamber of Mines and Petroleum also announced that it is considering a name change to PNG Chamber of Resource and Energy (PNG Core) to better reflect the change in the commodities produced by the sector in PNG. This announcement was made by Mr Smaré during the conference.

“The Governing Council of the Chamber has resolved to change its name to the PNG Chamber of Resources and Energy (PNG CORE) to encompass a better representation of the industry that it represents, and the exports that its members will be exporting to the world.”

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On the second day of the conference, the speakers discussed project updates from some of PNGs biggest resource companies.

ExxonMobil PNG’s Senior Vice President of Production, Scott Sandlin, gave updates on the progression of the multi-billion Kina PNG LNG project. The project aims to achieve long-term economic development.

For the next 11 years, nationally owned Ok Tedi Mining Limited is expected to generate over K19 billion in benefits for Papua New Guinea. OTMLs General Commercial Manager Cameron Clark said: “The outlook for Ok Tedi is a positive one. The Company has tripled its value in the last 6 years and extended mine life by 7 years. This has been made possible by a combination of technical improvements, cost improvement, accelerated mining rates and internal investment in key strategic projects”

Moreover, Simberi St Barbara has been given the permit for sulphides expansion which adds at least another 10 years of mine life from 2024 - 25 when oxides are depleted. The sulphide expansion is under a strategic review by operator St Barbara Limited. Simberi is pursuing cocoa and fisheries (with partners) as its best opportunities for sustainable development.

Hon. Kerenga Kua - Minister for Petroleum

Petroleum Minister Kerenga Kua stated that PNG’s petroleum sector is “in a robust state” with 94 active licenses. He believes that having 58 prospecting licenses and 10 PDLs as well is a good starting point for PNG towards a prosperous future.

During his speech, Mining Minister Hon. Sir Ano Pala mentioned that the Mineral Resources Authority (MRA) is processing and monitoring over K45 million worth of new capital investments in mining projects, and about K10 billion worth of investments in sustaining capital expenditure on existing mines. [2]

Minister Hon Ano Pala speaking at the conference.

He noted, “I’m very pleased to announce that some very important mining projects had already been permitted whilst others are currently going through the permitting process. These projects are worth a total of K13 billion of potential new capital investment. Projects going through the permitting process are the K5.3 billion Wafi Golpu Copper project, comprising K 2.5 billion sustaining capital expenditure, and the K7.2 billion Freda River copper and gold project." [2]

The projects that have been permitted are the Woodlark Gold Project and K3.331 billion Central Lime Cement Project. Additionally, Ramu Nickel Cobalt mine will be undertaking a K1.5 billion expansion program.

Hon. Ano Pala also mentioned that the government had granted the approvals for the conversion from oxide to sulphide ore processing for the Simberi project. The government also granted the extension of the Mining Lease for the Hidden Valley Project. The application for extension of the Special Mining Lease for Ok Tedi Mine and K92 Mining Lease have recently been processed.

He said, “We are confident of permitting Wafi and Freda River projects upon completion of negotiations in the coming weeks. Wafi is going well. The gaps in the negotiations are narrowing now, and we are confident that in the coming weeks, we will make the announcement. These mega projects will off course take 5-7 of years of construction and we hope to see this mining projects operationalized well before 2030.”

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Photo credits:

PNG Chamber of Mines and Petroluem - https://pngchamberminpet.com.pg/media-centre/news-releases

Mineral Resources Authority - https://mra.gov.pg/2022/12/07/16th-png-png-chamber-of-mines-petroleum/

 

Reference:

[1] PNG Chamber of Mines and Petroluem - Media Release -

 https://www.pngchamberminpet.com.pg/index.php/media-centre/news-release-view/2022-16th-png-mining-and-petroleum-investment-conference-and-exhibition-programme

[2] Mineral Resources Authority (7 Dec. 2022). "16th Papua New Guinea Mining and Petroleum Investment Conference and Exhibition". Media Release.

Retrieved from - https://mra.gov.pg/2022/12/07/16th-png-png-chamber-of-mines-petroleum/

Photo: Mr. Benny Popoitai

Minister for International Trade and Investment, Hon Richard Maru today announced the appointment of Mr. Benny Popoitai as the Director to Papua New Guinea National Stock Exchange (PNGX). Mr. Popoitai’s appointment was made pursuant to Section 12 (1) of the Capital Market Act 2015.

“It gives me the great honor and privilege to announce the appointment of Mr. Popoitai as a state nominated Director to the Board of PNGX. Mr. Popoitai brings in wealth of experience to the domestic capital market. He has been a distinguished person within PNG’s financial sector, especially with the Bank of Papua New Guinea (BPNG) as Deputy Governor, Acting Governor, and currently the Director of Financial Analysis and Supervision Unit (FASU) within BPNG. Mr. Popoitai’s experience and expertise will guide the market to major reforms for growth as he has been in the forefront of BPNG’s regulatory reforms over the years and his appointment adds value, creditability, and public confidence to our market,” said Minister Maru.

Minister Maru said that since the inception of capital markets in PNG in 1997, there has been no significant progress to grow the markets until 2015 when PNG’s capital market went through reforms to build regulatory fundamentals to a modern standard to keep up with the fast changes in technologies and ways of doing business in the capital market space.

“Since then, there has been no public interest representative on the stock exchange over the past 24 years to improve governance and provide direction for the development of our market. Mr. Popotai’s leadership will greatly help to further the reforms, especially in the new bond market and the proposed platform for SMEs to raise capital,” said Minister Maru.

Minister Maru added that Mr. Popoitai’s appointments will also improve transparency and collaboration in the working relationship with Securities Commission of Papua New Guinea (SCPNG) and PNGX.

“SCPNG and other stakeholders must work with Mr. Popoitai and the PNGX for further market developments,” said Minister Maru.

