PNG Govt told to explain what's happening to historic sites

Posted by Radio New Zealand

There's a call for the Papua New Guinea government to explain what is happening to the country's culturally important sites.

The president of the Farmers and Settlers Association, Wilson Thompson, has served on many of the boards and trusts of cultural institutions, such as the National Museum & Art Gallery and the National Cultural Commission.

But he's appalled at the lack of action by relevant agencies to save critical sites such as the original PNG legislature building, and its grounds, in Port Moresby.

"It was in the prime commercial area in the capital and what has happened, and everyone knows that is the site of the old House of Assembly or the first parliament of Papua New Guinea. But all of a sudden that site has been offloaded, or given it away, or somebody came in and took it and it has now become a private facility altogether," said Wilson Thompson.

Wilson Thompson said other key sites, including Paga Hill National Park and Lae's Amelia Earhart Memorial Park, appear to have also gone to private developers without explanation to the public.

Go to this link for more: https://www.rnz.co.nz/international/pacific-news/393223/png-govt-told-to-explain-what-s-happening-to-historic-sites

Look to PNG, not China, Fiji exporters told

Posted by Radio New Zealand

Fijian exporters have been urged to focus on markets closer to home like Papua New Guinea rather than rely on distant economies such as China.

In a presentation to local businesses in Suva this week, ANZ Bank economist Kishti Sen said PNG could become the "China of the Pacific" as the future looks promising for resources.

Dr Sen said PNG has a strong growing economy and is ideal for Fiji exports.

With uncertainty in the global markets, he says PNG could provide a stable destination for Fijian goods.

Dr Sen told the Fiji Times with the country's economic growth predicted to fall below three percent over 2019 and 2020, there is a need to manage costs, run lean operations and be ready to take advantage of a stronger global economy.

He said with the current uncertain and weak external environment, tourism and remittance flows will be expected to slow with the construction industry close to peaking.

Dr Sen said industries expected to experience slower growth rates include real estate, accommodation and food, transport and storage, construction, agriculture, forestry and fisheries.

"Several mega projects in the oil and gas sector and mining are expected to commence early next decade and the new Prime Minister is unlikely to change project timelines as he has indicated that he will work with the private sector to deliver strong outcomes for PNG," he said.

Go to this link for more: https://www.rnz.co.nz/international/pacific-news/393235/look-to-png-not-china-fiji-exporters-told

Manus Island's Paladin promoting local workers

Posted by Radio New Zealand

The controversial Australian company providing security at refugee camps on Manus Island says its strategy is to nationalise its workforce with Papua New Guineans.

In a statement, Paladin said the number of expatriates it employed had more than halved in two years, and local staff were stepping into senior management and technical roles.

The statement follows a call from the PNG prime minister for Paladin's contract to be terminated because local companies could be doing its work.

Australia's Auditor-General is reviewing the $US300 million contract which was awarded without an open tender process.

However, the PNG and Australian governments have agreed to a limited extension of the contract which was due to expire at the end of the month.

Paladin said more than 98 percent of its staff in PNG were locals.

It only used expatriate staff for positions where local staff had not yet attained the required qualifications, it said.

But as a result of its training programme and internal promotion strategy, Paladin said it was on track to significantly increase local staff in senior positions.

Amid a mental health crisis on Manus, where more than 100 refugees detained there indefinitely by Australia have attempted suicide or self harmed since mid May, Paladin chief executive David Saul said the company operated in one of the most complex and challenging environments in the world.

"A key priority has been to train our local workforce to international safety and risk management standards and to promote them to senior roles within the organisation.

"Consistent with the Memorandum of Understanding signed by Paladin and local landowner group Peren in 2014, Paladin recently increased the shareholding of Peren in its joint venture entity Pomwan Paladin, so that it is now a fifty-fifty partnership."

"Paladin is about jobs and opportunities, and our partnership with Peren has ensured that our project has had a positive impact on the local community.

"We are acutely aware of the importance of building lasting and productive partnerships with customary local landowners in PNG and have, over many years, reinforced this commitment through our operating model."

Kepo Pomat of Peren Investments said Manusians supported Paladin.

