K3.76mil LNG payout

By PETER ESILA
THE Gas Resources PNG LNG Pipeline Limited will pay out K3.76 million to Hela landowners in Segments Two and Three as equity and royalty.
This was announced on Saturday in Hela by the Mineral Resources Development Company (MRDC).
The K3.76 million is the 40 per cent cash component.
According to the Oil and Gas Act, benefits received must be split thus: 40 per cent in cash, 30 per cent for the Community Trust Fund and 30 per cent held in trust for investment purposes.
MRDC managing director Augustine Mano said at Benaria village in the Komo-Margarima district that the K3.76 million was made up of K1.5 million in equity from 2014 to 2016, and K2.2 million in royalty from 2014 to 2018.
“These payments follow the completion of bank account openings for each benefitting clan, and the appointment of a director to the board paved the way for payment of the benefits, which is 40 per cent of total royalty and equity benefits available to them,” he said.
“Dividends for subsequent years will be paid once the audit of the accounts are completed up to the last financial year. Royalties will also be paid once they are received from State.” Segments 2 and 3 cover the Benaria and Homo-Paua regions of Hela. There are 174 clans that will benefit.
These areas are part of the eight segment areas, which are PNG LNG project impacted area.
Hela Governor Philip Undialu and Petroleum Minister Kerenga Kua urged the villages to stop tribal fighting and allow services to reach them.
“This is not about the payment of money,” Kua said.
“It is about how we look after ourselves. Services must reach the people. If not, improvement of living standards will not come.
“Peace and law and order must be here all the time.”