Tag Archives: small-scale mining

Reopening Panguna is dividing families and communities

Mine Pit looking greener – let it be green

Clive Porabou | Mekamui News | 28 August 2017

The Panguna mine issue is the hottest and very sensitive issue on the ground today. It is dividing communities and families up. BCL is so crazy to reopen it using every possible avenue it can to get people on their side. In the meantime ABG is desperate to have money to run the Government of the day in Bougainville and also pushing for the reopening.

The former BRA ranks and files are also divided, last week another MOU was not signed when the Bougainville Hardliners say no to reopening but yes to keep it closed.

Strong woman against mining says no to mining

Last week I was in Arawa and late Francis Ona’s brother came to me and told me that his sister Joanne whom I have been campaigning with against re-opening the mine is on the side of reopening the mine. He told me they must have given her money to change her mind. He says our family is now dividend. Later he and his elder sister came to me and gave me her mobile number.

Joanne on the left now becomes pro mining before when we campaign against mining

They told me to try and talk with her so that she can change her mind. I didn’t call her for a reason if they gave her money she might say to me we campaign with no money now I have money so if I join you on no mining will you give me money. Hope she will change her mind and save the last Guava Mountain to plant sweet taro for tamatama.

Some mothers who are against reopening the mine

A young woman, I interviewed her at the mine site, told me that they don’t want the mine reopen it will be so much pain and suffering more then the last time. I asked her the alluvial gold panning is also causing some kind of danger. She told me it is small and the people are getting more money from it then what the company can give them. She told the ABG Government can come in to help the gold diggers set up some kind of melt and essay laboratory so that the Gold diggers will not us dangerous chemicals etc etc

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Government looks to cash in on alluvial mining with Gold Bullion Bank

Alluvial mining policy to be developed

Cedric Patjole | PNG Loop | August 23, 2017

Mining Minister, Johnson Tuke, has directed the creation of an alluvial mining policy in the country.

He announced on Tuesday that the alluvial policy was one of the main policy initiatives for the industry as part of his first 100 days in office.

Tuke said there is a huge potential for the industry and proper frameworks must be established to manage it well.

“I have directed the Department of Mineral Policy and Geohazards Management (DMPGM) to work with the Mineral Resource Authority, to develop a policy for the alluvial mining sector in PNG.

“There is a huge potential in alluvial mining that directly serves our people. And that potential has been tapped into so that we can properly regulate it, introduce safe practices and maximise the benefits,” he said.

Tuke also said there is an intention to establish a gold bullion bank in PNG, which has always existed and is captured as a standup provision in the mining development contracts.

He added he is mindful that developers of mine in PNG have existing international arrangement that should not be compromised.

Bullion is a bulk quantity of precious metal such as gold, which is measured by weight and typically cast as bars and traded on the market.

Gold is bought and sold as coins and can be traded in the form of small grains.

“Under my leadership, I intend to strengthen and develop the alluvial and mining industry so that the vision to establish a gold bullion bank in PNG can be realised.

“This will be complemented by the development of the downstream processing policy that the Department of Mineral Policy and Geohazards Management is developing,” Tuke said.

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Alluvial Mining Employs 80,000 in PNG

alluvial miners at work

Alluvial miners at work on Bougainville

Alluvial Mining Activities In The Country Are Largely Unregulated, According To The PNG Extractive Industries Transparency Initiative (PNGEITI) Report 2014.

Post Courier | August 2, 2017

Alluvial mining activities in the country are largely unregulated, according to the PNG Extractive Industries Transparency Initiative (PNGEITI) Report 2014.
This leaves authorities and stakeholders with limited information about this segment of the mining industry. According to the report, alluvial mining accounted for 120,000 ounces of gold, representing around six percent of the total gold mined in PNG and K373.4 million in export revenue. Some 49,000 ounces of silver were also produced, to the value of K2.3 million.
“The Mining Act 1992 allows people to mine for alluvial minerals on their own land by non-mechanical means without the need for a mining licence,” the report said.
“Ninety percent of alluvial miners in PNG use rudimentary sluice boxes and gold panning dishes.”
This sector is therefore largely unregulated, and there is limited information about its size. The MRA estimates that there are up to 80,000 small-scale miners in this category.”
The report states that to date, over 4,000 of these have completed training at the Mineral Resource Authority’s small-scale mining centre in Wau, Morobe.
“Small-scale mining conducted with powered machinery requires an Alluvial Mining Lease or Mining Lease (for alluvial purposes) from the MRA. The former are granted for up to five hectares of land that is a riverbed and extends no further than 20 metres from any riverbed. The latter may cover up to 60km2. There is a requirement for a minimum 51 percent ownership by PNG nationals. In 2014, there were 183 current Alluvial Mining Leases and 136 Mining Leases (for alluvial purposes).
Alluvial miners sell their gold to traders, who then on-sell it to one of 16 licensed exporters, regulated by the Bank of PNG.
The MRA checks the export forms and raises levies on the export. The MRA felt that levels of illegal export were low, but other estimates have suggested this could be as high as to be an equivalent volume to the official quantity recorded,” the report said.
PNGEITI head of National Secretariat Lucas Alkan said alluvial mining and associated activities contributed to the economic wellbeing of a good number of people living in remote parts of the country. “This warrants putting in place strong coordination and regulatory mechanisms to keep track of opportunities and challenges that someone engaged in alluvial mining is faced with.”
“Taking an inclusive government approach in regulating different facets of the mining industry is important. In this way, we can give every participant a fair shake,” he said.

