Mining to remain economic backbone

PAPUA New Guinea’s multi-billion kina mining industry is continuing to be the backbone of a strengthened economy, Kina Securities Ltd chief executive Syd Yates said yesterday.
The industry continued to provide valuable source of income for the country, and recently the National Government forecast the mining and petroleum sector would contribute more than K2.5 billion in revenue next year.
“During 2007, the country’s mining sector continued to surge forward with a number of ground-breaking exploration projects which generated substantial income and positive industry attention for the nation,” Mr Yates said.
He said the current strength of the industry had again been demonstrated after the Mining Advisory Council (MAC) announced it would be recommending an additional 10 exploration licences before the year ends.
The forthcoming new mining leases are likely to contribute to the current prosperity and to provide more opportunities for investment at all levels.
Mr Yates said it had already been a milestone year for PNG’s mining industry, with the country continuing to record consistent growth as it takes advantage of an increasing global desire for key mineral resources.
Further expansion within the industry will have ongoing benefits for all key stakeholders in terms of more employment opportunities, investment opportunities and providing a driving force for long-term economic development.
Three of the planned 10 new exploration licences had been recommended to be issued to Nautilus Minerals with the other seven to be issued to Bismarck Mining Corp, Neptune Minerals, Sierra Mining, Niuminco ND Ltd, Goldmines and Triple Plate Junctions.
These companies were now in the process of conducting exploration throughout PNG.
Mining Advisory Council chairman Kepas Wali said the exploration projects would generate increased mining opportunities within the country and collect invaluable data to help sustain the industry for many years.
Importantly, the sector has continued to attract positive global interest during the past 12 months, particularly after Nautilus Minerals successfully conducted world-first seafloor mining operations off the coast of PNG.