PNG Extractive Industries Transparency Initiative (PNG EITI)

Utilise EITI’s full potential: Official

Speaking on the eve of PNG’s second validation and during the COVID-19 MSG Constituent briefings, Lucas Alkan reiterated that PNG’s implementation of the Global EITI Standard has gained favourable results so far with the overwhelming support from the PNG MSG. However, there is still a great potential to improve governance in the mining and petroleum sector.

Coordination needed for alluvial mining

PNG Extractive Industries Transparency Initiative (EITI) head of Secretariat, Lucas Alkan, said alluvial mining and associated activities contributed to the economic wellbeing of a good number of people living remote parts of the country and warranted intervention.

The PNG EITI says alluvial mining in PNG is largely unregulated and there is limited information amongst authorities and stakeholders about the size of this segment of the mining industry.

The MRA estimates that there are up to 80,000 small-scale miners in this category.

Unregulated alluvial mining in PNG

The PNG Extractive Industries Transparency Initiative revealed this in its 2014 report.

It says this leaves authorities and stakeholders with limited information about this segment of the mining industry.

The report stated that alluvial mining accounted for 120 thousand ounces of gold, representing at least 6 percent of the total gold mined in PNG, and K373 million in export revenue.

Over K110 million for royalties in 2014

According to the PNG Extractive Industries Transparency Initiative’s (EITI) 2014 Report, US$39.8 million (K119.4 million) has been paid to DPE.

The report also confirms that the payment is currently held in a trust account and has not been distributed due to uncertainties over the identity of rightful beneficiaries. This situation still remains for many landowners.

Early this month, acting DPE Secretary, Kepsie Puiye, said pipeline landowners in Central Province would receive their royalties after clearance is given by the State Solicitor’s Office.