Alluvial mining making K300mil

By PETER ESILA
DEPUTY Prime Minister Davis Steven says very little wealth is captured in the alluvial mining industry, which was still categorised in the informal sector and needed government intervention.
There is currently no policy of alluvial mining in Papua New Guinea even though about K300 million worth of alluvial gold was exported every year and the activity was happening in all provinces, according to the Sustainable Alluvial Mining Services (Sams).
At least 300,000 people are directly engaged in alluvial mining.
“Our people are digging, they are selling, they are making money but they are in the informal sector,” Steven told The National during an information session in Port Moresby on Saturday.
“Millions of rural people indirectly benefit from it.”
Steven, the Esa’ala MP, is currently funding a pilot alluvial mining policy programme in his district with Sams.
“Very little of that wealth is being captured in the national wealth and that is another challenge that we need to recognise,” he said.
“You put the statistics that we have in Central Bank and MRA, alluvial space in PNG is according to Central Bank record, the sector produces an equivalent of estimated 1.5 million ounces of gold per annum, that is recorded,” he said.
“What is not recorded, we do not know.
“But the point is that how much of it is going to the taxes, coming into the mainstream banking, so that is not for the village people to correct but that is for the government to correct. So that is one of the areas where our government is forcing on with more scrutiny, more interest and attention.”
Sams founder Immaculate Javia said the sector was under researched despite existing for over 100 years.
“There is no specific policy for this sector, so these are some realities that we want to amplify this,” she said.