Economy boost seen beyond 2018

By CLIFFORD FAIPARIK
Papua New Guinea’s economy is set to boom beyond 2018, given the high demand in the global market for electric-powered vehicles and other battery-operated state-of-the-art gadgets, Mining Minister Johnson Tuke says.
Tuke, when presenting his ministerial statement in Parliament yesterday, said PNG anticipated being well-placed to service this demand in 2018 and beyond if current projection levels were maintained by major mines.
“There will be a high demand for our minerals like gold, copper, nickel, cobalt and chromium,” he said.
“Analysts expect our key minerals to be in demand going forward, as the majority of these are base components for the sudden world growth in the electric vehicle and battery industries.
“In addition, significant new nickel and cobalt resources already exist in Northern.
“The Kumbukari mine and refinery are now operating at name plate capacity, with chromite exports having commenced in the late 2017.
“Furthermore, the Kainantu mine in Eastern Highlands is expected to bring on more copper production.
“Over the coming years, other minerals such as bauxite, limestone, coal, iron sands, molybdenum and manganese are likely to expand our commodity base.
“This will move PNG away from its historical dependence on gold, which still accounts for 65 per cent of the total mineral revenue.”
Tuke said that Frieda River in West Sepik and Wafi-Golpu in Morobe were expected to go into production at the same time in about 2025.
“I call on the developers of the both projects to honour their timelines of delivering their respective updated studies either this year or next year to enable the Government regulatory agencies to review their proposals for development in order to provide timely approvals,” he said.
Tuke said that Frieda and Wafi-Golpu were priority projects because they would develop the next generation of mines.
“To assist with these projects, I have given specific directives to the State negotiation team to coordinate the regulatory process for the environment permit with the Conservation and Environment Protection Authority, and for the special mining lease applications with the Mineral Resource Authority within approved time frame.”