Photo: Minister for International Trade and Investment, Hon. Richard Maru

The Pacific Balance Fund (PBF) and other Unit Trust/Investment Schemes in Papua New Guinea (PNG) must improve to help grow the capital market and support domestic investments, says Minister for International Trade and Investment, Hon. Richard Maru.

Minister Maru raised concern that PBF had regressed in its growth while other similar unit trusts managed by Mineral Resources Development Company (MRDC) grew tremendously from K680 million in 2008 to K7 billion net worth to date and Mineral Resources Lihir Ltd (MRL) has also grown fund from K60 million in 2009 to K700 million today while PBF’s net assets was K556m in 2018 and it was KK584 million at end the end of 2021. PBF fund established in 1973 but has not grown to expectation over the years.

“Financial institutions are a key sector that our nation will rely on in the future when mineral deposits and other non-renewable resources run out at some point. Our economy can be built at the back of financial institutions with sound monetary policies and prudent financial management. Many strong and successful economies around the world is backed by financial institutions,” said Minister Maru.

PBF is one of the Papua New Guinea’s largest equity funds that is owned by nearly 20, 000-unit holders (PNG citizens). PBF was created as a commercial unit trust from the Investment Corporation Fund of Papua New Guinea in 2001 during the privatization of state-owned enterprises.

“PBF was initially invested by our fathers and mothers way back in 1973. Some have already passed on and most contributors are in their 60s and 70s. Whether they were paid with the dividend in full or not is the question that needs to be answered by the trustee and fund manager of the fund,” said Minister Maru.

Minister Maru has directed the Securities Commission of PNG (SCPNG) to take stock of all the Unit Trusts and Investment Schemes in PNG.

“PBF is a key investment driver that can provide liquidity and meet investment needs domestically instead of looking for capital and investors outside that are associated with many setbacks and costs involved. As Minister responsible, I would like to know why it has not grown and who is responsible for it, so I have tasked the Securities Commission to look into the management of PBF.

“SCPNG must conduct thorough investigations on the PBF and ascertain the management approaches undertaken on the fund’s portfolios by the trustee and fund manager,” said Minister Maru.

“The National Government needs full report of the PBF as to how it has grown, who are the trustee and fund managers, and what are the objectives and investment portfolios that can contribute and attribute value to the investee,” added Minister Maru.

Photo: Minister for International Trade and Investment, Hon. Richard Maru 

The Marape-Rosso Government has directed the Securities Commission of Papua New Guinea (SCPNG) to work with all key stakeholders like Asian Development Bank (ADB), Bank of Papua New Guinea (BPNG), Port Moresby Stock Exchange, and all capital market players to immediately formulate a new 10-year Development Plan for the Capital Market of Papua New Guinea (PNG). The aim of this plan is to ensure that PNG has a world class capital market that is internationally respected and recognized by having a market structure, and regulatory and governance structure that meets the highest world standards.

“This is essential to attract investors to bring more capital into the market and allow us to provide more products and services using the capital market in Papua New Guinea,” said the Minister for International Trade and Investment, Hon. Richard Maru when issuing the directives today.

Minister Maru said the initial consultation will take place on Monday, May 22, 2023, in a one-day PNG Capital Market Summit.

“The aim of the Summit is to bring together experts from around the world including our development partners, ADB, and International Finance Corporation (IFC), and the Financial Market Authority of New Zealand,” said Minister Maru.

“We want the capital market to grow exponentially to the point where all foreign listed companies who buy into or operate and profit from PNG to have secondary listing in the PNG National Stock Exchange. This includes companies like Telstra from Australia who recently bought Digicel. Our Government is now looking at a law or policy where all such investors cannot buy or operate in Papua New Guinea without first listing in our local Stock Exchange,” said Minister Maru.

Minister Maru also added that to attract such listing, PNG must also get its act together and develop a world-class capital market and Stock Exchange.

“The new proposed capital market Development Plan will be formulated with the input of industry and international experts. I would like the plan to be finalized and be ready in the third quarter of this year for presentation to the NEC and to Parliament. We cannot as a country sit back and allow other people only to benefit from our resources and business opportunities. By listing in our Stock Exchange our people can trade in the market and become owners of these businesses that operate and profit from our resources and from our country,” said Minister Maru.

Minister Maru said the Government, in the June session of parliament, will introduce critical amendments to the Securities Commission Act of 2015 and the Capital Market Act of 2015 to begin its reform process.

“We will also be announcing the new Board and Management to the Securities Commission of Papua New Guinea after the amendments of the two respective legislations to improve the governance structure of the Securities Commission,” said Minister Maru.

Member of Parliament for Alotau Ricky Morris has called for the review of the Minimum Wage Law to include workers in the agriculture sector.

Mr Morris made this call in a series of questions directed to the deputy Prime Minister and acting Minister for Labour and Industrial relations, John Rosso, in a Parliament Sitting on Thursday 23rd March.

He asked that the "clause 7" in the minimum wage law, which exempted workers in the agriculture sector, be reviewed.

While all sectors have benefited from the minimum wage of K3.50 per hour, the agriculture sector has been left out, Mr Morris noted.

"Can the Minister make a commitment to undertake a review on the minimum wage law clause 7 that exempts our workers in the agriculture sector to participate under the minimum wage determination," the member for Alotau said.

In response, Mr Rosso said the exemption of minimum wage on the agriculture sector was upon the request of the sector itself, because most aspects of agriculture are based on rural settings.

"Through all employment sectors in urban areas, the minimum wage is K3.50, but in terms of agriculture it has been determined that most agricultural activity in the country is based in rural areas and much of the reliability of income on cash crops are dependent on factors concerning the environment such as weather, climate and so forth," he said.

