Forestry Minister unveils plans to ‘take back the forestry sector’, Minister for Fisheries says funding is needed for the Pacific Maritime Industrial Zone and the Chamber of Mines and Petroleum questions gold refinery and mint project in Papua New Guinea. The business news you need today.

Credit: Cloudy Bay Sustainable Forestry

Forestry

There are plans to introduce downstream processing in PNG with a focus on developing reforestation and plantation, reports The National. Minister for Forestry Walter Schnaubelt reportedly said the government is trying to ‘take back the forestry sector’ and that new logging permits would only allow for 50 per cent for exports.

‘There will be disgruntled developers because most of them would want 100 per cent export but under the agreement for permit, it clearly stipulated that 20 per cent must be down streaming processing.’

Fisheries

Minister for Fisheries, Dr Lino Tom, told Parliament that the Pacific Maritime Industrial Zone (PMIZ) ‘will get off the ground’ next year, but that more than K1.2 billion in funding is needed for the project. He said reportedly said that the National Fisheries Authority ‘has put aside some money to start with feasibility studies and do designs.’ The annual direct return of the PMIZ is expected to be between K1.5 to K2 billion at full capacity. (Post-Courier)

Gas & petroleum

During last week’s parliamentary sessions, Prime Minister Marape explained that the State Negotiating Team is still working through the P’nyang agreement with ExxonMobil. He said ‘the state negotiating team is working to ensure the gas agreement is delivered to the investors on what we want.’ The PM also suggested that, between them, the Papua LNG and P’nyang will take about eight years for construction, from 2024, when the Front-End Engineering Design phase of the Papau LNG project is completed, to 2030. (Post-Courier)

Aviation

Air Niugini announced on 17 November that its Fokker jet services to Madang have resumed. The services were temporarily interrupted because of runway maintenance works by the National Airports Corporation. (AirNiugini)

National

The establishment of a gold refinery and mint facility in Port Moresby has been put into question by the PNG Chamber of Mines and Petroleum. The Chamber said that a gold refinery and mint facility could have ‘serious impacts on our country’s status as an attractive investment destination for mineral exploration’ and that a consultation is essential. The Chamber said: ‘There has been no consultation with industry about the proposed project, therefore, the industry and the business community in the country do not know the full implications of this project.’ (Post-Courier)

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During the Third Clean Pacific Roundtable, plans for the TWM Roku Integrated Waste Management Plan in PNG were announced. Under the TWM Group, a local company providing waste, water and industrial services, the facility will expand on TWM’s processes to reuse, recover and treat waste and ‘will be able to handle up to 150,000 tonnes of commercial and industrial waste of the facility life of 50-plus years.’ (Secretariat for the Pacific Regional Environment Programme)

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The 2022 Budget has been delayed and will now be delivered on Thursday 25 November. Post-Courier reports that the delay is linked to the malware attack the government’s system, including the Integrated Finance Management Systems, suffered last month. (Post-Courier)

Ports

New essential port services tariffs as well as 2020 non-regulated and pilotage services tariffs will be implemented from 1 January 2022. The new rates for non-regulated services, however, haven’t been determined, reports The National.

Agribusiness

Seven financial institutions, including Bank South Pacific, Mi Bank, Women’s Micro Bank and Nasfund Contributors Savings and Loan Society, have signed a memorandum of understanding with the Centre for Excellence in Financial Inclusion and the Market for Village Farmers Project to develop financial products to help village farmers in Western Highlands, Jiwaka, Chimbu, Eastern Highlands, Morobe and East New Britain. (The National)