Photo credit: Porgera Joint Venture
Ian Tarutia, president of the Papua New Guinea Chamber of Commerce and Industry, is pleased to hear that the Porgera Mine will reopen next month.
“The closure two years ago and its consequences had an adverse impact on the country’s economy in terms of foregone tax revenue, royalties and unemployment of more than 3,000 workers,” he said.
“We are hopeful that formalities can be concluded as soon as possible so that mine operations can resume and kick start economic activities in Enga, the surrounding corridor to Western Highlands and down to Lae.
“We also welcome the passing of the new Connect PNG Act 2021 which will address road funding in the country for the next 20 years.
“Good quality roads and airports are a critical and much-needed infrastructure to provide expedient transportation nationwide.
“Good quality roads, ports (air and sea) are nation-building assets the country needs to move forward.”
The multibillion-dollar Porgera Gold mine in Enga, according to state negotiating team head Dairi Vele, is likely to resume next month.
Vele, on the other hand, predicted that ramping up to consistent output would take several months.
He stated that the mine operator, Barrick Niugini Ltd (BNL), was responsible for paying the mine restart costs, with the state anticipated to reimburse BNL for its portion of the costs.
The shareholders' agreement has still to be signed by equity partners, according to Mineral Resources Authority managing director Jerry Garry.
Reference: The National (18 March 2022). “Chamber president hails news of reopening mine”.
