Governor welcomes PanAust

 EAST Sepik Governor Sir Michael Somare has welcomed PanAust as project manager of Frieda River copper/gold mine project.

 Sir Michael said he had followed with interest the movements of players in the marketplace in relation to the project.

The project is located on the border of West and East Sepik.

“I acknowledge the recent acquisition by Guangdong Rising Asset Management (GRAM) of China and PanAust Limited of Australia,” Sir Michael said. 

“And I am encouraged by the assurance that I have so far received that PanAust will remain as project managers for the development of the Frieda River mine project.”

He said Highlands Pacific held of 20 per cent interest in the Frieda project. 

Sir Michael said the project was PNG’s largest underdeveloped copper-gold opportunity, containing a resource inventory of 13 million tonnes of copper, 20 million ounces of gold and 49 million ounces of silver.

“I note that the PNG Government has a right to acquire up to 30 per cent of the interest and therefore I have been in constant discussion with the National Government through the Treasurer Patrick Pruaitch on the development of the Frieda River mine project.

“In addition, the provincial administrations of both Sepik provinces have been in dialogue with PanAust for a considerable period and I have been briefed of these ongoing discussions through the acting provincial administrator for East Sepik, Elisabeth Kaprangi.”

Sir Michael added that PanAust operated in other markets including Chile and Laos where it had received accolades for its high operating standards and its social and community endeavours.

“I am hopeful that PanAust will continue to maintain these high standards of performance in all aspects of its operations here in PNG specifically the Sepik, as I note that it has already started work on a new feasibility study in the Frieda River project,” he said.