MRA revokes Vangold permit

Business, Main Stories

THE Mineral Resources Authority has revoked a mining exploration licence held by Vangold Resources Ltd on Feni Island, Milne Bay province, over compliance issues.
This prompted a “proactive” meeting between Vangold president Dal Brynelson and MRA officials recently, in which some understanding was reached followed by a thorough written submission by the company seeking restoration of the exploration licence EL 1021.
Brynelsen said MRA officials had requested a written submission on the history of exploration expenditures by Vangold and the possible planned future exploration and mining.
The government enforces its powers to ensure that tenements are not held by companies without working on them.
“At the meeting in Port Moresby, the MRA accepted that Vangold was in full compliance with all expenditures and exploration work programmes up to the renewal date.
It was suggested that in conjunction with the written submission, the status of the exploration licences would be reviewed by the mining advisory committee which advises the minister of mines,” Brynelson said.
Parallel to Vangold’s efforts with the MRA and the mining ministry, Vangold applied for two new licences EL 1791 and EL 1799, which together cover the entire area of Feni Island.
Vangold has been informed that the licences had been registered by the MRA and a warden’s hearing has been scheduled.
However, Brynelsen said the warden’s hearing was postponed at the request of the company until the mining advisory committee had completed its review of Vangold’s written submission regarding EL 1021.
“After our meetings in Port Moresby, I am encouraged that the MRA has accepted that Vangold was in complete compliance and had unfortunately been denied ‘due process’ prior to refusal,” Brynelsen said.
“At this stage, given the acceptance for registration of the new all inclusive licences (EL 1791 and EL 1799), I am unsure as to whether the original licence is more likely to be reinstated, or whether we will receive approval for the new licences.
“The government has a long history of mining and also in resolving exploration tenement conflicts in a fair and equitable way,” Brynelsen said.