"As a PNG company representing the local community here in Manus, we feel positive about Paladin's nationalisation strategy which has resulted in more locals being hired, trained and promoted within the group."

Go to this link for more: https://www.rnz.co.nz/international/pacific-news/393191/manus-island-s-paladin-promoting-local-workers

Hela Regional Seat Recount Order by National Court

By Philip Undialu - Hela Governor

In welcoming the decision of Justice Yagi today for recount, i once again appeal to Hela people to respect the Courts Decision. I accept the decision and will consider next course of action. Meanwhile, take note of Following facts ;

1. Recount ordered within 30 days. 
2. Neutral person to conduct the recount.
2. I remain Governor until recount process is completed.
3. Costs awarded to Electoral Commission.

I will call on the EC to install CCTV and do both manually and electonically. I am confident and will proof to the Court that I won on clean record.

Meanwhile, supporters on both sides should refrain from bad mouthing and taking sides. Allow the rule of law to take its own course.

Thank you and God Bless...

Governor Undialu

135,000 to be moved

By CLIFFORD FAIPARIK in Kimbe - The National

KIMBE disaster officers and volunteers are working round the clock to mobilise the evacuation of some 15,000 people in East Nakanai following the eruption of Mt Ulawun in Bialla, West New Britain (WNB), on Wednesday morning.
Papua New Guinea (PNG) National Disaster Centre has declared a Category 2 volcanic eruption, making evacuation mandatory for all villagers.
More than 120,000 other villagers staying further away from the volcano are also expected to be affected and evacuated as Mt Ulawun continues to spew thick black ash with growing intensity by the hour.
Hoskins Airport is reported to be covered in 4mm of thick volcanic ash and both Air Niugini and PNG Air had cancelled all flights since the eruption at 7am Wednesday.
Japanese Ambassador Satoshi Nakajima, WNB MP and State Enterprises Minister Sasindran Muthuvel and WNB Governor Francis Maneke are among the many air travellers left stranded over an indefinite period.
Works secretary David Wereh, Transport secretary Roy Mumu, six Port Moresby-based journalists and five Japanese embassy officers are also among the hundreds of air commuters stranded at the airport.
The WNB highway to Kokopo, East New Britain, is also closed to traffic due to thick black ashes.
Muthuvel said aircraft could neither land nor take-off due to the thick black ashes that affected engines and the airport tarmac.
“The only way for us to get out is the use of helicopters and fly to Kandrian or Morobe in Lae, and then fly to Port Moresby. Also, the Digicel network is off. Only bmobile and Telikom networks are in service,” he added.
Muthuvel said: “This is the biggest spewing of thick ashes from the same volcano. There were other explosions, the latest eruption was in 2008.
“The eruptions were not as huge or massive as this one. We are all caught by surprise. The first eruption was at about 5am on Wednesday while we were opening the new Aum and Kapiura bridges that were funded by the Japanese Government and officiated at by Nakajima.
“But it was not that serious. Then, at 12.45pm, it started spewing thick ashes about 15km in the air. And the ashes spread as far as Kimbe town, about 200km from Mt Ulawun.
“And it looks like the whole of Talasea District, from East Nakanai Local Level Government (LLG), Central Nakanai LLG, Hoskins LLG, Mosa LLG , Kimbe Urban LLG and Talasea LLG will be affected. Gardens and water sources will be covered by volcanic dust and ash.”
Some 15,000 people in East Nakanai need immediate evacuation and help.
Disaster officers and volunteers and six trucks of food and water supplies have been mobilised to leave Kimbe town for Barima, Bagara, Mandi and Soi.
However, the supplies would only last for about a week.
“We need about K1.5 million worth of food supplies for about two weeks. We need water containers and taupulins for shelters. We need help from the National Government and the deployment of the PNG Defence Force to assist,” Muthuvel said.
He said Maneke was now writing to the National Executive Council for assistance.
“Right now, the provincial disaster office is organising relief supplies with the Red Cross involvement. Also, the World Health Organisation (WHO) which is carrying out polio immunisation programme here, has joined to help in disaster relief efforts,” he added.
Muthuvel is also appealing to opportunists not to take advantage of the situation to loot abandoned residential houses or business houses. The occupants had fled to relief centres.
“I am also appealing to people to stay indoors and take measures, like wearing face masks, to avoid breathing in dust,” he added.
Maneke said more than 120,000 people were estimated to be affected by the volcanic eruption, including villagers in the Hoskins area, like the small block holders where the Hargy Oil Palm Estate is located.
“This includes Hargy employees and workers who are now being evacuated. The situation is serious,” he added.
Meanwhile, Air Niugini said in a statement that flights to and from Hoskins Airport had been suspended (until further notice).
“The National Airports Corporation has issued a notice to airmen (NOTAM) advising the temporary closure of the Hoskins aerodrome,” it said.
“The situation is being monitored daily and the resumption of flights will depend on the volcanic activity.
“Passengers who are travelling to Hoskins are reminded to cancel their travel plans from Port Moresby to Kimbe and WNB.
“Should travellers insist to risk being stranded in the airport in Port Moresby, they will have to bear their own cost. Air Niugini appreciates the travelling public’s understanding on this matter,” the statement added.
No injuries or deaths have been reported in the past 48 hours.