"So many of our people still ask if it (minimum wage) should be increased. But it must be noted that the minimum wage is set at the K3.50 mark but no one is stopping companies to pay their employees at their own desired rates. That is solely up to the companies," Mr Rosso added.

He further clarified that the minimum wage is the lowest mark that employees can get paid at. Companies can pay their workers at the minimum wage rate or go beyond the rate, but not less than K3.50 per hour.

Speaking in his capacity as Labour Minister, John Rosso revealed that the minimum wage law will be amended to impose tougher penalties for noncompliance by employers.

He said the current penalty of K5,000 for companies who pay their employees below the minimum wage is not sufficient.

Companies who continue to defy the minimum wage law will be heavily penalised, as Mr Rosso said amendments will be made to the current minimum wage law to increase the penalty to K100,000.

"Another thing that we will be doing in this term of Parliament is to ensure that we bring amendments to the floor that companies who knowingly pay below the minimum wage will be penalised K100,000," he said.

"Right now, the K5,000 penalty that is currently in our laws is insufficient and companies are not afraid to meet the cost and are treating our people with indifference," Mr Rosso said.

"A lot of companies pay below minimum wage, especially with shops and security firms. Most security guards are paid 80 toea to K1.00 an hour and that comes back to compliance from the Department of Labor which I am currently heading," he said.

Mr Rosso also directed the Labour and Industrial Relations department to carry out a minimum wage enforcement exercise to ensure companies comply with the law.

With the Department of Labour now reviewing and amending the Act, Mr Rosso stated that he would like to significantly increase the penalty.

“We have the minimum amount for penalties, for people who don’t comply with the labour laws like not paying the minimum wage what we’re trying to do now is ensure that the department amend these laws so that we raise the fines,” he said.

Mr Rosso observed that there are systems in place for employees to make complaints if they are not receiving the minimum wage, but the penalties to punish companies are insufficient.

“The secretary is looking to amend the penalties, after which compliance will be enforced. So, he’s in the process of setting up a team that will go out in Port Moresby, then Lae and a few other places to make it compliant,” Rosso said.

 

Photo: Group photo after the Business Matching meeting in October 2022 between PNG and Indonesia SMEs

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Photo: Barrick Executives, PNG National Executive Council and the Governor General Sir Bob Dadae (center) at the Goverment House following the NPPA signing.

Barrick Gold Corporation – The government of Papua New Guinea, Barrick Niugini Limited and New Porgera Limited today signed an agreement to progress with the resumption of operations at the Porgera gold mine, which have been suspended since 2020.

Porgera hosts an orebody with measured and indicated resources of 10 million ounces and inferred resources of 3.4 million ounces. After initial ramp up and optimisation of the Wangima pit, the mine is forecast to produce an average of 700,000 ounces per year, achieving a milestone towards its potential Tier One status.

The New Porgera Progress Agreement (NPPA), signed today, confirms that all parties are committed to reopening the mine at the earliest opportunity, in line with the terms of the Porgera Project Commencement Agreement and the New Porgera Limited Shareholders Agreement both concluded in 2022. The New Porgera project team will now move ahead with the filings for a special mining lease and progressing the other conditions set out in the Commencement Agreement for the reopening of the mine.

The equity in New Porgera is shared 51% by Papua New Guinea (PNG) stakeholders, including local landowners and the Enga provincial government. Economic benefits will be shared 53% by the PNG stakeholders and 47% by Barrick Niugini Limited, which will operate the mine.

After the signing ceremony, Barrick president and chief executive Mark Bristow said there was strong support from all stakeholders to get Porgera reopened as soon as possible.

“It’s been a long journey but in the process we have secured the buy-in of all the stakeholders. For Barrick, the reopening of the mine would represent another victory for our host-country partnership model which has been so successful in Tanzania and has now also been adopted for the new Reko Diq coppergold project in Pakistan,” Bristow said.

“Localization is an essential part of our partnership philosophy so New Porgera will, whenever possible, source the goods and services it requires from businesses genuinely based and owned in Porgera, the Enga province and Papua New Guinea. Similarly, it will give preference to locals in recruiting employees for the reopening mine.”

The Autonomous Bougainville Government recently launched the Bougainville Energy Policy.

The Policy was developed together with the Bougainville Strategic Energy Plan that will guide the development of the energy sector in Bougainville over the next ten years.

Speaking at the launch, ABG Minister for Mineral & Energy Resources, Hon. Robin Wilson said that energy is fundamental for Bougainville’s economic and social growth and development.

“Given the very broad and cross-cutting nature of the energy sector, having a comprehensive overarching energy policy is imperative for Bougainville,” he said.

“On the eve of independence and nationhood by 2027 at the latest, Bougainville has this unique opportunity to do things right from the start. Having this energy policy and the legislative framework in place is critical from the onset if sustainable and reliable energy-derived socioeconomic development is to be realized.”

Minister Wilson said that the energy policy is launched under a sector vision of “accessible, affordable, reliable and sustained modern energy for the people of Bougainville”, and noted the current challenges in the energy sector being experienced in Bougainville and across the country.

“We have energy reliability issues. We also have energy accessibility issues. Not everyone has access to electricity. It is indeed a sad reality that above 90% of the population in Bougainville do not have access to, and cannot, at this juncture, afford modern electricity,” Minister Wilson highlighted.

The Bougainville Energy Policy has 8 broad goals to be implemented over the short, medium and long term period of the policy.

“The short term independence-ready goals include putting in place the energy policy and legislative frameworks as well as the administrative capacity for the energy sector. Additionally, another immediate priority includes improving on reliability and accessibility of fuel issues; this includes looking at local direct importation, from a primary supplier of cheap and clean bulk fuel into Bougainville by 2025.”

