PM MARAPE SAYS PORGERA COMMUNITY DEVELOPMENT AGREEMENT TO BE CONCLUDED BY DECEMBER 2025

Prime Minister Hon. James Marape has assured the people of Porgera‑Paiela District and Enga Province that the Community Development Agreement (CDA) for the New Porgera Mine will be concluded before the end of this year, enabling the release of substantial benefits currently held in trust for landowners and the Enga Provincial Government.

Responding in Parliament to questions from the Member for Porgera‑Paiela, Hon. Gideon Maso Karipe, the Prime Minister addressed long‑standing concerns about landowner benefits, outstanding commitments, and the delayed resettlement of communities within the Special Mining Lease (SML) zone.

Prime Minister Marape said he is personally responsible for ensuring the CDA is finalized, as he is the Minister responsible for Mining.

He confirmed that Cabinet has approved the benefit-sharing template and that consultations between the State, Enga Provincial Government, landowner representatives, and New Porgera Limited are approaching completion. Once Parliament rises, he will meet directly with provincial and landowner leaders to finalise the CDA.

He reaffirmed that more than K200 million in benefits — including equity-related funds for Enga Province and landowners — are securely held in trust and will be released as soon as the CDA is completed. “Under the new Porgera equity arrangement, Papua New Guinea now controls 51 percent of the mine, with 15 percent allocated directly to Enga Province and landowners,” he said.

Prime Minister Marape noted that New Porgera is already delivering significant returns. The latest public disclosures show NPL declared a first-quarter 2025 dividend of USD 80 million and a second interim dividend of USD 150 million. Con- verted to Papua New Guinea Kina (assuming roughly USD 1 = PGK 4.02 — the approximate current exchange rate), these dividends correspond to around K 321 million (Q1) and K 617 million (interim) respectively.

He emphasized that these returns mean tangible, immediate value for host communities if benefit-sharing is properly implemented. Additional tax credit funding is being negotiated with NPL to support critical development projects in Enga.

The Prime Minister also highlighted the broader financial contributions and commitments of New Porgera:

NPL paid PGK 258 million in corporate tax to the Internal Revenue Commission in Q2 2025, bringing total tax payments for the first half of the year to over PGK 456 million.

The government has committed a total of K 700 million to Infrastructure Development Grants (IDG) and resettlement programs for communities and land- owners under the SML.

Infrastructure Development Grants (IDG) have resumed — having restarted last year — and will continue in 2025. Prime Minister Marape said, “These funds, along with Business Development Grants (BDGs) and tax-credit allocations, will help settle long-standing obligations inherited from previous mine arrangements.”

On the sensitive issue of resettlement, the Prime Minister pledged that “long outstanding issues will now be resolved.”

He underscored the urgency of relocating communities living dangerously close to or inside the SML area — including villages such as Karik and Kulapi — to safe, permanent settlements outside the mining boundary, complete with housing and essential services.

He said, “The State, Enga Provincial Government, and New Porgera Limited will collaborate closely to ensure this resettlement occurs in a fair, respectful, and timely manner.”

Prime Minister Marape acknowledged the leadership of the Member for Porgera-Paiela, the Enga Governor Sir Peter Ipatas, the Enga Provincial Government, and the late former MP Maso Karipe Senior for their efforts on Porgera matters over the years.

He reaffirmed that the government remains committed to delivering fair, transparent, and timely benefits to the people of Porgera and Enga Province.

“As such, I will personally oversee the completion of the CDA and the resettle- ment programme, and I state that the people of Porgera deserve the justice, safety, and development they have long awaited,” he said.

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