TOTAL STATE TAKE AMONGST REASONS PROLONGING WAFI-GOLPU MINING OPERATIONS
The National government is battling with two mining giants to secure 55 percent total state take from the Wafi-Golpu Mining Project.
This was made known by Prime Minister James Marape in Parliament recently following series of question without notice put to him by Bulolo MP, Sam Basil Junior in the Parliament.
Basil questioned the prolonging of the Wafi-Golpu mining commencement and the benefits the land owners are waiting on.
“We have been referred to many Supreme Court decisions that relate to the local land court in 1978 and the appeal to the provincial land court, to date there has been never walk-the boundaries to confirm the actual land boundaries and ownership,” Basil said.
“Also, there has been concerns on the delay and when the mine will start.”
Marape said the state negotiation team is working on getting the best for the country with negotiation between the two joint venture mining exploration license holders, Newmont Corporation and Harmony Gold Mining Company that are yet to agree on.
“State negotiation team along with the two joint venture investors (Newmont and Harmony) have already discussed. But there are some areas of logger heads where they are yet to reach an agreement,” Marape said.
“You all know about this governments policy where we (nation) must get above 55 percent total state take. Together with royalty, equity and tax, we must define clearly the 55 percent. So, they (Newmont and Harmony) want to get more and we want to get more. The state negotiation team is not led by James Marape, we have knowledgeable people in our country that are in the state negotiation team.”
He said the agreement including the term of the mining operation has to be properly made at the earliest for the benefit of the country before the mining commences.
Marape also highlighted that there are mining operations in the country where the nation is not benefiting well from it despite the change of gold price on the world market and that is because of the agreement signed years ago.
“Once the agreement is signed, we live up to that agreement until it runs its course,” Marape said.
“To the people of Bulolo, Wafi you’ve waited a long time and I want to ask you to wait for a little more. Just like Porgera, I said short term pain and long-term gain. Now you can see the benefits of Porgera.
“This government will not put a pen to an agreement that will not give 55 percent to our country going forward. I’ve already informed the two investors, you’re already harvesting from Lihir and this government renewed the Hidden Valley project. So, we’ve asked them that we want to take nothing less than 55 percent for our country.”
He further called on the locals in the area, Morobe province and the nation as the whole to bear with the government process.
