A project to build a refinery and mint facility in Port Moresby could put Papua New Guinea on the ‘world gold map’, Bougainville to receive K50 million electricity support package, and new agribusiness development in Western Province. The business news you need today.

Prime Minister Marape and Governor-General Sir Bob Dadae toast to the occasion at Government House. Credit: PM James Marape News Page

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Last week, the State and Refinery Holdings Ltd signed an agreement to build a refinery and mint facility in Port Moresby. The facilities, which will be built on land leased within the LNG and Petroleum Park, and at Jacksons International Airport, is designed to put PNG on the ‘world gold map’. Prime Minister Marape said ‘the project will ensure that we account for all gold produced in PNG and export out finished products for companies and individuals who are in the gold industry.

‘For the first time, PNG will be recognised on the world stage, including by international refined gold regulatory bodies, such as the London Bullion Market Association.’ (PM James Marape News Page)

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Oil Search has announced the First Court Hearing towards its proposed merger with Santos has moved from ‘on or around’ 27 October to 10 November. (Oil Search)

Agribusiness

North Fly Agro Ltd is a new entity that aims to drive agribusiness development in Western Province. One hundred and fifteen wards in the North Fly district are participating in this venture, which has been described as a one-stop shop to help agribusinesses in the area.

The CEO is Nawani Devet and the General Manager is David Pepo. Devet reportedly said: ‘It will be the vehicle driving agribusiness pillar on behalf of NFDDA [the North Fly District Development Authority] doing actual implementation and delivery of agricultural products to farmers and creating income for our people. It will be an entity that stands out of government influence purely delivering infrastructures.’ (LOOP PNG)

Bougainville

Australia’s High Commissioner in PNG Jon Philp and the Minister for Technical Services of the Autonomous Bougainville Government, Joseph Kim Suwamaru, announced upgrades to the PNG Power electricity grids in Buka and Arawa. Credit: Australian High Commission PNG via Facebook

The Autonomous Region of Bougainville will benefit from a K50 million electricity support package from the Australian Government. The package will be implemented over the next 18 months and will see the ‘immediate hire of new generators for [the electricity grids in] Buka and Arawa’. A feasibility study will also be conducted to help to deliver long term solutions for Bougainville. (Post-Courier)

Banking

Kina Bank is processing nearly K3 million from the K50 million it allocated for its SMEs concessional loans earlier this year. Post-Courier reports the bank has simplified the requirements to help even more small businesses.

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BSP Financial Group Limited announced its unaudited Q3 results for 2021. The bank announced a net profit after tax of K698 million despite COVID-19 challenges. (BSP Financial Group)

State-owned enterprises

PNG Ports and Motor Vehicle Insurance Limited (MVIL), two state-owned enterprises, presented last week dividends for the fiscal year ending 2020 and 2021 respectively. MVIL presented a cheque for K42 million and PNG Ports presented one for K21 million. MVIL Managing Director reportedly said ‘for this year, we managed to earn a net profit before tax of K84 million paying dividends of K42 million to the Government through its custodian the Kumul Consolidated Holdings Limited.’

The Chairman of PNG Port’s Board said ‘even though the current economic conditions are tough, coupled with the pandemic and the unstable performances in the overall throughput volume at the ports, we have performed well.’ (Post-Courier)

Climate

The Minister for Environment and Climate Change, Wera Mori, arrived in Glasgow last week for the 26th Conference of the Parties (COP26) Leaders’ Summit. Mori is leading the PNG delegation and is expected to meet with British PM Boris Johnson, Australia’s PM Scott Morrison, and Yannick Glemarec, Executive Director of the Green Climate Fund. (Prime Minister Office & NEC)

Development partners

The US Embassy in Port Moresby announced last week that the American Chamber of Commerce, or AmCham, will be established in PNG soon, helping to ‘grow the economy, promote foreign investment, and build stronger ties between US and Pacific companies.’

The USAID (United Stated Agency for International Development), through its US-Support for Economic Growth in Asia project, is helping in the establishment of an AmCham in the country. (US Embassy in PNG)

Government

The government’s financial system has been ‘fully restored’ following an ransomware attack by hackers last week, which compromised the Department of Finance’s IT network. ‘Government financial services will continue as usual,’ assured Minister for Finance, Sir John Pundari. (Department of Finance)