Parties to Simberi mine project ink revised deal

 PARTIES to the Simberi mining project memorandum of agreement (MoA) have signed a draft revised deal agreeing to amendments to the document.

The parties which are state, New Ireland provincial government (NIPG), Simberi Mining Area Association (Landowners) (SMAA), Simberi Gold Ltd and Sentral Niu Ailand Local Level Government, met last week in Kavieng to review the existing MoA, which was initiated in 1996.

The draft revised MoA was agreed to by all parties who were present, which was described as a successful outcome for all. 

The next phase now is for this draft to be submitted to the State Solicitor’s Office for legal clearance and drafting.

A number of key agreed positions by the parties are as follows:

• Allocation of 20% of the total 60% royalties for the SMAA, to Madar Investment Trust as opposed to 5% allocated in the existing MoA;
• Simberi Gold committed to support landowner umbrella company with start-up capital for business development.  

In the existing MoA there is no provision committing the company to provide such support;

• Scholarship programme to be funded by the company for Tabar people;
• Equal employment opportunities to be provided by the company to qualified locals; and
• Key infrastructure development to include the set up of a Simberi business centre, rehabilitation of coconut plantations and the establishment of the Tabar Development Authority, among others.

Leaders of all parties who included chairman of the SMAA Vincent Maris, Simberi Gold Ltd executive Jeff Waddington, Gabriel Ngat from the state team and Bruce Harris from NIPG – expressed satisfaction with the general outcome of the review meeting, saying it was a successful meeting.

Acting managing director of Mineral Resources Authority (MRA) Philip Samar congratulated all parties concerned, saying that Simberi MoA was the second document after Ramu to be agreed to by all parties.

He said that MRA was on target to delivering four fully-revised and executed MoAs before end of the year. 

“This year is a challenging year for the MRA as it is reviewing all eight mining project MoAs at the same time in the one year.