Photo: Acting Governor of Bank of PNG, Mrs. Elizabeth Genia, Acting Assistant Governor, FSSG, Bank of PNG Mr. George Awap, CEFI Executive Director Mr. Garima Tongia and CEFI Financial Inclusion Adviser Mr. Saliya Ranasighe pose for a group photo with CEFI Board Members, Mr. Tony Westaway (2nd from left-front row) and Paulus Laveil (1st from right-front row).

The Centre for Excellence in Financial Inclusion (CEFI) commemorated its 10 year anniversary in a small but significant ceremony at its Port Moresby office on Friday March 24.

CEFI’s humble beginning was the outcome of the Microfinance Expansion Project in 2013, under the direction of the Bank of Papua New Guinea, Department of National Planning and Department of Treasury.

Since its establishment 10 years ago, CEFI has grown from strength to strength in becoming the leading industry apex organization in coordinating, advocating and monitoring financial inclusion activities in Papua New Guinea.

CEFI Executive Director Mr. Garima Tongia during his opening remarks acknowledge Bank of PNG, CEFI Board Members, CEFI Staff, stakeholders and partners for playing very important roles in ensuring CEFI continued to carry out its mandate in Financial Inclusion.

Acting Governor of Bank of PNG and Chair of CEFI Board, Mrs. Elizabeth Genia during her congratulatory remarks applauded CEFI’s accomplishments in areas of financial literacy training, developing and implementing financial inclusion policies and documents and partnering with key stakeholders to deliver financial inclusion projects.

“It’s important to note CEFI board members and staff contribution to achieving this important financial inclusion milestone and also gratifying to see that the financial inclusion agenda is being actively promoted,” Mrs. Genia said.

The Acting Governor highlighted CEFI’s partnership with financial institutions in the area of financial literacy training stressing on CEFI’s collaboration with its partners to deliver financial literacy training to over 350,000 Papua New Guineans.

“CEFI is now trying to work with an international agency to conduct impact assessment of the trainings delivered and improve the training material,” Mrs. Genia added.

She praised CEFI’s dedicated strategy in using innovative technology to attract more women into the financial mainstream and economically empower them.

Some of the important projects that CEFI have used to bring gender equity into the financial inclusion domain include, introduction of the Ledger pal Application for women SME’s, digital online training for women and development of a financial literacy mobile application.

Mrs. Genia also highlighted CEFI’s financial inclusion strategies developed and implemented in partnership with its important stakeholders from Government and private sectors between 2014-2020 and participating of women in CEFI’s training programs.

Mrs. Genia also thanked Bank of PNG for some of its initiatives such as the SME Accelerator Program, Financial Consumer Protection, National Payment System and the Regulatory Sandbox approach, that supplemented the work of CEFI by providing assistance for Papua New Guineans to access knowledge, skills and information to run projects and businesses in the financial inclusive space.

Acting Assistant Governor, Financial System Stability Group, Bank of PNG, Mr. George Awap, who played a very key role in CEFI’s establishment, paid tribute and gave recognition to important key stakeholders who had worked with CEFI during the 10 years such as the Bank of PNG, the National Government, Asian Development Bank, Alliance for Financial Inclusion, World Bank and International Finance Corporation.

Mr. Awap acknowledge former governors of Bank of PNG for the foresight in supporting and driving the agenda of financial inclusion in PNG.

CEFI’s Financial Inclusion Adviser, Mr. Saliya Ranasinghe , who was the organizations second Executive Director, reflected on some of CEFI’s key achievements including, NEC’s approval for CEFI established as an organization, development of financial literacy training materials, development of the first financial inclusion strategy, launching and implementation of the financial inclusive strategy, partnership with international agencies, statutory authorities, provincial governments, civil societies, and the many other important stakeholders that CEFI works with and continues to collaborate in the financial inclusion space.

Minister for International Trade and Investment, Hon. Richard Maru invited the CEOs of provident fund, superannuation fund, sovereign wealth funds, trust funds, and social security administrations from across the Pacific who had gathered in Port Moresby for the 2023 Pacific Islands Investment CEO’s Forum to invest in Papua New Guinea (PNG), especially in the non- resource sector.

“We have exciting investment opportunities in Papua New Guinea. We are looking for investors in rice, chicken, dairy (we need two more dairies), feed, and beef industry, and also in the space of downstream processing of our coffee, cocoa, coconut, and fish (we want to process 100 percent of our catch in country). We are the market, so the investor does not have to look for the market. And once we are able to feed ourselves, then we can start exporting to other countries in the region as we already have the MSG Trade Agreement. There are also huge opportunities for investments in energy, solar farms, and hydros,” said Minister Maru in his address at the forum yesterday during the opening ceremony.

Minister Maru also extended an invitation to the CEOs to look at investing in PNG’s proposed Special Economic Zones (SEZs).

“Our Government has made a very important policy decision for PNG to go down the path of SEZs to be the primary drive of our economic growth. SEZs will drive the economic growth of our country, especially in the non-resource sector, into the future, this is going to be a major shift in policy. We are going to give incentives to attract investors to come in and be located in the SEZs because all the SEZs will require investors to make them work. Our challenge as the Government is to provide infrastructure and improve national security and climate to encourage the investors to come in and invest. We are going to drive this very aggressively,” said Minister Maru.

Minister Maru added that Marape-Rosso Government was very keen for PNG to transit as an economy anchored by resource sector to the non-resource sector.

“At where we are today, we have realized that we cannot over rely on the resource sector as we have in the last 47 years. We have to learn from countries like New Zealand. It has an internal revenue of K190 billion while ours sits at K19 billion this year when we have more land and more resources than New Zealand. Their economy is so strong, and it is now a first world country because they have been really focused on agriculture sector. This is the path that Papua New Guinea will follow and will start following this year. We are looking for investors in our non-resource sector,” said Minister Maru.