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PNG EITI report gives lie to mining propoganda

Ignorant politicians and the foreign mining companies who feed them love to tell us how dependent Papua New Guinea is on large-scale mining and petroleum extraction.

The 2014 EITI Report gives the lie to those claims.

EITI finds petroleum and mining contributed only 12.7% of government revenues in 2014 and a measly 2.5 – 10% of formal sector jobs.

PNG LNG employs less than 2,000 local workers, in contrast, there are 80,000 small-scale miners working in the informal sector with little or no government support!

PNGEITI Releases Findings For 2014 Report

Post Courier | June 19, 2017

THE petroleum and mining sector contributed 12.7 percent of government revenue in 2014 compared with 7.5 percent in 2013.

This is according to the PNG Extractive Industry Initiative Transparency Initiative (PNGEITI) 2014 Report, released this year

The report states this increase correlated with the commencement of the PNG LNG project.

It states the total value of mineral exports from PNG mines for 2014 was K17, 522.5 million comprising 84.18 percent of total export value.

It noted the government’s attempts through policy intervention to manage such fluctuations, as in the case of the Sovereign Wealth Fund (SWF) and promoting investment in the non-extractive sector of the economy.

In stark contrast to the total export value the industry represents, the extractive industry provides limited direct employment, with estimates running from 2.5 percent to 10 percent of PNG’s formal workforce.

“However, it directly supports a significant proportion of employment across the economy. During the construction, the PNG LNG Project provided up to 21,200 jobs (in 2012), while in operations, it employs around 2, 400 workers (as at December 2015), 75 percent of whom were PNG citizens” the report stated.

“There are also up to 80,000 small-scale miners, largely working outside the formal economy” it said.

Head of the PNGEITI Lucas Alkan said for the first time in this country, “we have published a comprehensive and detailed report covering the extractive sector, and they provide a reliable source of information for public use”.

“We are already working on the next two reports based on 2015 and 2015 financial years and these will be published in December,” he said.

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Local firm gets mining licence

The National aka The Loggers Times | May 18, 2017

A LANDOWNER company in Enga has been granted seven alluvial mining licence leases by the Mineral Resources Authority.
It allows the Koekam PM Holdings Ltd in the Kompiam-Ambum district to engage exploration companies on their tribal land.
Company chairman Peter Malix, while thanking the MRA for granting the licence, said it had taken a long time and resources to finally receive the mining licence.
He thanked Mining Minister Byron Chan, the Mineral Resources Authority and those who had done a lot so that the landowner company “can have a say in the development of resources in our own land”.
The licence will allow investment in development of the mineral-rich Koekam area where alluvial mining activities are on a small scale.
“Now we have the five-year mining leases,” Malix said.
“I appeal to people from the five council wards to work together so that we can get maximum benefit from the mining development,”
The impact areas will cover Poreyalin, Aiyal, Malipin, Liu-Tip and the Kukin-Kalimb tribe from the Kompiam Local Level Government.
Alonge Alupi from Koekam said he was happy that they would now look for investors to develop the alluvial mining.

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Lack of opportunities cause of illegal mining at Porgera

See also: Yet Another Two Local Indigenous Porgerans Shot by Barrick Hired Security Personnel at Porgera Gold Mine

Mark Haihuie | The National aka The Loggers Times | April 20, 2017
ILLEGAL mining in Porgera, Enga, is the result of a lack of opportunities for locals to participate in small to medium enterprises, according to Porgera Chamber of Commerce and Industry.
President Nickson Pakea was responding to questions from The National on locals taking part in illegal mining activities.
He said the ineffective government presence in the district in creating business opportunities, had created a dependency on the Porgera joint venture for basic services and business opportunities.
“According to the business perspective, the mine area is the land in which the seven clans gave to the developer. It’s the property of the company,” he said.
“If someone enters into this prohibited area then it is criminal.
“The cash flow in the district is mainly from the Porgera mine.
“The Government institutions within the district responsible for the growth of small to medium enterprises and the avenues is all moving backwards.
“The Porgera Development Authority was misused and was closed for more than three years.
“Paiam Hospital closed as well.
“Porgera Health Centre closed with no reflection of government services except the Barrick Porgera joint venture that people of Porgera rely on. The service delivery there is minimal. The non-government organisation groups need to represent the bulk of population on such corruption affecting many lives.”

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SME mining creating jobs for youths in Bulolo

alluvial watut

Post Courier | February 14, 2017

A SMALL to medium enterprise (SME) in Bulolo, Morobe Province is having a positive impact on youths in this area.

TRocks Construction Ltd  owned by Berldon Timah is a four-month old small scale alluvial mining company. Mr Timah said to date the company has created jobs for 48 workers who have been rostered on two shifts. He said business has been good but more could be achieved particularly for the youths in these rural areas through government intervention.

Apart from this venture, Mr Timah has established a small foundation in the area which provides help for the local schools, not just in this area but to neighboring Eastern Highlands Province as well. Timah says of the revenue generated from his projects 10 per cent goes towards the foundation’s activities.

Meanwhile, the foundation, with support from Mr Timah’s company has provided help by assisting disadvantaged communities with road projects and other basic services.

The foundation has also funded school infrastructure and supplies in the Eastern Highlands and Morobe Provinces.

Mr Timah said all his work was not to gain glory but to help give back to the community.

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