Tag Archives: small-scale mining

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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Benefits of “Mechanised Alluvial Mining” Explained

alluvial_mining-show

LOOP | November 4, 2016

The third annual PNG Alluvial Mining Convention & Trade Show started yesterday at the National Sports Institute in Goroka, Eastern Highlands Province.

The two-days (Nov 3-4) convention is an initiative of the Mineral Resources Authority (MRA).

The theme of this year’s convention is “Mechanising the alluvial industry” and aims to set a platform for stakeholders to exchange information, discuss issues and share ideas on how mechanised alluvial mining can result in maximum benefits for miners.

“Mechanising” refers to the use of machines such as excavators in alluvial mining.

Managing Director of MRA, Philip Samar in his opening remarks said MRA was committed to ensuring that the growth of the sector was supported and promoted.

He said the convention was an opportunity for all stakeholders to discuss how the sector could be mechanised.

Stakeholders include the alluvial mining communities from all areas of PNG, the MRA, small and medium business promoters, financiers, joint venture interests, gold buyers, smelter companies and exporters, Provincial and Local Level Governments, lawyers, equipment manufacturers and suppliers.

Over 200 participants have registered for the convention, representing most alluvial areas of PNG.

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Alluvial Mining Convention and Trade Show in Goroka, 3-4 November

convention-poster-sam-2016_edit

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November 1, 2016 · 10:07 am

Alluvial gold mining set to deliver K355 million to landowners this year

alluvial miners at work

Alluvial miners at work on Bougainville

Alluvial gold price looks promising says MRA

Post Courier | October 24,2016

ALLUVIAL gold production and revenue levels between 2014 and 2016 have naturally responded to the fluctuating gold prices on the world market.

This is according to the managing director of the Mineral Resources Authority Philip Samar who said in 2016, MRA expects a further decline, with just 90 ounces being produced.

In a statement released yesterday Mr Samar said, production had dropped from a historic high in 2014 of 120 ounces (oz) of gold which had netted K373.3million to 113 oz in 2015, generating K356.3million.

However, he said because gold prices had increased substantially earlier in the year to an average US$1340/oz, (K 4,247.27) and remained stable at that for almost six months (only dropping below US$1200/oz), (K 3,804) the revenue side had been holding against the 2015 figures of K356.3million.

According to the statement revenue to date is K266.7million as at the end of Quarter-3 and MRA projects around K355.6million for the full year.

On the upside, in the past 12 months there has been considerable interest in tenement applications within this sector especially for alluvial mining leases (AML) and associated joint venture arrangements.

According to Mr Samar while some previously approved deals had collapsed, MRA remained confident that the future of the sector especially the ability to generate greater production and significant revenue, lies in mechanisation.

Hence, the theme it is promoting at the upcoming Alluvial Mining Convention which will be held in Goroka on November 3-4, 2016.

The entity had also noted an increase in gold smelting and refining opportunities in PNG from overseas investors.

The conference is open to all and MRA is urging all to attend to not just learn about the sector but establish contacts as well.

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