US$71mil for PMIZ nears OK

Business, Main Stories


PAPUA New Guinea is finalising an agreement with a Chinese contractor that will see the draw-down of US$71 million (K193 million) for the construction of the Pacific Marine Industrial Zone (PMIZ) in Madang province.
A PNG delegation is meeting with officials from Shenyang Economic and Technical Cooperation Co (SETCC) in the Philippines to finalise the deal between the State and the company.
SETC is China’s State-owned company based in Shanghai.
The PNG team is led by Commerce and Industry Minister Gabriel Kapris, officials from Treasury and Finance, National Planning, State Solicitor, Fisheries and Commerce and Industry.
The team left last Saturday and is expected back this week for the execution of the contract agreement by the Governor-General at Government House in Port Moresby.
Mr Kapris told The National from Philippines yesterday that the PNG officials were going through the technical issues and would finalise the contract agreement by today.
“We will be coming back to Port Moresby for the Governor General to execute the agreement before we leave for China with the papers to draw-down US$71 million of the US$79 million (K214 million) from the Export-Import Bank of China.”
Mr Kapris said PMIZ was an important impact project that would be sustainable for many years to come and has the full support of the project impact area people and the Madang provincial government.
He said the landowners were supportive after the Government funded a team from the project area to visit similar projects undertaken in the Philippines.
Mr Kapris said initial work had started with landowners being involved in spin-off contracts in building the 8km perimeter fencing of the 216ha project area.
He said the PNG Government counterpart funding of K29 million had been used so far for initial ground works and a further K44 million has been budgeted for this year.