Kikala pushing for Porgera mine review

National, Normal
Source:

The National – Tuesday, November 30, 2010

LAGAIP-Porgera MP Philip Kikala has the backing of Porgera landowners, demanding an immediate review of a mining development contract between the state and developer Barrick PNG Ltd.
Kikala, who is also vice-minister for National Planning, was in parliament yesterday with Porgera landowner leaders including chief Pakiku Pundi, Sole Paro, Johnson Kutako, Penjari Lavaipa and two former Lagaip-Porgera MPs Opis Papo and Anton Pakena.
They all agreed that Kikala would push for a review of the contract.
“The mining development contract was executed between the state and company. It is not the 17 subsidiary memorandums of understanding executed between the state, provincial government and the landowners where the company is not a party.
“We want the mining contract to be reviewed because it is blocking our chances to negotiate for a fair return for our resources,” Kikala said.
The landowners wanted mining operations to be suspended indefinitely until the issue had been tabled, funds made available and implementation started.
The four issues included freezing the proposed sale of 5% shares held by Mineral Resource Enga (MRE) to Barrick (PNG) and for the shares to be sold back to the Porgera people, relocation of landowners outside the special mining lease (SML) areas, address threats by landowners on Paiam township and produce an updated sustainable development programme.
Kikala said Barrick (PNG) owned 95% of the Porgera mine with 5% equally shared between the Enga provincial government and landowners.
“The 5% is an asset. It is the future of Engans.”