“I have seen the transition of Thailand, Vietnam and Malaysia. They were just like us, but they transformed by going into downstream processing and manufacturing, and now they have become industrialized countries. This is the path that we want to follow,” added Minister Maru.

Photo: 3D visualisation of the Pasca A carbonate reef. Credit: Twinza Oil

Twinza is pleased to announce that it has completed two new major reservoir assessments for the Pasca A field:

• An updated independent assessment of the Pasca A hydrocarbon resources has confirmed a total resource increase of 35%, and
• An independent assessment validates the potential for sequestration of up to 200 million tonnes of carbon dioxide in the Pasca A field.

The studies were completed by Twinza’s technical team and independent assessments have been prepared by Gaffney, Cline & Associates (“GaffneyCline”).

Pasca A Resource Assessment

• The updated GaffneyCline resource assessment of the reservoir confirms a 35% increase in total resource size relative to the prior assessment prepared in 2018.
• Updated Contingent Resources (best estimate basis) of Pasca A are 167 million BOEs including 464 Bcf of LNG feed gas, 47 million bbls of condensate and 43 million bbls of LPG
• The resource size corresponds to 1 Tcf of LNG feed gas on an energy equivalent basis¹.
• The results of the assessment are consistent with the Pasca A Field Development Plan included in Twinza’s Petroleum Development License (“PDL”) application.
• The Contingent Resources will likely be classified as Reserves after award of the PDL.
• The updated resources significantly increase the value of the PNG State’s revenue from the Pasca A project through the development life of the project for the benefit of the people of Papua New Guinea.

Carbon Sequestration Assessment

• GaffneyCline validated the subsurface feasibility and quantified carbon dioxide (“CO₂”) sequestration in the Pasca A field and aquifer.
• The study validated a storable quantity of more than 50 million tonnes of CO₂ in the gas cap section of the reservoir and an additional potential of more than 150 million tonnes in the aquifer directly below the gas water contact.
• GaffneyCline validated that CO₂ injection is technically feasible concurrently with gas production.

Announcement

Twinza Oil Limited and Twinza Oil (PNG) Limited (“Twinza”) is pleased to announce that it has completed both an updated, independent assessment of the Pasca A field’s hydrocarbon resources and an independent assessment of the potential sequestration of large volumes of CO₂ in the reservoir.

The updated resource assessment confirms a 35% increase in total resources of the Pasca A reservoir compared to the last assessment prepared in 2018. This increase reflects improved reservoir characteristics confirmed by a combination of advanced core analysis, drilling data, log interpretation, correlation with reprocessed 3D seismic and completion of a comprehensive dynamic production model which brought all this additional information together. The updated assessment more closely reflects Twinza’s own internal view and further validates the Company’s Pasca A Petroleum Development License (“PDL”) application and project development concept. The breakdown of components is detailed in Table 1 below.

GaffneyCline has assessed the resource class as “Contingent Resources” as the Pasca A project is still awaiting regulatory approvals. The “2C Contingent Resources” will likely be reclassified as “2P Reserves” in accordance with the Petroleum Resource Management System after award of the PDL.

The Carbon Sequestration study has resulted from the Company’s technical work on the concept, which was initiated in response to the evolving expectations of energy investors. Although Twinza has no immediate plans to utilise the capability, it represents an opportunity to dispose of emissions from proximate regional projects or to potentially work towards a world scale Carbon Capture and Storage project at the Pasca field location.

Commenting on the announcement, Executive Chairman Stephen Quantrill said:

“The upgraded assessments are a credit to our CEO Robert Gard and our whole Twinza technical team who have used the delays in securing regulatory approvals to add value to the project for the benefit of all stakeholders including the people of Papua New Guinea. 

Once operational, the project will generate more than K500 million per year to the PNG State, generate around 500 permanent jobs and bring significant US$ into the PNG economy.  Twinza has complied with all laws, regulations and information requests since entering PNG in 2011 and stands ready to proceed with Pasca Phase 1 FEED as soon as the outstanding regulatory approvals are granted.”

The carbon sequestration opportunity is one which offers the potential for the Pasca field to be carbon neutral, and in fact carbon negative over its full life cycle. Although no carbon dioxide source for sequestration at Pasca has yet been identified, the quantifying and certifying of this opportunity provides the foundation information required for the potential development of the Pasca reservoir for carbon sequestration, in support of the world’s objectives for 2050 net emission targets.”

 

¹ “Best estimate” is the Petroleum Resources Management System (PRMS) term for the most realistic assessment of recoverable quantities if only a single result were reported.
² BOE - barrels of oil equivalent - is the quantity of hydrocarbons expressed in terms of the volume of oil which would contain an equivalent amount of energy. Twinza has used 1 BOE = 6000 scf = 1 bbl liquids.

On the 10th of March,  Kumul Petroleum Holdings Limited and Fabtech International, a Dubai based Fabrication Facility Operator, signed a management and operations agreement for a Fabrication Facility to be established in Port Moresby, in preparation for the construction phase of the Papua LNG and subsequent LNG and mining projects.

Mr Sonk said, “This Facility is expected to have a capacity of 20,000 tonne per year, producing steel, mechanical, piping and electrical modular packages. It is expected to provide direct employment for 1000 skilled Papua New Guineans and indirect jobs for up to 3000 more people when it is operating at full capacity. The number of jobs could double if the facility is run 24hrs per day.”

In addition, on the same day Kumul Petroleum Holdings also signed a design and engineering contract with A2Z LLC, a Dubai based engineering company with significant experience in the design and engineering of heavy fabrication facilities globally.

“Kumul Petroleum and it’s investors are expecting to work with the Papua LNG Project’s EPC contractors to start using the Facility when the project achieves FID and enters the construction phase later this year or early next year.”

