China lifts freeze on funding for Pacific Marine Industrial Zone, only five SABL leases handed back and Malaysian company to build satellite township in Central Province. Your weekly digest of the latest business news.

The China Export Import (Exim) Bank has lifted the freeze it placed on the K212 million finance loan for the Pacific Marine Industrial Zone at Vidar, Madang. Trade Minister Richard Maru has assured the bank the PNG government will include a K39 million contribution in the 2015 Budget.

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Trade Minister, Richard Maru

Maru says the completion of the zone will keep a substantial amount of the estimated K2 billion in revenue PNG loses annually because it does not process all the fish caught in its waters. He says the zone will be completed within the next 16 months.

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Three months after Papua New Guinea’s cabinet ordered the cancellation of the scandal-ridden Special Agricultural and Business Leases (SABLs), only five companies have voluntarily handed back their titles. Land Titles Registrar, Benjamin Samson, says the response from title holders has been slow.

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Malaysian property developer, IRIS Land (PNG) Ltd, has signed a memorandum of agreement to build a satellite township of 30 houses and a secondary school in Central Province. The joint venture will be majority-controlled by IRIS Land with a 51% stake, the government with 23% and Jayacorp, 26%.

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Mt Kare gold project. Credit: Indochine

Indochine Mining has raised US$3.5 million of capital to develop its high-grade Mt Kare gold project.

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Canadian gold miner WCB Resources has begun drilling work at its Misima porphyry mine in Milne Bay Province.

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Manus Island Detention Centre. Credit: ABC

A new study has found the Manus Island Regional Processing Centre has created around 1000 extra jobs for Manusians, and around 110 for Papua New Guineans from other provinces. It found Manus businesses have realised increases in sales of between 60–200 per cent. Contractor, Adam Smith International, carried out the study for the Australian High Commission.

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Credit Corporation (PNG) Ltd has reported a half year profit fall of K12 million compared with K41.32 million in the same period last year. Chairman Garth McIlwain says profits for the first six months were of K28.68 million, compared to K41.32 million last year. He said the board was confident that the second half operating results would achieve budget expectations.

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Work has begun on the construction of a K50 million oil mill for the Bewani Oil Palm project in West Sepik. Marketing Manager E.S. Goh says the main products from the mill will include crude palm oil and palm kernel. He says four oil mills would be built in the province between now and 2035.

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Sir Joseph James Tauvasa Credit: PNG Loop

SP Brewery’s newly-built K84 million brewhouse in Port Moresby will produce 33,813 cartons of cans and bottles per day. SP Brewery Chairman Sir Joseph Tauvasa said stability in business conditions in the country has allowed the company to invest further in the brewery facilities in Port Moresby and Lae.

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Mergers are set to sweep through Australia’s oil and gas sector with close to A$10 billion of assets currently on the market, as international players head towards the exit and local operators seek out new partners in an effort to stave off mounting cost pressures. 

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Future sea levels rises could put more than A$200 billion of Australian infrastructure at risk, a report by the Climate Council has found.