Barrick Gold’s CEO Mark Bristow is in Papua New Guinea to advance Porgera talks, K92 Mining announces expansion, and Eastern Highlands Province in lockdown. The business news you need today.

Credit: Zijing Mining

Agribusiness

Prime Minister Marape has announced K1.5 million for coffee development in Menyamya, Morobe Province. One million kina will be for a coffee depot and the rest of the money will be used for coffee price support, which churches will administer.’ (The National)

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About K1.02 million in grants will be delivered to agribusiness innovators thanks to MSME Agribusiness Challenge Fund, a partnership between the Bank of PNG SME Accelerator Program and the United Nations Capital Development Fund.

Those who receive funds will get a percentage of the total project cost as well as access to pitching and business support, mentorship and development opportunities. (The National/POMCCI)

Mining

Canadian mining company K92 Mining is set to get an expansion representing a 25 per cent increase in its annual processing capacity to 500,000 tonnes at its Kainantu gold mine in the Eastern Highland Province. The capital investment to complete the plant expansion is expected to be US2.5 million (K8.57 million). (K92 Mining)

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The CEO and President of Barrick Gold, Mark Bristow, and a senior executive team are in PNG and are expected to meet with Prime Minister Marape. Negotiations on the reopening of the Porgera mine continue in line with the Framework Agreement terms signed in April. Bristow reportedly said that he hopes to advance the conversations to restart the mine.

He said: ‘I sincerely hope we can get these agreements signed off by the State as soon as possible, particularly given the ongoing cost of keeping the mine under case and maintenance. We all need to put in our best efforts towards concluding the remaining agreements if we want to have any chance of restarting the mine this year or early next year.’ (LOOP)

Petroleum and gas

Petroleum Minister Kerenga Kua has told Twinza Oil that it has until 15 October to sign a non-disclosure agreement and have people involved in the negotiations of Pasca A in PNG. The two conditions come after months of negotiations that have been covered by local and international media. Kua said that the non-disclosure and confidentiality agreement would be similar to what ExxonMobil signed and would be valid over the negotiations period.

He also said that they are asking for the ‘people with the highest authority to close a deal’ to come to PNG to negotiate because ‘for them to operate by remote control is confusing the whole process. It doesn’t provide for smooth flow of negotiation.’ The Minister reportedly said that if both deadlines are met, ‘then we’ve got the potential of re-engaging.’ (The National)

COVID-19

PNG Air has suspended flights to Goroka, Eastern Highlands Province, for one week due to a recent surge of COVID-19 cases in the area. The company said in a statement that ‘our call centre team will be in contact with customers who purchased tickets for inbound and outbound Goroka travel for further advisories.’ (PNG Air)

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On 11 October a two-week lockdown was announced for Eastern Highlands Province. The lockdown comes as a response to the increase of COVID-19 cases. A curfew has been imposed and only selected stores are allowed to open between 8am and 2pm. (Post-Courier)

Green energy

Fortescue Future Industries (FFI) and the Queensland Government announced this week the construction of the world’s largest electrolyser as part of FFI’s Global Green Energy Manufacturing Centre. This is stage one of a six-stage project that will establish the first multi-gigawatt-scale electrolyser factory in Australia. (Fortescue)