PJV pays K488mil in compo and royalties

Business, Normal

The National, Wednesday 30th November 2011

THE Porgera Joint Venture paid a total of K1.5 billion in taxes and duties this year, a PJV manager said.
Processing manager of PJV Ridge Nyashanu presented the figures yesterday at the mining seminar in Port Moresby.
He said K300 million was paid as royalties for this year alone.
A total of K188 million was paid as compensation last October while K115 million went to tax credit scheme projects.
Nyashanu said PJV production accounted for 12% of PNG’s total export over the current life of mine for the past 20 years.
Business development received K2 billion this year.
Last year, K54 million was paid to Porgera contracts, K47 million to Enga contracts and K48 million to other contracts within the country.
Meanwhile, Nyashanu said deterioration in law and order in Porgera- Liaigam was the most significant risk to the PJV operation.
He said PJV was working in partnership with the national and provincial governments, local communities and community stakeholder agencies through “restoring justice initiative to strengthen and support law and justice”.
Nyashanu said there was an overwhelming support from community, local, provincial and national government of plans to address the complex issue.
He said one of the aims of restoring justice initiative was to help the community address new and long-standing issues, including violence against women, tribal fighting, loose firearms, drug and alcohol abuse and illegal mining.
Nyashanu said the population in Porgera valley has grown from 5,000 prior to construction, to about 45,000 at present due to the mining activity there.
He stressed that some causes of illegal mining in Porgera were due to increased number of people moving to Porgera to benefit from the developed infrastructure and the inability of police to maintain law and order.