Go to this link for more: https://www.thenational.com.pg/135000-to-be-moved/

PM to check whether breaches were criminal

Posted by The National

PRIME Minister James Marape says he will seek further advice to ascertain whether persons implicated in the Ombudsman Commission’s UBS report can be charged with criminal-related offences.
Marape said in a Facebook post: “I realise the need for further and deeper investigations to ascertain whether myself or other players involved in the UBS transactions, especially companies, banks, financiers and middlemen and leaders could be charged criminally instead of just leadership issues raised in a leadership conduct-based investigation.
“I was mentioned twice and that I was called to sign a deed document based on cabinet directions, plus a Kumul Consolidated Holding Ltd Act section 46 where I am required to sign through their advice and I will defend myself but this UBS saga is not only about me but the entire processes, all involved including big companies like UBS and Oil Search Ltd.
“I am now in the process of consulting the ombudsman and judiciary on the composition of inquiry as well as terms of the inquiry that should leave no further stones unturned.
“The judiciary and ombudsman will be requested to take the lead in setting up the terms of the enquiry plus the composition of commissioners so that fair investigations are completed at the earliest with no disruptions.
“This is where any of you with any evidence can bring forth. I am seeking legal advice on whether this inquiry can look into other or all corruption issues while we await legislation passage for independent commission against corruption that we intend to pass under my government.
“I am not here to protect any one, including myself, but let’s put up a fair system that should deal with justice.
“(I) will release formal press on this one early next week.
“In the meantime, the police, the public and anyone interested can pick a copy of this report by OC and read it in its entirety, pass your judgments and if you want to assist on this matter please do so at your pleasure.”
The OC report into the controversial UBS loan was tabled in Parliament on Wednesday and Marape called for a Commission of Inquiry into it.
The 179-page report and additional attachments of more than 100 pages was earlier leaked to the public during recent political manoeuvring. It was signed off by Ombudsmen Michael Dick, Richard Pagen and Kevin Kepore.
The report stated that the conduct of the then Minister for Finance James Marape was wrong and improper when he approved the payment direction deed for National Petroleum Company PNG when it was not properly established.
The report also found that the then prime minister Peter O’Neill’s conduct was wrong and improper when he committed the State to purchase 149, 390, 244 shares in Oil Search Ltd without proper approval from the NEC.

Go to this link for more: https://www.thenational.com.pg/pm-to-check-whether-breaches-were-criminal/

No tangible development in Western despite decades of mining

Leiao Gerega  | Post Courier |

For almost 38 years Western province has seen no tangible development taking place despite helping the country generate millions in kina from the Tabubil mine.

The province remains one of the least developed in the country with low health status and lack of basic delivery of service to its people.

