HPL, Marengo rated highly in copper scene

By SINCLAIRE SOLOMON

 

INVESTMENT broker Evans and Partners has described Highlands Pacific and Marengo Mining as among exciting “new kids on the block” in the copper sector of the Australian market, The National reports.

Looking beyond the three major pure copper producers in Australia, the broker highlighted opportunities among the junior producers, namely Highlands Pacific, Marengo, Intrepid Mines and Sandfire.

However, it said Indonesia was not as pro-mining as neighbouring Papua New Guinea where the Highlands Pacific and Marengo had large scale porphyry copper projects while Intrepid Mines had its projects in Indonesia.

Sandfire has a higher grade copper project in DeGrussa, Australia, it noted.

“As expected given the long term and capital intensive nature of development, the porphyries are trading at a greater discount to valuation,” Evans and Partners said in a report released last week.

It said that while Highlands Pacific remained its preferred copper producer among the junior sector, Intrepid Mine also featured as an interesting producer, “with a large discount to valuation and strong exploration upside, but with a higher risk profile due to location within a protected forestry region in Indonesia”.

Highlands Pacific has a 18.8% interest in Frieda copper project in Ambunti-Dreikikir electorate, East Sepik, being developed by Xstrata as well as interest in Ramu nickel and cobalt project being developed by RamuNiCo in Usino-Bundi electorate, Madang, and exploration in the Star Mountains of North Fly, Western.

Marengo Mining has a 100% stake in the Yandera copper and molybdenum project in Usino-Bundi electorate, Madang.

Evans and Partners said that a positive for the project was that a Chinese off-take partner might take a stake.

It is a three-million tonne  attributable copper resources and has a production timeline from 2015.

The broker also noted that Yandera was a very large scale project, unusual for a junior to retain a majority stake in such a large project.

Research analyst Cathy Moises said: “Looking at key supply/demand metrics, we feel over the next decade supply is likely to exceed demand for copper which may lead to price weakness in later years.”

 

Student dies in police cell

By ELIZABETH VUVU

 

POLICE officers who fired tear gas and stormed into the male dormitory at a boarding educational institution are being questioned over the death of a student, The National reports.

The incident happened last Friday at the Kokopo Business College in East New Britain.

In retaliation, the students later burnt down the administration office building and, among other things, damaged the principal’s residence.

Provincial police commander Sylvester Kalaut said he was aware of the accusation of police brutality levelled against his officers.

He said the officers involved were being questioned.

The final-year management student, who died on Saturday morning, was identified as Stanis Jiki.

Deputy principal of the college John Karis said the police officers went into the school premises last Friday night after receiving a complaint.

He said they fired tear gas, went into the male dormitory and questioned Jiki, a student from East Sepik.

Karis alleged that they also beat him up.

Karis said the officers then took Jiki and three other male students to the Kokopo police station.

Jiki died in the early hours of Saturday morning.

Karis said he broke the news to the campus and then warned the principal to vacate his house be­cause he suspected that the students were likely to retaliate.

Karis said he then fled the campus with his family.

The students later went on a rampage, damaging the principal’s house and setting fire to the administration block comprising 11 rooms.

They also destroyed the school’s internet server and broke into the computer laboratory, taking out computers and throwing them over the school fence.

Two fire trucks arrived at the scene later but could not put out the fire.

On Saturday morning, female students were seen leaving with their belongings to stay with relatives and friends outside the college premises.

Kalaut said 50 students had been taken in for questioning.

He said some would be used as witnesses while others would be charged with arson and causing a riot.

Opposition slams deferral of parliament

By JEFFREY ELAPA

 

THE adjournment of parliament for five weeks is designed to avoid issues affecting the country, Opposition parliamentarians said, The National reports.

When parliament re­sumed last Friday, leader of government business Paul Tiensten moved that it be adjourned until Aug 2.

He said that parliament should not be allowed to continue be­cause no water was supplied to the house when one of the main pipes from the main water supply at Mt Eriama was broken.

He said the air-conditioning units depended on water.

With no water, the units would not function properly, making it un­comfortable for those in the chamber.

The opposition called for a division, but Speaker Jeffery Nape, who had been absent for the past two weeks, ruled in favour of the go­vern­ment.

Led by former deputy Opposition leader and member for Lae Bart Philemon, the MPs ac­cused Nape of taking sides and “hijacking the parliamentary process”.

Nape then told Philemon not to point fingers at him and to respect the chair.

“You do not point at the chair.

“You are discrediting the chair,” Nape said.

Philemon yelled back, telling him that he was not being fair and that he (Nape) was to be blamed for hijacking the parliamentary democratic pro­cess by collaborating with the government as he was a member of the ruling National Alliance party.

Soon after parliament was adjourned, the opposition called a press conference where they accused the government of planning the adjournment “to avoid issues facing the country”.

