Developer looking forward to talks

BARRICK Niugini Ltd says the company looks forward to the ongoing engagement with the Government to extend the duration of the Porgera special mining lease.
General manager (corporate and legal) Anthony Smare said this would be the key priority for this year.
“We look forward to re-engaging with the national government and the state negotiating team in the coming days and weeks to discuss the proposals put to the Government in late 2019,” he said.
“We believe these define a fair distribution of benefits derived from the mine.”
Porgera Joint Venture (PJV) produced its strongest operational and financial results in more than a decade, delivering positive returns for the joint venture partners.
The partners include landowners and the Enga government, as well as significant economic benefits to Papua New Guinea as a whole.
Those benefits include an advance payment this week of an additional K59 million in corporate income tax paid by Barrick Niugini Ltd, for a total of over K215 million for 2019.
Smare said the mine exceeded budgeted gold production for the year by approximately 16,000 ounces.
“In terms of both operational and financial performance, 2019 has been one of Porgera’s best years for more than a decade, with a total of 597,000 ounces of gold produced at an all sustaining cost of US$1,002 (K3,300) per ounce and direct operating costs on target at US$338 million (K1.01b),” he said.
“As a consequence of our performance, the mine also made an enormous contribution to the PNG economy during 2019 through expenditure on goods and services, and the payment of taxes and royalties. In the light of an exceptional performance by the mine and the sustained increase in the gold price during 2019, the company has estimated that an additional corporate income tax of just over K59 million is payable to the national government in relation to the 2019 year.
“We are pleased to be able to provide this advance payment to the Treasurer this week, ensuring the Government has access to ongoing funding for important public services.”
The Porgera Special Mining lease expired last August.