Prime Minister James Marape who visited the province on Friday to launch both the provincial and district five year development plans was implored by Governor Taboi Awi Yoto to look at the provinces needs which include;

• Creation of one or two electorate added to the province’s current three electorates;
• Uplift moratorium on the Province’s need to recruit new public servants;
• Fix issues with the province’s dividend trust account through former operations with Ok-Tedi;
• Find common ground on issues regarding WP’s major development program called the PNG sustainable development program;
• Building of a major port to export its resources;
• Request Ok-Tedi and Porgera to compensate middle and south Fly over mining waste pollution;
• Current 33 percent shares in Ok-Tedi be lifted to previous 64 percent and
• Stop fly-in and fly out of Ok Tedi workers to ensure money goes back to the people

Mr AwiYoto admits that the slow progress of development of the province was due to disunity amongst the leaders.

He assured Mr Marape that they are now ready to work together to ensure their people benefit from the money owed to them.

The 2018-2022 development plan under the theme “a new way forward” focuses on three key areas which are health, education agriculture and covers the province and its three districts in the Middle, South and North y.

“This is no easy task....everyone in this country have their own issues,” Mr Marape said while giving examples to how Buka and Lihir have fared poorly over the years despite the huge mining activities.

“Our agriculture and mining resources have been lost over the years while the people are suffering. Waigani is stealing from them and we are here now to turn things around,” Mr Marape said.

“These new work will take years but we want to direct and steer the country in the right path,” he said.

Mr Marape who travelled later to Tabubil to hear presentations from Ok-Tedi mining limited says everything will be discussed in Waigani after which they would strictly ensure monies owed to the people under various areas will be “unlocked.”

Mr AwiYoto says despite giving so much to the country the province has been failed by so many governments over the past years and is confident there is certainly a positive journey ahead.

Around 17,000 people gathered to welcome the prime minister at the Kiunga Township on Friday.

Mr Marape grew up as a child in Western province where his father was a Seventh Day Adventist pastor.

Go to this link for more: https://ramumine.wordpress.com/2019/06/26/no-tangible-development-in-western-despite-decades-of-mining/

Geopacific stitches up Woodlark gold project in PNG

Matt Birney | Company Advertorial | The West Australian | 

Geopacific Resources has acquired 100% direct ownership of the flagship Woodlark gold project in Papua New Guinea, buying out fellow Australian Kula Gold’s remaining share in a cash and scrip transaction worth about $3.29m.

Kula will immediately utilise the cash component to repay a loan totalling about $0.72m to Geopacific.

The deal seems like exquisite timing for the company, with the gold price nearly 25% higher than that assumed in November’s definitive feasibility study for Woodlark, which already outlined robust economic metrics and strong margins to develop the project.

Additionally, full ownership streamlines the corporate structure with significant administrative cost reductions and importantly reduces the risk to external financiers, willing to fund the project’s start-up.

Geopacific Managing Director Ron Heeks said: “Moving to 100% ownership of the 1.6Moz Woodlark gold project is a major milestone for the company. Full ownership simplifies project financing discussions and further enhances the company’s attractiveness and general market appeal … (with) additional benefits … (including) a substantial reduction in corporate costs.”

“The timing of the transaction coincides with the near completion of project finance due diligence and a strengthening gold price that is well above the DFS pricing assumption of AUD$1,650/oz. Progression in these work streams alongside the increasing gold price is a positive step in taking advantage of the increasing margin.”

The company is now racing down the final lap with baton in hand and is currently in the closing stages of an Independent Technical Experts, or “ITE”, review of the gold project, with representatives attending a site visit to Woodlark Island this week.

Back in January, the ITE review was commissioned by a consortium of banks and non-bank lenders, after an indicative non-binding term sheet was received.

Perth-based SRK Consulting was appointed as the lead ITE to review the technical aspects of the Woodlark project on behalf of the group of potential lenders.

SRK completed an initial Fatal Flaws Review late in 2018, with none being identified for the project.

With the gold price only strengthening since, the free cash flow position of the proposed initial 13-year mine life project has ballooned with Mr Heeks saying in January: "Every AUD$10 (per ounce) increase in the gold price is an additional ~AUD$10m in revenue which is considerable upside for the +1Moz project ...”

November’s DFS study optimised the project at AUD$1,650 per ounce and produced a pre-tax free cash flow of $424m.

Geopacific recently received indicative costs to build the proposed gold processing plant on Woodlark Island from three international standard contractors.

