Addressing the Impacts of Sudden Mine Closures and Community Resilience in Papua New Guinea

By: PNG Business News November 04, 2024

A research Officer with the PNG Extractive Industries Transparency Initiative says lack of realistic policies and framework to address impacts of sudden mine shutdowns, affect businesses and communities among those whose lives depends entirely on the mine. Eileen Mosusu, in her presentation at the Geoscience, Exploration and Extraction Conference in Port Moresby shed light on a pressing issue faced by communities affected by sudden mine closures. Her research, which focuses on the ‘absence of realistic policies and frameworks to address the impacts of mine shutdowns’, offers both insights and recommendations for industry leaders and policymakers. Miss Mosusu identified two key areas of concern:

The Need for Realistic Policies on Sudden Mine Closures

Mosusu emphasized that Papua New Guinea (PNG) has experienced several sudden mine closures, notably the Panguna Mine on Bougainville in the Autonomous Region, the Porgera Mine in Enga Province, and the Hides Gas Project in Hela Province. These unexpected closure of operations leave impacted communities vulnerable, often triggering social unrest and economic collapse.

“When mines close abruptly, the lack of a structured plan for the affected communities’ results in chaos. There is a breakdown in social and economic systems, which escalates tensions,” she said.

Community Resilience and Adaptation in the Face of Adversity

Despite the challenges, Mosusu highlighted the resilience of communities like those in Panguna, in Autonomous Bougainville. Thirty years after the mine closure and a subsequent civil war, Panguna’s communities have developed innovative survival strategies.

“From artisanal mining to geo-tourism, these communities have found ways to thrive. They’ve turned to reusing and recycling materials and fostering a new market economy. This adaptability showcases their resilience,” Mosusu explained.

Motivation for the Research

Mosusu’s connection to Bougainville played a significant role in shaping her research. “Bougainville’s history is deeply intertwined with the extractive industries, and as my home island continues its journey toward independence, the lessons learned from the Panguna Mine closure remain critical. My background as an Environmental Scientist, specializing in heavy metal assessment, further motivated me to explore the impacts of artisanal mining on the environment and local communities,” Mosusu stated.

Alignment with PNGEITI’s Goals

Although her research began prior to joining PNGEITI, Mosusu highlighted how her findings align with the organization’s broader objectives of promoting transparency and accountability in the extractive sector. “Sudden mine closures often leave communities without critical support and economic stability, which underscores the need for better risk management strategies. PNGEITI’s mission to ensure extractive activities are managed in a way that minimizes negative outcomes for communities directly aligns with the discussions my research generates.”

Mosusu pointed out that PNGEITI can play a key role in advocating for the inclusion of sudden mine closures in policy discussions, ensuring companies and governments are held accountable for their responsibilities toward affected communities.

Shaping Future Policies

Mosusu hopes her research will inspire conversations around creating frameworks that anticipate sudden mine shutdowns. She noted that while mining projects are required to present Mine Closure Plans, these often fail to address unexpected closures.

“We must ask ourselves, what happens if a mine closes ahead of schedule? Do we let the community crumble, or do we implement policies that allow these communities to thrive sustainably, with or without the mine in operation?”

Implications for Stakeholders

Mosusu acknowledged the sensitivity of discussing the Panguna Mine, given its historical context and ongoing human rights complaints. However, she stressed the importance of considering the long-term impacts of mine closures on communities and the role artisanal mining plays in sustaining local economies. “Engaging in transparent and accountable practices is essential. Policies must reflect the realities on the ground, especially for artisanal miners, and include proper licensing and environmental protections.”

Future Research and Recommendations

Looking ahead, Mosusu plans to participate in the 6th Alluvial Mining Convention to further explore the discussions around the alluvial mining sector. She also called on PNGEITI to continue supporting research in the extractive industries by publishing comprehensive reports, partnering with academic institutions, and sponsoring case studies that showcase best practices in governance. Executive Director of PNGEITI, Lucas Alkan said the underlying objective of PNGEITI is to promote transparency and accountability in the extractive sector and that it mission to ensure extractive activities are managed in a way that minimizes negative outcomes for communities directly aligns with the discussions points raised by Miss Mosusu in her research paper. In saying this Mr. Alkan said “ on PNGEITI to continue supporting research in the extractive industries by publishing comprehensive reports, partnering with academic institutions, and sponsoring case studies that showcase best practices in governance”.

In her concluding recommendations for policymakers and industry leaders, Mosusu urged stakeholders to engage in conversations about sudden mine closures and their impacts on local communities. “We need frameworks that sustain local economies with or without mine operations, ensuring that communities can continue to thrive after the mine is gone.”


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