Certainly a nice way to have a conference by having it at the Hilton in Sydney. So looks like this year’s 11th PNG Mining Conference is proving to be as big as a Lady Gaga concert in Sydney (well maybe not quite), but the deals would be worth more!
So what’s up in the meet in down under? Somare is hoping (and I hope in conjunction with and in understanding with Momis) that Bougainville Copper Ltd (BCL) will be reopened within 2 years. Reopening alone will cost about $4 billion, so it would be interesting to find out who exactly will own the newly proposed BCL? Will it still be European owned or is Momis looking at new Chinese ownership or a combination of both?
I think Lady Gaga was like 4 years old when the mine was last operational, so its been a long time and allot of blood, sweat and tears have passed since then, but like Lady Gaga, you can dress her up all you like, but its still an ugly situation. You have Momis asking the PNG Govt for money on one end, then Somare’s telling the world the mine in Momis’ backyard will be opening soon? So how does that work?
It’s a nice thought to think that the Autonomous Bougainville Government should control their own destiny and be able to make their own commercial deals to control their own finances, but look where PNG is after Independence. But anyway, lets see how it pans out both commercially and politically, I don’t think its a ‘Bad Romance’ just yet.
Speaking of romance the media’s love affair with LNG news will cetainly continue with the big talk at this year’s meet to be obviously about the PNG LNG project. (You can download copies of PNG LNG speeches here). Our big hope in PNG will also be that we will finally make enough money to look after ourselves without Aid from Australia, but we’ll see how the government goes with its soverign wealth funds.
But of course we can’t let the fame of LNG get to our heads since we do need to maintain a poker face throughout the construction phase. A Dr Fereidun Fesharaki, is warning that PNG needs to lock up its Asian sales quickly because speed will be the only way we can compete against a cheaper LNG producing nation like Qatar who can produce LNG for a quarter of the costs in PNG.
So what else is happening on this Monster Tour? Well as reported in the Post Courier:
“…the first two days of the conference will feature mining sector presentations – PNG’s newest mines including the country’s first nickel production, the world’s first proposal for offshore deep sea mining for high grade seafloor massive sulphide deposits, as well as existing producers, advanced prospects and the exciting progress in the exploration arena. Presentations from the petroleum sector will feature the construction of the prestigious PNG LNG project, progress on other gas proposals, major new gas discoveries and other exploration.
In addition, a session has been dedicated to cover a cross section of landowner business ventures, which demonstrates the resource industry commitment and support for business development opportunities for landowner companies. The size, complexity and success of some of the better established landowner business ventures is a tribute to the progress that has been achieved by the resource communities over time. This is not always understood or acknowledged by some commentators on the resource industry.
The third day, on Wednesday 8 December, features a morning Seminar on Governance and Fiscal Management of Resources Revenues and two parallel afternoon seminars on PNG Petroleum and Mineral Exploration Updates.
The Seminar on Fiscal Management will highlight the success stories with investment funds stemming from resource projects, such as MRL Capital, as well as focus attention on the endeavours for further improvements in wealth management in PNG, such as the Sovereign Wealth Fund proposed by Department of Treasury, and proposals for a PNG Extractive Industry Transparency Initiative. This session will also include presentations from the banking sector and EFIC on their approach to sustainable financing, including social best practice and community welfare.
The Exploration Seminars provide a venue for a large cross section of our exploration sector to present on their activities. The diversity and number of companies clearly demonstrates the vitality and extent of current exploration activities and the presentations will reflect this as they will reveal the progress made on tenements all around the country, including some very exciting results.
The Chamber expressed appreciation for the strong support from a large number of sponsors, trade fair exhibitors and participation.”
SOURCE: POST COURIER/PACNEWS