The company said that an initial review of those costs showed that the pricing is in line with the DFS parameters completed last year by Lycopodium.

Total capital establishment costs for the Woodlark gold project come in at just under $200m, with a third of those monies required to construct the processing plant, which is very respectable considering the relatively isolated overseas location.

With respect to the near completion of the ITE review of Woodlark, Mr Heeks added: “The ITE review is progressing well and Geopacific is confident with the technical aspects of the DFS completed by industry-leaders Lycopodium, Mining Plus and MPR Geological.”

“The results from the initial ITE fatals flaws review (built) confidence in the Woodlark project in addition to the conservative approach undertaken in calculating the (mineral) resource. The resource estimate uses a fully diluted resource model with a significant dilution factor.”

“This provides additional comfort that mining at the estimated grade is achievable. The Woodlark deposit is a permitted project with robust economics that are improving with the current gold price ~AUD$350/oz higher than that used in DFS.”

Last month, the company appointed Ian Clyne as its new Chairman to actively drive financing arrangements for the gold project.

Mr Clyne has been part of the company’s board since 2016 and brings with him a wealth of corporate experience including most recently as Group CEO of Bank South Pacific Limited, based in PNG’s capital Port Moresby for five years.

It was a strategic move for Geopacific, with Mr Clyne being a strong advocate for PNG’s potential and its people and holding a high level of commitment to social and community issues within the mainly rural population of the developing country.

Commenting at the time, Mr Clyne said: “As the Chairman of Geopacific, my priority is to drive the Woodlark gold project towards a successful project finance outcome that will maximise shareholder and stakeholder value and returns.”

“Woodlark Island is one of the most prospective regions of PNG and we take great pride in our positive relationships with the local community, the National & Provincial Governments, and the regulatory authorities who have also demonstrated strong levels of support for the permitted … project.”

The Woodlark project holds an ore reserve of nearly 29 million tonnes grading 1.12g/t gold for 1.04 million ounces, contained within a broader JORC-compliant mineral resource estimated at 1.57 million gold ounces.

This gold resource is also likely to build over time as the project has extensive gold and copper exploration potential, in a region where Geopacific holds the dominant land position on the 912 square kilometre area of Woodlark Island.

Once in production, the company will likely be able to self-fund and potentially sustain its mining operations at the Woodlark gold project to beyond the initial 13-year mine life.

The project area is blessed with flat terrain and soft outcropping ores with average metallurgical gold recoveries exceeding 90% during the first five years of production.

All permitting is granted and the project enjoys strong community support in the proven mining investment hub of PNG.

With full ownership of the exciting project within its grasp, the gold price behaving itself and a new Chairman at the helm, Geopacific now has clear air ahead towards the construction, development and ultimately gold production at the impressive and undervalued Woodlark project.

Go to this link for more: https://ramumine.wordpress.com/2019/06/27/geopacific-stitches-up-woodlark-gold-project-in-png/

Enga landowners say Porgera talks broken down

Radio New Zealand | 

A landowning group at the site of the Porgera mine in Papua New Guinea's Enga Province says negotiations with the owner Barrick have broken down.

The Canadian company is pushing to renew its contract in August for another 20 year period.

The company has said it had met with senior landowners to discuss their issues.

But the Justice Foundation for Porgera Ltd, which said it represented the bulk of local landowners, said without their commitment any agreement would be worthless.

It said Barrick needed to come to it to negotiate the necessary protocols.

The mine is currently the subject of a multi-billion-dollar lawsuit for damages caused over its 30-year life and PNG's Prime Minister James Marape has recently committed to ensuring PNG citizens have greater control over their resource wealth.

The contract renewal comes amid unresolved allegations of rape, sexual assault, drownings and shootings at the mine site.

Justice Foundation for Porgera chair Jonathan Paraia said: "Barrick knows full well the vast majority of landowners are sick to death of the human rights abuses, the environmental destruction, the hollow promises".

He said they were highly offended at the lack of respect Barrick's CEO has shown towards them while trying to engage them in a significant international mining contract with a 20-year life.

