Official explains process

Business

THE process involved in the renewal of a special mining lease could be long in large mining operations such as Porgera, Mineral Resources Authority (MRA) managing director Jerry Garry says.
Garry explained to the Porgera Landowners Association (PLOA)last Friday in Enga that there were two processes involved, one of which came under the MRA.
He said unlike normal exploration licence applications or mining leases, the process could be long for special mining leases (SML) in large mining operations such as Porgera.
“This will come through the normal MRA process with recommendations made but the mining minister will not make a determination as this will come from the National Executive Council (NEC) and the governor-general will sign off,” he said.
Garry said there was also a parallel process which was the mine development contract (MDC) which captured all of the larger agreements with the state.
“This process is called the MDC negotiation,” he said.
Garry said Porgera’s case was a re-negotiation process because the MDC and the mine licence had expired, but the mine had been allowed to continue operating under Section 112 of the Mining Act which covered and protected the operation until such time the State made a decision.
“There is some delay,” he said.
“The process of MRA is concluding and we will sit in a special Mining Advisory Council meeting.”