The issues, they said, included:

*Revelation of the corruption and misuse of public funds at the National Planning office by secretary Joseph Lelang;

* Health status of Prime Minister Sir Michael Somare; and

*Protest march and petition by the public led by NGOs last Thursday.

Deputy Opposition leader Sam Basil said: “The speaker is creating divide and rule tactics.

“It is an absolute hijacking of the process when a division is called.”

Moresby Northwest MP Sir Mereke Morauta said: “This go­vernment is morally corrupt.

“There is no reason why parliament should be adjourned.

“They want to run away from issues.”

Anglimp-South Waghi MP Jamie Maxtone-Graham said: “This go­vernment is run by a mad leader.”

Nasfund contributors assured of security

By JEFFREY ELAPA

 

ACTING Prime Minister and member for Wabag Sam Abal has assured the 40,000 contributors of Nasfund that their superannuation savings will be protected, The National reports.

He said he would not allow their lifetime savings to be burnt for a second time.

Abal assured unions that his priority (as prime minister) “is to protect contributors’ funds from being unscrupulously swindled by persons and institutions entrusted to protect their superannuation savings”.

“We are talking about an issue that is significant to ordinary Papua New Guineans, many of whom are contributors to Nasfund, the hardworking people of this country,” he said.

“I want to assure the contributors that I will deal with the matter of interest to them based on advice that is consistent with the laws of our land, particularly the Superannuation Act regulating the industry.

 “To my knowledge, the same contributors who tirelessly work for their living by allowing their savings to grow in superannuation funds such as Nasfund, have been burnt before.

“They have lost a considerable amount of their hard-earned savings, which has not been recovered.

“My interest right now is to protect the contributors’ funds.

“I refuse to stand here and condone sinister activities, especially by those in-the-know and allowing this same group of contributors to be burnt twice over.

 “There are many issues arising in relation to the transaction. However, in this instance, I must make sure that their exposure is mitigated.

“I intend to make sure that contributors will not be in any worse position than they were prior to this transaction,” he said.

Abal said the controversy warranted him taking some immediate remedial measures.

He said he was aware that the Central Bank, as regulator of the superannuation industry, had made some findings with certain recommendations based on these findings.

“Additionally, I am aware of the calls by the unions concerned to have certain persons involved in the unpopular deal removed.

“I will be pooling these findings and views of the unions, as well as information available to government together to form the basis of a decision whether to call an inquiry into the matter,” Abal said.

Former treasurer Peter O’Neill had earlier revealed that the transaction was illegal and that the report would be presented to parliament by the acting prime minister.

United Resource Party sacks Agiru

THE United Resource Party caucus has sacked party founder and Southern Highlands Governor Anderson Agiru, The National reports.

The expelling of Agiru and Komo-Margarima MP Francis Potape stemmed from their alleged involvement in the sacking of URP leader William Duma as petroleum and energy minister.

URP leader and Hagen MP Duma and deputy leader and Eastern Highlands Governor Malcolm Kela-Smith announced in a short statement yesterday.

“The United Resource Party wishes to announce that on Friday, June 17, the URP parliamentary wing unanimously resolved to expel Anderson Agiru from membership of the party effective June 17.”

Duma said there were many reasons but they were “internal party matters that are best kept away from the public domain”.

Duma said there were several reasons for the expulsion of Agiru but the main reasons were his continued and persistent efforts to undermine the URP leadership, the party and its activities and his conduct and behaviour resulting in the his (Duma’s) sacking as minister for petroleum and energy.

“Despite numerous attempts to get Agiru and Potape to a meeting, they have been actively involved in my removal as minister,” Duma alleged.

“The URP parliamentary wing and party executives thank Agiru for his valuable contribution towards the development of URP as a partner in the NA-led coalition government and wish him well,” Duma added.

Kela-Smith said the URP was a disciplined party and Agiru had his own agenda and “continues to undermine the party leadership”.

With the sacking of Agiru and Potape, “the party is now solid with nine MPs siding with Duma and Kela-Smith”.

Duma said a letter outlining the reasons for the expulsion of Agiru had been given to him and signed by parliamentary wing members, including Dei MP Puri Ruing, South Bougainville MP Steven Kama, Middle Fly MP Roy Biyama and Kagua-Erave MP James Lagea.

He said the minutes of the meeting were attached to the letter of notice to Agiru.

When contacted last night, Lagea denied there was any caucus meeting last Friday and said he was not a signatory to the decision to expel Agiru.

Environment and Conservation Minister Benny Allan, who is the MP for Unggai-Bena, said he was not aware of the decision to sack Agiru from the party.