Go to this link for more: https://ramumine.wordpress.com/2019/06/29/enga-landowners-say-porgera-talks-broken-down/

Cancel all seabed mining licences

By PNG Council of Churches | Voice of Milne Bay | Alliance of Solwara Warriors | Bismarck Ramu Group | Centre for Environmental Law and Community Rights

Dear Hon. Prime Minister,

Congratulations on your recent election as the new leader of Papua New Guinea and for the establishment of your new cabinet! This fills our hearts with hope for a better future. 

We, the PNG Council of Churches, Voice of Milne Bay, Alliance of Solwara Warriors, Bismarck Ramu Group and the Center for Environmental Law and Community Rights, would like to draw your attention to the issue of deep sea mining in our Bismarck and Solomon Seas.

We stand with the communities of the West Coast of New Ireland Province, Duke of York Islands, East New Britain, Madang, Manus and Milne Bay Provinces who oppose sea bed mining under the Alliance of Solwara Warriors. 

Together we call on the Papua New Guinean Government to cancel all Nautilus Minerals’ deep sea exploration licences, mining leases, and environment permits.

Our communities already face many unsustainable developments impacting our lands, oceans, lives, and livelihoods. This includes mining, logging, and oil palm operations. The risks and uncertainties of experimental seabed mining are too great to allow this industry to ever proceed in Papua New Guinea.

We have our own economies and natural resources to sustain and support our daily survival. We ask our government to invest in these.

Our coastal communities have always been connected with our seas. The sea is central to identity, livelihoods and culture practices. It cannot be separated. 

We simply do not want Seabed Mining in PNG’s Waters.

The former government made a bad investment decision by buying into Nautilus Minerals. Our country and ordinary citizens are paying the price. The $US120m equity, a loan from BSP, that the Government invested in the Solwara 1 project could have been used for medical supplies, education, and much-needed infrastructure. 

Nautilus Minerals is currently seeking protection for alleged bankruptcy and is re-arranging its affairs to protect the interests of its officers and two major shareholders. It seems like the company is not considering the impact on its shareholders which includes the PNG government.

We look to your leadership to ban seabed mining in our country and to use our nation’s funds wisely.

Therefore, we call on the new Papua New Guinea Government to:

1. Terminate the Solwara 1 mining lease and environmental permit, and all of Nautilus Minerals’ exploration licences

2. Demonstrate that it has learnt from the very costly mistakes of the former Government of purchasing a 15% stake in Nautilus Minerals and commit to:

a. Never taking up a stake in any deep sea mining venture in the future;

b. Not issuing any more exploration licences or mining leases for deep sea mining; and

c. Providing real and lasting support to communities right across Papua New Guinea by assisting thriving artisanal fisheries, growing the fledgling ocean based eco-tourism sector, and funding communications and transport infrastructure, education and health services. 

We anticipate your favourable response, and we thank you and wish all God’s blessings on your efforts as our new leader.

Go to this link for more: https://ramumine.wordpress.com/2019/06/29/cancel-all-seabed-mining-licences/

