Barrick Niugini

NPL in a media statement said the benefit-sharing terms agreed between the State, Barrick Niugini Limited (BNL), Kumul Mineral Holdings Limited (KMHL) and Mineral Resources Enga (MRE) to restart the mine, ensure a transparent and fair distribution of the overall economic benefits that will be generated by Porgera over its 20-year mine life.  

With Barrick Niugini spending four million US dollars a week to keep the Porgera running, it is looking to restart the mine at the earliest.

The reopening will mean the start of the flow of benefits in both royalties and spin-offs to landowners of the Porgera Valley.

Barrick CEO Mark Bristow is keen to get the compensation agreements done quickly so work can progress immediately.

And he says to fast-track the process, he is open to adopting the compensation arrangements of the old Porgera with additions to reflect the new changes.

A protest was held in Porgera on Friday claiming that BNL’s current recruitment process was improperly overlooking unemployed locals within the Special Mining Lease area.  

BNL completely rejects these inaccurate claims.  
 
BNL in a media statement said since the mine was placed into Care and Maintenance in April 2020, BNL has invested more than K1 billion kina in good faith in the hope and expectation that the various contractual and regulatory conditions for the reopening of the Porgera mine can be satisfied to allow for the restart to occur.  

He announced this during a press conference late yesterday afternoon.

The Prime Minister is expected to formally handover the Framework Agreement to the landowners.

“I will inform our people on what we have secured as far as the framework agreement is concerned.”

The operations of the mine have been suspended since April 2020.

Under the new binding agreement, PNG secured a 51% stake while Barrick Niugini the developer, has a 49% stake.

Marape boasts the 51% stake is a much better deal for the landowners and the country.