PMAWU Embraces Mine Reopening

By: PNG Business News April 12, 2021

The reopening of the Porgera Gold Mine at the earliest, according to the Porgera Mining and Allied Workers Union (PMAWU), is good news.

This comes after the PNG government announced that Barrick Niugini Limited would ink a new deal for the reopening of the Porgera Gold Mine.

The PMAWU Executives said in a statement that those directly affected have suffered since the mine's closure.

“The mine workers, who have been directly impacted since last April, have been struggling to make ends meet,” they said. “Those who were not able to secure an alternative job have been depleting their superannuation savings. They have the necessary skills and experiences to operate the mine when it resumes. Any news to reopen the mine, at the earliest is welcome news for the Union and its impacted employees.”

They expressed their delight at the news that the state is ready to ink a Porgera Mine Reopening Framework Agreement with Barrick.

Following the mine's closing, the PMAWU Executives said that the Prime Minister made many promises to them.

Employees who have been affected will get financial assistance.

“The PMJM has made several commitments, on media and also during our meeting with him on the 25th July 2020 at the Airways Hotel, that his government will consider a monetary solace for those impacted employees, as such the union, with the help of our mother body being PNGTUC, have been following up with PM & NEC Department by way of an NEC Submission but to this date, our welfares have not been looked into yet. The trucking contractors were fairly compensated for their losses but not us.”

Another assurance was to include a clause in the framework arrangement ensuring that all affected workers are immediately reinstated to their previous positions prior to the redundancies.

The PMAWU Executives have already presented a briefing paper on improved terms and conditions, and they expect their complaints to be heard and properly addressed in the proposed Framework Agreement.

 “The union also submitted a Position Paper concerning same to all relevant stakeholders in the negotiation tables. If the country is heading for better deals for its citizens, then the workers who will spin the wheels to run the production must be fairly remunerated as well.”

“The Union has an option to refuse to resume operations if the above considerations are not met in the final Framework Agreement once settled. Consideration of this option may or may not happen subject to sighting of the final Framework Agreement.”

Following a settlement in talks between the State and Barrick, Prime Minister Marape announced on April 5 that PNG would get a "far superior offer" than the previous agreement, which lasted from 1989 to 2021.

“I can assure our country that this is a far superior and better deal, meaning our landowners and Enga Provincial Government will get more, and the balance of equity through Kumul Minerals will mean we hold a majority in equity.

 “Other benefits include securing an increased and upfront tax with no concession as is the case with other resource projects, an increase in royalties as well as a better handle on environment and resettlement issues at Porgera and a Barrick exit option.

Prime Minister Marape added that “If the last round of negotiation is good, then I intend to meet Enga Provincial Government and all SML and LMP plus impact area landowners at the earliest to discuss the benefits sharing.”

Marape has reported that Barrick and has settled a 10-year withdrawal clause in the current Porgera deal.

The Prime Minister's statement made no mention of affected mine employees.


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