O’Neill ready for loan inquiry

By JEFFREY ELAPA - The National

FORMER Prime Minister Peter O’Neill has told Parliament that he will be the first to testify before a Commission of Inquiry into the UBS loan saga.
O’Neill welcomed the tabling of the Ombudsman Commission report on the loan by acting Speaker of Parliament Jeffery Komal yesterday.
He said that he was not part of any wrong-doing and would be the first person to testify before the inquiry that Prime Minister James Marape had announced to establish to investigate the saga.
However, the report implicated that most officials in the chain of obtaining the loan had acted wrongly or illegaly and recommended they be referred to the leadership tribunal.
Among them are O’Neill, Marape, Chief secretary Isaac Lupari, Treasury secretary Dairi Vele and other government officials, including Philip Eludeme and Wapu Sonk.
O’Neill said the Oil Search saga was not new, it had been going on since the acquisition of Origin Mineral by Oil Search.
He said Oil Search was a small company but acquired all assets owned by Origin Mineral owned by the State, making Oil Search a big company in the country, meaning that it processed all the oil-producing and gas-producing assets in the country that was held on behalf of the State.
O’Neill was referred by two former State ministers whom he had sacked from his cabinet for not following NEC decisions, but then alleged that the UBS loan was illegal.
He said NEC decisions were not made by one person, but by ministers of the State based on advice from Government officials.
“I want to assure the prime minister that he did not do anything wrong by complying with the court order that the State needed to make repayments on loan and that’s why he made the payment to repay the loan that we got from UBS,” O’Neill said.
“This came about because we needed to buy back the shares that were mortgaged to the Arabs.
“We have done so, and then, of course, today we are in the situation where these complaints are referring some leaders for their actions that they have made.
“I welcome the prime minister’s commitment to an open, transparent, public inquiry. I will be the first one to testify in that inquiry, I will be the first one because I have done nothing wrong. I have not negotiated these loans with any official with the UBS.
“These negotiations were conducted by Treasury.
“On advice given by our officials, we went ahead and made a NEC decision and that is nothing wrong with that. But I want to ask the prime minister that this inquiry should extend beyond UBS, it extends even beyond, and it must go to the root cause of this particular action that we took and that is the loan we took in IPC. The Arabs’ loan the Somare-government got from a company that was not a publicly listed company.
“It has got no transparency, no visibility and that is the cause of the situation that gave rise to securing this loan we took to buy back.
“When you talk about taking back PNG, it’s about owning assets, it’s owning resources, ownership of our country and that is precisely what we did.
“The OSL shares given away or mortgaged by the previous government and I welcome the COI and it must extend into the IPC loan as well because that is where you will find corruption.”

Go to this link for more: https://www.thenational.com.pg/oneill-ready-for-loan-inquiry/

OUR RESOURCES - THEIR PROFITS

Papua New Guinea treasurer calls for more benefits from LNG, mining projects

By Sonali Paul | Reuters 

Papua New Guinea’s new treasurer on Wednesday put Total SA, Exxon Mobil Corp , Newcrest Mining and their partners on notice that the country wants to extract more benefits from their gas and mining projects.

Treasurer Sam Basil said the country also needs better forecasts from Exxon and Total on the expected income flow from a $13 billion plan to double the country’s liquefied natural gas (LNG) exports. Basil was appointed earlier this month by Prime Minister James Marape, who led a revolt against former prime minister Peter O’Neill in May.

France’s Total is leading the Papua LNG project, which will develop the Elk-Antelope gas fields to feed two new LNG production units to be sited at the PNG LNG plant, run by Exxon.

At the same time, Exxon and its partners plan to add a third new unit at PNG LNG, which will partly be fed by another new field, P’nyang.

Total recently reached an agreement with the government setting terms for its Papua LNG project, while Exxon is in the process of negotiating a separate agreement with the government for P’nyang.

Treasurer Basil said the projects should all be treated as one, rather than “under the cloak of separate joint ventures”.

“I am putting each of the project partners in all of these projects on notice that the concerns of our people must be addressed through dialogue and negotiations with the state and that we expect all parties to contribute to a fair and equitable outcome,” he said.

Exxon’s original $19 billion PNG LNG project is the biggest foreign investment in the country and crucial to the economy, but the plant has been a disappointing contributor since it started exporting LNG in 2014.

Last year’s earthquake which forced a shutdown of PNG LNG dented the government’s take from the project more than Exxon had expected it would. The 2019 budget had assumed that oil and gas sector revenue would fall by 9.4 pct from 2018, but it actually fell by 16.4 percent, Basil said.

He plans to ask the Treasury and Exxon to come up with new detailed forecasts of future cash flows from the project to the national and provincial governments and local landowners.

He also said the government would put on hold talks with the owners of the Wafi Golpu gold project, Newcrest and South Africa’s Harmony Gold, until the state negotiating team has talked to the Morobe provincial government about its aspirations for the project.

“Our future prosperity depends on delivering these projects and delivering them well. But we must now find a way to ensure that these major resource project agreements capture enough value to the state and to our people,” he said.

Exxon and Total were not immediately available to comment. Newcrest had no immediate comment.

