PAPUA New Guinea’s first sand mine is near reality as Australian explorer Foyson Resources Limited moves in to complete its final assessment of the resource.
The company will also build a K6.6 million biomass energy power station using bana grass which will be introduced and grown locally over a 70h estate.
Bana grass is a high breed species which contains high level texture and material to produce enough heat required for turbine driven generators to produce up to 250kw of electricity.
Plans for the mine include the power station to be located next to it. Located about 270km southeast of Port Moresby in the Abau district, Foyson said the resource itself has the potential to be a large iron, titanium and vanadium sand mine.
It says the resource boasts a 1.2 per cent concentration vanadium input which is two to three times higher than in comparable projects.
The company holds a 100 per cent stake in the sand project which the Government has judged to be a key project in the next stage of PNG’s resource development.
Also given the final nod on its commercial value, Foyson stands to be the first as an explorer and a developer of any given mineable resource. The company has a junior Philippines based shareholder.
Locally the company has already made inroads within the surrounding communities led by chairman and former Abau MP Kilroy Genia.
A company representative Garry Ohlson, recently met with the Margarida community to highlight plans for the mine and the first energy plant for the region.
With Mr Genia, the party spent the weekend speaking to over 400 people in which Mr Ohlson described as most rewarding.
"We presented to the community and landowners from the zones in Amazon Bay the plans and how we are moving forward. The first steps are to establish a biomass energy power station with locally grown bana grass as the feed stock.
"From our weekend meeting, we have secured an ex rubber plantation of 70h which we will evaluate," he said.
Mr Ohlson said 25h of cultivated land is needed to grow the bana feed stock and will accommodate the required capacity once final evaluation is completed. Post Courier