Papua New Guinea PRIME Minister James Marape yesterday welcomed the world’s largest gold miner, Newmont Corporation, to the country, saying its presence has “added value to the economy and boosted investor confidence as well”.
“We now have two of the biggest mining companies – Newmont and Barrick (Niugini) Limited – in the country,” he said.
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| Papua New Guinea Prime Minister Marape welcomes Newmont Corporation to PNG [photo credit Matt7 Media] |
“This is something PNG should appreciate.
“This adds value to the economy and the development of the country, and shows that PNG is a good investment destination.”
This followed Newmont’s acquisition of Newcrest Mining Limited.
“Newmont has been around since the 1980s as an exploration company and it is pleasing to hear of the merger with Newcrest Mining Limited.
“The mergers are done between companies,” Marape said.
“Newcrest was part of Newmont before it became its own entity.
“These kinds of company mergers and accusation does not involve Government.
“It is between two global private companies.
“Newmont will now take on board all the current projects under Newcrest, as well as the Wafi-Golpu project as a joint venture with Harmony and the Kumul Minerals Holdings.”
Newmont agreed to four requests from the Government:
- TO have a operation head office based in Port Moresby;
- TO allow a local investors to buy shares in the company;
- NOT to sabotage Wafi-Golpu mid-term of operations; and,
- INCREASE local content and local employment.
Marape assured Newmont that the Government had always honoured agreements and contracts with foreign investors in the petroleum and gold mine sector.
Newmont Corporation executive vice-president and chief strategy and sustainability officer Peter Toth said the company had confidence in the investment environment, labelling it “safe”.
Toth said Newmont would be listed on PNG stock exchange using the PETS Depository Interest (PDI).
This would allow PNG investors to directly invest in the company.
Marape said Newmont would likely receive the Mining Development Contract and Special Mining Lease for Wafi-Golpu by the end of this year.
The National / Pacific Mining Watch
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