Go to this link for more: https://ramumine.wordpress.com/2019/06/27/papua-new-guinea-treasurer-calls-for-more-benefits-from-lng-mining-projects/

Australia and PNG agree to extend contracts for Manus Island asylum seeker services

By Natalie Whiting - ABC News

The Australian and Papua New Guinea governments have agreed to a limited extension of the contracts to provide services to asylum seekers, before the PNG Government takes over.

The contracts for work on Manus Island were to expire at the end of the month.

Wednesday's agreement came after PNG Prime Minister James Marape called for the security contracts held by Paladin to be cancelled immediately.

The two governments released a joint statement saying they were committed to "ongoing cooperation to ensure quality and sustainable services are in place to support the health, welfare and safety of transferees".

The statement said the PNG Government intended to assume responsibility for service delivery and would contract local providers "through an open market competitive procurement process".

To allow time for that to happen and to ensure services are maintained, the governments have agreed to a limited extension of existing contract arrangements along with a review of those arrangements.

The statement said the transition would happen within the "quickest possible time" and then the Australian-held contracts would be terminated.

No time frames for the contract extensions or transition have been outlined.

PHOTO: Mr Marape called for the cancellation of Paladin's security contracts. (Supplied: PNG Prime Minister's Office)

The announcement came after a week of political disagreement.

After Home Affairs Minister Peter Dutton said the $423 million security contract held by Paladin would likely be extended, the PNG Immigration Minister and then Mr Marape called for the contract to be terminated.

The awarding of the contract to Paladin is currently being investigated by Australia's auditor-general, though the Home Affairs Department has defended the arrangement.

Paladin has said it is unable to speak about the specifics on its contract on the island but in a statement the company has defended its work in the area.

"Paladin has an outstanding track record in the region as an ethical provider of security, safety, risk management, community engagement and garrison services with significant expertise in working in partnership with local communities," the statement reads.

"We have more than 4,500 employees across the Asia Pacific region and our partnership model is built on the participation, training and mentoring of local staff and landowners to achieve stability and prosperity.

"We employ a majority local workforce, buy local and ensure we become a valued part of the communities we operate in. "

PHOTO: An accommodation block, pictured under construction in 2017. (Supplied)

Home Affairs secretary Michael Pezzullo told a Senate hearing in February the PNG Government was planning to take over responsibility for the services in October 2017, but in July that year decided it could not proceed because it was in caretaker mode ahead of an election.

PNG says local companies now have the capacity and expertise to provide security services on Manus Island and would like to see a transparent tender process introduced.

Shadow Home Affairs Minister Kristina Keneally said in a statement Labor "welcomes the fact an open market competitive procurement process will be undertaken for future contracts in PNG".

"Australia still has skin in the game and it is incumbent on Peter Dutton to ensure any future contracts in PNG are fit for purpose and ensure value for money if services are being funded by the Australian taxpayer," she said.

Asylum seekers who had been trying to reach Australia were first sent to PNG for offshore processing nearly six years ago.

They have been living in accommodation centres in the local community, which are guarded, since the detention centre was closed in late 2017.

Go to this link for more: https://www.abc.net.au/news/2019-06-26/australia-and-png-agree-to-limited-extension-manus-contracts/11249702

5000 evacuated after PNG volcano erupts

Posted by Radio New Zealand

More than 5000 people have been evacuated after Mt Ulawun in Papua New Guinea's West New Britain province erupted yesterday.

The Post Courier reported Mt Ulawun, which straddles the boundary of East and West New Britain provinces started erupting at about 7am local time, spewing a tower of ash 13km into the air.

Nearby residents have spoken of the sky turning black, ash falling thick like rain, and flashes of lava being seen in the mountain's upper reaches.

A disaster response officer at Mt Ulawun said officials were caught off-guard by the eruption but moved people to safety in nearby Kabaya.

A shortage of vehicles reportedly hampered the movement of people to safety.

Air Niugini has cancelled all flights into Hoskins airport indefinitely following the eruption.

Lava flow has also reportedly cut off the New Britain Highway at three different locations.

Thousands of people live in the shadow of Ulawun, despite it being one of the most active volcanoes in the country.

Go to this link for more: https://www.rnz.co.nz/international/pacific-news/393025/5000-evacuated-after-png-volcano-erupts