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PNG Government to propose an Umbrella Agreement for Porgera Mine Stakeholders

The Papua New guinea government has announced that it would propose an umbrella agreement to the landowners, impacted communities and stakeholders of the Porgera mine.

The announcement was made in Alotau on September 7, 2023, by Vice Minister (VM) Assisting the Prime Minister, Hon Jimmy Maladina, in his closing remarks.

Hon Maladina (center) flanked by Mining Minister Hon Sir Ano Pala (far-right) and Chairman of the State Negotiating Team (SNT) Dairi Vele, during the CDA consultative meeting in Alotau.

He was speaking to landowners, impacted communities and stakeholders of the Porgera Mine, during the Porgera Community Development Agreement (CDA) consultation closing ceremony.

“We are trying to follow the footprint of PNGLNG, where there was an umbrella agreement, splitting the percentage break ups of the equity , royalties, Infrastructure Development Grants (IDG), and Business Development Grants (BDG). The different license areas and affected landowners will have to sit down and distribute the goods,” said Hon Maladina.

He said the government had received position papers from all landowners, impacted communities and stakeholders.

The VM said papers were received from Special Mining Lease (SML) landowners, Lease for Mining (LMP), Mining Easement (ME), Hides-Porgera Power Line (HPPL), Riverine impacted communities in the Western and West Sepik Provinces, youths and women’s groups. He said some raised legacy issues from the past 30 years, some raised equity and royalty issues and projects. Hon Maladina said the government recognizes and appreciates these issues and had taken note of them. 

“We want to make sure that these sorts of issues are managed better and benefits are fairly and equitably distributed this time,” VM Maladina said.

He assured the landowners and stakeholders that the government would consider all papers, and no paper would be left behind as they were all important.

He said the government would need two weeks to align the positions with relevant laws applicable, and also incorporate them (positions) onto a formular, that would form the basis of negotiations going forward. 

He said the venue for negotiations would be in the Enga Province with the specific venue to be announced soon.

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