Closure of mine result in local firms losing K111mil

LOCAL contractors in Porgera have lost around K111 million over the last eight months since the Porgera mine shut down, according to the Porgera Chamber of Commerce and Industry (PCCI).
President Nickson Pakea told The National that there were around 136 local contractors in the area that provide heavy equipment parts, servicing and support.
He said businesses in the area were feeling the pinch of the mine’s closure.
Pakea said the Government needed to look at alternative arrangements to open the mine as soon as possible.
“The mine shutdown has affected these businesses in a very big way and we are actually feeling the pinch,” he said.
“We have 136 local contractors, that’s a composition of contractors supplying heavy equipment.
“We also have other micro small to medium enterprises that benefit from the mine and local contractors apart from the national contractors.
“We have lost about K111 million over the last eight months.
“In Porgera, we only have mining which is our lifeline so when the mine shut down everything went down. We have been depending on the mine in terms of power, roads other basic services.”
Pakea urged the Government to look into and find ways to resolve landowner issues.
He welcomed the indication by the Government to open the mine next year but urged it to look at ways to open the mine before then.
The chamber acknowledged the Government assistance of K10mil to the trucking industry last week.