Family of victim wants Abal to pay

Caption: Theo Abal in court ... Theo Abal, the adopted son of Acting Prime Minister Sam Abal, is escorted out of the Waigani District Court by a police prosecutor. Theo, who was charged with the June 13 wilful murder of a Port Moresby waitress, made his first appearance in court yesterday. The family of Theresa Ori Taisu, a mother of four children, will petition the acting prime minister for compensation. – Nationalpic by EKAR KEAPU

 

By JUNIOR UKAHA and SAMUEL RAITANO

 

ACTING Prime Minister Sam Abal will be petitioned by the family of the woman whose body was found in his compound to pay them compensation, The National reports.

This came after his adopted son, Theo Abal, who police had arrested in connection with the woman’s death, appeared in court yesterday charged with wilful murder.

The family said Theresa Ori Taisu, who was allegedly killed on June 13, was the mother of four children who had been struggling to pay for their school fees.

A family spokesman Kakaito Kasi said the family had prepared a petition to give to the acting prime minister.

“We want him to compensate us for the death of Theresa. Her death has put unnecessary financial strain on us,” he said.

Kasi said the family had to dig deep into their pockets to meet obligations at the haus krai since last Friday.

He said the family wanted Abal to:

*Compensate the deceased’s children for the death of their mother;

*Compensate the family for the killing of their daughter and sister;

*Meet all haus krai costs and the costs of repatriating her body back to Karaeta village; and

*Reimburse the family for money spent on haus krai expenses.

Kasi said the family wanted to meet Abal to give him their petition.

He said they did not know why she was killed.

“We only learned of her killing through the media and went to the morgue last Friday to identify her,” he said.

He said at the time of her death, she had been living with a friend at Gerehu and worked as a waitress at the Sunset Lodge at Ela Beach.

He said Taisu’s children were in the village with Yeare Ori Taisu, seven, and Atu Ori Taisu, six; doing elementary at the Ila Karaeta Primary School in Kerema town.

Kasi said Theresa was a divorcee and the second child in a family of five sisters.

Theo made his first appearance at the Waigani District Court yesterday.

Theo, 21, from Pawas village in Enga, was charged by police last Friday.

Magistrate Cosmas Bidar told Theo in court that the maximum sentence for the offence was the death penalty.

Theo was read the charges against him before being escorted out of the courtroom.

The court ordered that Theo be remanded in custody at the Bomana prison and will appear in court again on July 21.

Reshuffle in cabinet

Leader of major coalition partner, O’Neill, dumped

 

A MAJOR cabinet reshuffle, announced by Acting Prime Minister Sam Abal last night, was done with election 2012 firmly in mind, The National reports.

It places the ruling National Alliance party in charge of the three most important positions – that of the prime minister, deputy prime minister and finance and treasury with the general election 12 months away.

With Prime Minister Sir Michael Somare on extended sick leave and was unlikely to return to the job, Abal had used the reshuffle to place the ruling National Alliance firmly in charge leading into next year’s general election.

The reshuffle saw the leader of major coalition partner, the People’s National Congress’ Peter O’Neill dumped from finance and treasury and the re-entry of Momase NA deputy leader Patrick Pruaitch to his old job.

O’Neill had been consoled with Abal’s ministry of works and transport.

O’Neill is the second coalition leader to be so treated.

Two weeks ago, the leader of the second biggest party in government, United Resources Party’s William Duma, was dumped from the petroleum and energy ministry.

The ministry was yesterday given to Francis Potape, who was purportedly sacked from URP last week.

Foreign affairs, trade and immigration, vacated by the decommissioning of NA highlands deputy Don Polye, goes to former agriculture and livestock minister Ano Pala (NA southern).

Pala’s old job had been given to Lagaip-Porgera MP Philip Kikala (NA highlands).

Potape’s old post as minister assisting the PM on administrative matters had gone to Alotau MP Charles Abel (NA southern), who voluntarily left the culture and tourism ministry to support Sir Puka Temu’s failed bid to oust Sir Michael last year.

Abal expressed full confidence in his new ministers, saying he believed that with his new team, stability and cohesion within government would be sustained including consistency in policy implementation.

“I have full confidence in the new ministerial line-up,” he said in a statement last night.

“I congratulate all of them and expect their full cooperation and dedication to the service of our people,” he said.

The URP is a divided house with a Duma faction and another faction supporting Southern Highlands Governor Anderson Agiru.

The Duma faction yesterday also announced the sacking of Agiru but, in the reshuffle, it would appear Abal is siding with the Agiru faction in recognising Potape.

Still, the URP is one ministry short (Potape’s old job).

There was intense lobbying ever since the sacking of Duma and Polye for replacements but Abal was understood to have been consolidating his position and, particularly, strategising on how to place his party on a firm footing for the elections.

The fallout today will be noisiest from Abal’s own highlands region.

The Duma and Polye sackings had brought loud protests from Western Highlands and Enga.

Abal had added Southern Highlands with the demotion yesterday of PNC leader and Ialibu-Pangia MP O’Neill from the coveted finance and treasury ministry.