Mr Sonk outlined that the Facility is designed to meet national content requirements for petroleum, energy, mining and major infrastructure construction in the country. He added that it was likely that work orders could also come from elsewhere in the the region, since in relative terms, PNG will have highly skilled labour force, cheap domestic gas-powered electricity, resulting in a competive cost per unit that will drive efficiency.

Mr Sonk noted,” Site works for the construction of the Facility have already begun, located close to the existing ExxonMobil managed LNG plant.”

“Kumul Petroleum will soon be advertising for recruitment of trainees for the Facility, through the KPHL job search and advertisement software portal (www.wanpng.com) and other agencies. KPHL is encouraging interested job seekers to start applying and posting expressions of interest at this portal.”

The National Maritime Safety Authority (NMSA) of Papua New Guinea has further improved the country’s oil spill response capabilities.  February saw senior representatives from key maritime stakeholders attend Level 3 Oil Spill Response Training in Port Moresby.  The training comes on the back of the country’s first National Spill Response Exercise held last November.

The NMSA is the lead agency for coordinating the response to spills of oils and other pollutants in PNG’s waters.  The Level 3 training it recently coordinated was conducted by Oil Spill Response Ltd, a Singapore-based industry-funded cooperative that provides preparedness, response, and intervention services to members such as the NMSA.

Stakeholders represented at the training were relevant government entities, including the PNG Defence Force and PNG Ports Corporation, businesses such as Puma Energy, Pacific Towing, and AES, as well as Pacific Maritime College and the PNG Conservation & Environment Protection Agency (CEPA).  Several of these organisations, including marine services and towage company Pacific Towing, also played significant roles in the 2022 National Spill Response Exercise – an emergency response simulation training drill conducted in Port Moresby’s Fairfax Harbour.

Pacific Towing is Melanesia’s leading spill response and salvage operator, as well as the region’s only member of the International Salvage Union and International Spill Control Organization.  General Manager Neil Papenfus was enthusiastic about the Level 3 training that he attended together with other members of his senior leadership team.

Papenfus said that it was “excellent to see so many significant stakeholders come together for the training which had not previously been run in PNG.  The training strengthens our collective capacity to respond quickly and effectively to any maritime emergencies and spills that may occur in the future.” 

The NMSA’s investment in improving the effectiveness and efficiency with which PNG can deal with a major spill is timely given the expansion of the country’s oil and gas sector.  Not only will production greatly increase in the next three to four years (and therefore the number of export tankers in PNG waters) but so too will the sector’s logistical requirements associated with the imminent construction phase of the TotalEnergies led Papua LNG project – the vast majority of materials needed for the construction will be sourced internationally and arrive by ship.  It is estimated that maritime traffic in Port Moresby alone will increase by 30 percent during the first 18 months of the construction phase.

A further driver of increased maritime traffic in PNG – including much bigger vessels with larger fuel loads – is the refurbishment, modernisation, and expansion of many of the country’s ports, funded largely by the Australian Government.

NMSA Executive Manager Maritime Operations, Captain Krzysztof Orlowski, emphasised that it was not only the anticipated increase in vessel traffic that necessitated an improved spill response capacity for PNG.  He stressed that looking after the marine environment was perhaps more important for a country like PNG than most others, given its rich biodiversity and centrality to the cultural and commercial well-being of many communities. 

“Local coastal people heavily rely on the health of our waterways to provide for their families.  It is common for people to catch fish so that they have food on the table, as well as additional fish to sell at the market so that they have cash for essentials like medicine and education.  As such, we have much more to protect here than just profits and reputation.  Our growing investment in training, as well as our simulation exercises better position us to do exactly that” said Captain Orlowski.

To learn more about PNG’s National Maritime Safety Authority:  www.nmsa.gov.pg

Photo: Petroleum Minister Kerenga Kua

Petroleum Minister Kerenga Kua has recently stated that the Papua LNG project is critical in addressing some of the economic challenges that are currently faced in the country. He said about K75 billion will be generated over a 15 year period when the project is in progress. He added that the initial stages of the project has commenced with K500 million said to be inputted into PNGs foreign exchange capacity in 2023.

During a press conference on Thursday the 9th of March, The Petroleum minister highlighted the progressive stages of the Papua LNG project and emphasized the importance and significance of the benefits that the project will provide. According to studies the project life is expected to operate over a 15 year period that will generate about K75 billion and significantly boost Papua New Guinea's struggling economy.

"The K75 billion benefit is inclusive of what comes to the state directly as levies, to Kumul Petroleum, to the landowners as royalties and the provincial governments. All of us put together are going to be collecting and sharing that benefit in the next 15 to 20 years", Kua said. 

Minister Kua said that studies for the Papua LNG project began in 2004 following the discovery by Interoil, the resource estimate is in the range of 6 trillion cubic feet of gas and 98 to 100 million barrels of condensive oil. 

The benefit of this project is immense and a positive component is the national content which is expected to positively impact GDP, export earnings, forex, revenue to impacted levels of government, landowner benefits and Job opportunities. 

Minister Kua said the project developer Total Energies will inject K500 million into the PNG economy in 2023.

"The Papua LNG project is a project of national significance for Papua New Guinea and will stimulate business confidence and will provide a significant impetus for our economy",

"The Marape-Rosso government places high priority on the delivery of the Papua LNG project, we have an improved deal for our people, and improved contribution for our national contractors and workforce. The government strongly supports the Papua LNG project and encourages all stakeholders including project partners to work diligently to deliver the project on time and on budget", Minister Kua said.

Petroleum Secretary David Manau was also present at the conference, he highlighted that the petroleum department will work closely with impacted provincial governments and landowners as this is important in ensuring that all stakeholder grievances are discussed and addressed. In light of this, a development forum is expected in the third quarter of this year.

