Prime Minister Hon. James Marape has directed the Department of Mining to return to Kainantu and lead consultations with landowners, the Eastern Highlands Provincial Government, and local district leaders to strengthen the structure of landowner and provincial government benefits in the mining sector.
“The Government will take a submission to Cabinet to review and strengthen how landowner and provincial government benefits are structured under our mining framework,” he said. “As a Pangu-led Government, we remain firmly pro-landowner and pro-provincial government. Those who host mining projects must share equitably in the wealth generated from their land.”
Prime Minister Marape said that under Pangu’s policy, 40 percent of any equity gained by the National Government in a project is passed back to provincial governments and landowners of the mining areas.
“In this context, the current Memorandum of Agreement (MOA) for the K92 Mine will be revisited to ensure fair and transparent benefit-sharing,” he said.
He announced that a high-level interagency team led by the Department of Mining will be assembled to address outstanding land disputes and legacy issues, and to facilitate open dialogue with all stakeholders.
“We must sit down together — landowners, provincial government, district, company, and national government — to find a meeting point where no one is offended,” he said. “As a country that operates under the rule of law, we must never take our disputes to the streets or the bush. The law protects us all.”
Prime Minister Marape drew comparisons with the PNG LNG Project, where billions of kina remain tied up in court disputes, and urged local leaders to prioritise mediation and collaboration.
“We have learned from the LNG experience that court battles only delay benefits,” he said. “Dialogue and consensus will ensure that the people receive what is rightfully theirs.”
The Prime Minister also announced that Cabinet will soon consider a submission to provide special recognition and benefits to Eastern Highlands Province, which he said deserves acknowledgment for hosting one of the country’s most efficient and transparent mining operations.
“Eastern Highlands is paying huge tax revenues through this mine and deserves due respect from the National Government,” he said. “This will be reflected in future Cabinet decisions on mining and petroleum benefit distribution.”
Prime Minister Marape commended Governor Hon. Simon Sia, Kainantu MP Hon. William Hagahuno, and Henganofi MP Hon. Robert Atiyafa for their leadership and constructive engagement, and thanked Australian High Commissioner Ewen McDonald for his continued support to PNG’s mining and governance sector.