The Porgera Project Commencement Agreement of 3rd of February 2022 having drawn its essence from the Framework Agreement of 9th April 2021, the wheels of New Porgera Deal were set into motion on 9th of April 2021. The Government has welcomed Barrick Nuigini Limted (BNL) for partnership under an incorporate joint venture arrangement to mine Porgera once more. It excites the Nation to see the last phase of the New Porgera Project negotiation is entering a close with the incorporation of the New Porgera Project company and the eventual signing of New Porgera Operatorship Agreement.
A lot of negotiation huddles have hampered steady progress, however help from State Negotiation Team, Treasury, Office of Prime Minister, Office of the State Solicitor, Mineral Resouce Authority and Kumul Minerals Holdings Limited collectively has been invaluable to the progress of the Negotiations. The landowners and affected communities also showed unfailing supports. In the end, the Project partners are doing their utmost to ensure that the Project is fired-up by January 2023 and Kumul Minerals expects a 36% stakes in the Project.
Besides corporate taxes and dividend proceeds, economic benefits and other spin-offs will have a ripple effect from Porgera and Enga Province and exerting down the western end of the Country including three additional Provinces which will be a milestone for the present Government following its innovative ability to expand benefit rings for the affected communities. With a mine life of another 20 years, Porgera Gold Mine is expected to boost the economy with the support of Ok Tedi Mine Limited and proceeds from other mining operations in the Country. Kumul Minerals is keen to work close with BNL in that pursuit and expectedly continue the mine when BNL will exit operations in 10 years’ time from the commencement date of the Porgera Project Commencement Agreement.