Resource opportunities emerge despite falling prices

Resource opportunities continue to emerge in PNG despite falling global commodity prices and will be highlighted during the 14th PNG Mining and Petroleum Conference in Australia tomorrow (December 5).

The annual Sydney conference will look at the continuous exploration and expansion exercises undertaken by resource companies in PNG.

In a media release PNG Chamber of Mines and Petroleum Executive Director, Greg Anderson, says despite the impact falling global commodity prices has had on the economy there still remains exciting resource prospects.

This is evident in the discovery and appraisal of significant copper-gold prospects in Kile Teke, which is west of Porgera Mine, and in the Star Mountains north of the Ok Ted Mine.

The Lihir and Simberi mines in New Ireland continue to impress while Ok Tedi is well on path to recovery.

Application for two Special Mining Leases (SML) were made this year for the Frieda River and Wafi-Golpu projects as well.

Recently Harmony Gold announced an investment of over K550 million over the next two years to expand operations of its Hidden Valley mine project.

Other Junior miners such as Gold Mountain and Frontier Resources have also reported encouraging reports from their explorations despite the current market conditions.

In the petroleum and gas sector the PNG LNG Project is believed to be one of the best LNG start-ups in the world and has set the scene for further LNG investment through the P’nyang gas field in Western Province and the Elk-Antelope gas fields in the Gulf Province.

Oil Search has also recently announced looking towards its first deep water wells as early as 2019 to add new gas resources with estimates of around 4 Trillion cubic feet and 500 million barrels (MMbbl) remain to be found.

These are among many opportunities which remain in the PNG mining and petroleum sector which over 900 delegates attending the conference will be eager to know about.

Prime Minister, Peter O’Neill, will officially deliver the keynote address while Mining Minister, Byron Chan, and Petroleum and Energy Minister, Nixon Duban, will  also make presentations.

Picture credit: PNG Chamber of Mines and Petroleum

Cedric Patjole