Meanwhile, Kua also revealed a unique aspect of the upcoming project which will mitigate the project's carbon footprint and is set to make PNG in  becoming the first country in the Asia Pacific region and only the second on the world to re-inject carbon dioxide back into the well pad in a LNG project.

He said the re-inspection of carbon dioxide into the well pad is a significant step towards reducing the project's carbon footprint and will help mitigate the environmental impact of the project and contribute to Papua New Guinea's efforts to combat climate change.

The Papua LNG project is a joint venture between the PNG government, TotalEnergies and Exxon Mobil. It is one of the largest investments in the country's history and is expected to generate significant revenue for PNG's economy.

Total Energies holds 40.1 percent interest in Papua LNG, along with its joint venture partners Exxon Mobil (37.1 percent) and Santos(22.8 percent). The Papua New Guinea government may exercise a back-in right of up to 22.5 percent interest at the Final Investment Decision (FDI) planned by end of 2023 to early 2024 and production will be scheduled for four years later.

Wan PNG is a platform and community dedicated to expanding opportunities for local Papua New Guineans. Its goal is to increase the development and sustainable employment of local PNG talent, so everyone in our great nation can share in newfound resources and growing prosperity.

With the goal of empowering individuals and businesses with the skills and people they need to succeed in the 21st century world, the Wan PNG platform spans three core areas for job seekers:

• Employment opportunities: Gain experience with internships, start earning with entry positions, or upgrade your career with the next big job.
• Career advice: Advance your career with expert advice and professional resources, and stay up-to-date on the latest news.
• Education and training: Expand your employment prospects by upgrading your knowledge, skills, and competencies through courses.

For employers it provides:

• Free access to upload jobs and find the best talent.
• Smart matching between jobs and candidates.
• Diversity promoting candidate suggestions reaching a wide pool of talent.

The platform's primary objective is to promote lifelong learning and employment and simultaneously bridge the skills gap in Papua New Guinea by providing accessible training opportunities to all its citizens. WanPNG believes that by investing in the development of its people, Papua New Guinea can unlock its full potential and become a more prosperous nation.

WanPNG is now available for job seekers and employers. Visit the website now at www.wanpng.com to learn more.

The St John ambulance service responded to over 21,000 emergencies across Papua New Guinea in 2022. In addition to being Papua New Guinea’s main emergency ambulance service, St John is the nation’s leading first aid training provider equipping thousands of workers with essential first aid skills and knowledge.

With just one day of training, St John’s expert first aid trainers can equip your workers with the basic skills to handle all kinds of first aid emergencies.

Workplace accidents and injuries are a common occurrence and it is essential for employers to have a competent workforce that can respond effectively to emergencies.

St John’s workplace first aid courses ensure your workforce is equipped with the first aid training to assist a sick or injured person.

It also helps organizations comply with legal requirements, reduce workplace injuries and fatalities and promote a culture of safety and preparedness.

The Papua New Guinea St John Ambulance provides training routinely in Port Moresby and Lae, and can facilitate training at any location in PNG, which makes it easy for workers to gain or maintain their first aid qualifications.

St John’s first aid trainers come from a variety of backgrounds, enabling them to contribute real-life experiences to the training environment.

Each course, based on St John Ambulance Australia’s training resources, goesthrough rigorous appraisal by training and health specialists including St John’s Papua New Guinea’s medical expert advisory panel - made up of some of the industry’s leading physicians and health professionals, who ultimately endorse the clinical training content components of the first aid courses. St John CEO Matt Cannon said, “this rigorous appraisal process gives clients the confidence of St John’s commitment to delivering the highest quality in training content and delivery in Papua New Guinea.”

Workplace first aid courses cover a broad range of topics, including basic life support, wound care, bandaging, splinting, CPR and using an AED.

Participants learn how to identify and manage different medical emergencies such as heart attacks, strokes, burns, fractures, and poisoning.

Each training program is designed to be flexible and can be delivered on-site or at one of our training centres.

If you want to ensure that your workplace is prepared to respond to emergencies, contact St John today to learn more about our workplace first aid training.

Photo: Transportable duplex with ensuites

PNG Forest Products has produced an innovative range of transportable, modular solutions for mining, gas and petroleum camps that provide instant accommodation without the need for on-site construction. Each unit in the range is affixed to a steel chassis skid frame with lifting eyes for easy craning onto trucks for transport to site.

Projects Maintenance Superintendent at K92 Mine Site, Reis Colley, explains why these modular units are a real game changer for mining camps.

“As K92 Mine is growing and expanding we were considering different accommodation options when PNGFP proposed a transportable 2-bedroom individual ensuite unit with a verandah. I presented this to the Management team as a quicker option than the traditional timber long houses we have been installing.”

“We initially purchased 18 of these units and installed them near existing accommodation units, which allowed us to use established infrastructure and minimise disruption to current camp rooms.  When the first units were installed and inspected it was agreed to continue with the purchase and installation of these units as they provided 2 ensuite rooms with a verandah on a footprint about the same size as a 20ft Container.”

“As the modular unit is built in the PNGFP factory offsite, once delivered it only had to be lifted onto the footings and connected to the plumbing and electrical services, so we could have rooms available quickly. This also allowed for us to hand over completed sections and continue with more footing and infrastructure installation for the next deliveries.”

The Transportable Duplex with Ensuite provides comfortable accommodation for two with each unit containing a bathroom, hot water heater, air conditioning and all internal plumbing and electrical fixtures & fittings. Including verandahs, this duplex is priced from K69,000.

There is also a Transportable 4-Man Duplex without ensuite, which accommodates two persons per unit and is priced from only K62,425. Supplementing these are Transportable Ablution Blocks which come in a number of configurations including: Male/Female with three toilets each side; a six-toilet unit; a six-shower unit; or a three-toilet/three-shower unit, all with four handwash basins.

