Alluvial gold miners in the country have the potential to become billionaires if they diversify their ventures, re-invest wisely, and manage their finances effectively, said Mineral Resources Authority Managing Director, Jerry Garry.
Mr Garry was speaking at the 6th Alluvial Mining Convention & Trade Show 2024 in Goroka, where over 300 miners, government regulatory agencies, gold buyers, exporters, financiers, and other relevant stakeholders gathered to share information, experiences, and discuss regulatory policies, among other topics.
The MD shared an inspiring story about how the former operator of the Porgera Mine, Placer Dome, had humble beginnings in the Wau-Bulolo gold fields in 1926. He explained that two expatriates—an Australian and a New Zealander—ventured into Wau-Bulolo in 1926, recognising the abundant gold resources in the area. The pair formed a company called Placer Development Proprietary Limited. They raised funds, purchased eight dredge machines, and mined the Wau-Bulolo gold fields.
However, Mr Garry emphasised that these men did not limit themselves to gold mining; they diversified into other industries, including cattle farming, fishing, and forestry. The pine trees harvested today by PNG Forest Products in the Wau-Bulolo area were introduced by these two men as part of their business diversification efforts in 1926.
After more than 55 years, Placer Development Proprietary Limited acquired a mining licence to operate the Porgera mine. Some years later, the company merged with another, forming Placer Dome. By 2005, Placer Dome was operating about 16 gold mines across seven countries, with a market capitalisation of USD 6.7 billion.
Mr Garry reiterated that this successful company had its origins in alluvial gold mining at the Wau-Bulolo fields in 1926. He stressed that today’s alluvial gold miners have the same potential to achieve billionaire status, much like those two men.
The MD also highlighted the economic significance of the alluvial mining sector, which at one point contributed around K640 million annually to the country’s economy. Approximately 100,000 people are involved in the alluvial mining sector nationwide.
The Alluvial Mining Convention, an initiative of the MRA, aims to promote and showcase the sector’s potential. It brings all stakeholders together on one platform to share experiences, discuss regulatory policies, and raise awareness about the latest challenges and success stories in the industry.