Priced from K64,600, these ablution blocks are also ideal for rural schools, health clinics and aid posts around the country, and come with the option of a septic tank kit.  For situations where space is an issue, PNGFP have designed a 3-Storey stackable duplex with ensuites, priced from K295,000.  All prices quoted are ex-Lae and ex-GST.

As with all PNGFP Engineered Wood Products, the timber and plywood components are produced from durable, lightweight, pressure treated PNG plantation pine, manufactured to Australian and NZ standards.

PNGFP’s unique preservative pressure treatment method ensures full protection from rotting and termites, so you know these units are built to last. For more information contact the NiuBuild team on 478 8111 or 478 8100 or email buildingsales@pngfp.com.

Photo: Foreign Affairs Minister Justin Tkatchenko

In another milestone achievement in Australia-Papua New Guinea relations, visa issues that businesses and individuals face will come to an end as both countries agreed to set up a visa office in Port Moresby with a 14-day processing turnaround period.

The Australian visa office in Port Moresby is set to be opened in July this year and will be managed by a competent dual committee from both countries, Foreign Affairs Minister Justin Tkatchenko said in a press conference.

The Minister for Foreign Affairs said the new Australian visa office committee will ensure strict management with the visa processing.

"We have set up one of the strongest and most powerful committee ever in the history of this country between Australia and Papua New Guinea, which will include the two Deputy Prime Ministers, the two Foreign Affairs Ministers, the Internal Security Minister of PNG, the immigration minister of Australia, and we will also have the Minister for Pacific Affairs, Pat Conroy, in this committee as well," Minister Tkatchenko said.

The committee will focus on dealing with visas on arrival or going into Australia, and also will address issues arising from within the immigration and foreign affairs departments.

Tkatchenko also expressed his sentiments on a reciprocal arrangement that was earlier revealed by Deputy Prime Minister John Rosso that will see the issuing of short-term visas to Australian businesses over a 12-month period.

"I would like to thank the Deputy Prime Minister on his commitment and assistance in ensuring that PNG also will be announcing a reciprocal arrangement for multiple entry visas for Australian businesses. This will make it easier for Australians when coming into the country to do business," Mr. Tkatchenko stated.

Previously, the Australian High Commission in Port Moresby had no visa function. Their office in Suva, Fiji managed visa services for clients in Papua New Guinea, which had been one of the biggest issues surrounding processing.

The difficulty and delays many Papua New Guineans face when applying to visit Australia has been a long-standing frustration for the country, as people had to wait for months to get their travel documents processed and approved.

Earlier this year during the 29th Australia-PNG Ministerial Forum, Australian Foreign Minister Penny Wong announced the return of the facility to Port Moresby. The decision was made to further strengthen Australia-PNG relations in working more collaboratively and ensuring regional cooperation and stability, she said.

Papua New Guinea (PNG) is poised to supply Taiwan with its liquefied natural gas (LNG) as the latter phases out nuclear power plants by the end of 2025. With Taiwan's demand for energy expected to increase during its transition to renewable power capacity, PNG is set to become a crucial supplier of LNG and raw materials, which will create job opportunities and boost the country's export revenue.

PNG is currently operating the US$19 billion (K67 billion) PNG LNG project, and the US$10 billion (K35 billion) Papua LNG project is set to commence production in 2027, followed by the P’nyang LNG and the Pasca A oil and gas project. The demand for LNG is growing worldwide, particularly in Asian markets, according to TotalEnergies Limited, the developer of the Papua LNG project.

Taiwan is PNG's fourth-largest export market and fifth-largest trading partner, with a trade volume exceeding US$1.4 billion (K4.9) in 2022. According to the Taipei Economic and Cultural Office in PNG representative, Ben Wang, "Taiwan's nuclear power phase-out by the end of 2025 will create a huge energy demand gap during its transition to renewable power capacity, and PNG can seize this opportunity to become a vital LNG and raw materials supplier to Taiwan."

Petroleum gas was PNG's top export in 2020, amounting to US$2.95 billion (K10.4 billion). While the Taiwan Ministry of Economic Affairs (MOEA) estimates that Taiwan's energy demand will catch up with supply in 2023, international reports suggest that the MOEA has failed to consider the rapid increase in energy demand across Taiwan. Taiwan's annual power consumption increased by 2.1% in 2020, which is above average when compared with the past decade, and is expected to grow by an average of 2.5% every year until 2027.

According to Tom Nou, the Nadzab International Airport is close to completion and is expected to be finished by the end of April this year. Mr. Nou, who is the National Airports Corporation's (NAC) Nadzab Project director, stated that 98% of the project has been completed, and the remaining 2% involves handovers and takeovers. He made these comments during the signing of a memorandum of understanding (MoU) between NAC and the National Polytechnic Institute of Papua New Guinea, on behalf of the acting managing director and CEO, Joseph Tupiri.

The Nadzab International Airport project, which is funded by the Japan International Cooperation Agency with K578 million, is contracted to Dai Nippon - Nippo JV contractors and the PNG government with K114 million. The new airport terminal is bigger and more spacious than the Jackson’s airport in Port Moresby, and it has been designed to operate international flights.

Mr. Nou stated that proper procedures need to be followed with other international airlines before the airport can operate international flights. Once the PNG government has gone through these procedures with other airlines, they will give NAC permission to proceed with international flights. The terminal is of two storeys, with the top floor capable of being fitted with additional facilities like a coffee shop or kiosks. The building will have a management system in place to manage the power and air conditioning to reduce operating costs.

"It will be an open-door terminal where people are not restricted to go in so that they can buy stuff in the terminal," Mr. Nou added. He also mentioned that the terminal has been designed to accommodate all the requirements of Customs, quarantine, and immigration, and that they all have offices in the building.