Thursday, July 17, 2014

PNG fraud squad arrest police commissioner's lawyer Sam Bonner

ABC

A lawyer representing Papua New Guinea's new police commissioner has been interviewed by fraud squad officers on suspicion of misappropriation.
The fraud squad in Papua New Guinea has arrested a lawyer acting for the country's police commissioner, accusing him of stealing and money laundering.
Sam Bonner was arrested outside the National Court House in Port Moresby by police investigating corruption allegations against Prime Minister Peter O'Neill.
Mr Bonner has been assisting newly-appointed Police Commissioner Geoffrey Vaki in his attempt to set aside arrest warrants for the premier.

 

Mr O'Neill was issued with an arrest warrant in June after the country's anti-corruption agency Taskforce Sweep accused him of authorising fraudulent government payments to law firm Paraka Lawyers.
PNG correspondent Liam Cochrane says the fraud squad interviewed Mr Bonner to try to lay charges of stealing, conspiracy to defraud and money laundering.
"The fraud squad are alleging that Mr Bonner is involved in the Paraka legal corruption scandal, saying he was a conduit for money that was improperly gained," he said.
"The way [his arrest] took place was rather dramatic.
"There was an attempt to arrest Mr Bonner, he resisted and the fraud squad officers used force and physically detained him.
"There was quite a scuffle. I think he was injured slightly and perhaps some of the police officers were also injured."
Mr O'Neill, who created Task Force Sweep in 2011 to investigate the Paraka case, dismantled the watchdog last month after being served with an arrest warrant for corruption.
The arrest warrant has been deemed valid by the National Court, but Police Commissioner Vaki - recently appointed by Mr O'Neill in the wake of the corruption scandal - has said he will not be arresting the prime minister.
Liam Cochrane says fraud squad officers who arrested Mr Bonner on Wednesday are operating on their own terms and not in line with the instructions of Mr Vaki.
"This is concrete evidence of that fractionalisation within the police which is broadly those who are in favour of going after the prime minister's arrest warrants... squaring off against those who have aligned themselves with the new Police Commissioner Vaki, who are more interested in protecting the prime minister."

Papua New Guinea: Many women abused, few dare to speak up

By Mathias Eick

New Years’ Eve 2014 was not a cause for celebration for Mona, a 22 year-old villager from northern Papua New Guinea. Her farther who suffers from alcohol addiction repeatedly assaulted her sexually and violently. Fearing for her life she ran to her aunt in a neighbouring village. Fortunately for Mona, her aunt had heard of a new facility, the Family Support Centre (FSC), at the local hospital in nearest town Maprik, where Mona was able to get proper treatment.
 
Six months after the terrible incident, I met Mona at the FSC in Maprik, run by Médecins Sans Frontières (MSF) Holland. This quiet young woman was brutally honest about her experience. Although her physical scars had healed well, she was still too afraid to return to her home village, fearing further attacks by her father. “Men get drunk and then they beat women or children,” she explains. “They just think that because they are men they can do anything they want.”
Indeed, Mona is not alone in her fears and experiences. MSF confirms a horrifyingly wide spread of sexual and gender-based Violence. According to a recent UN study, one in five women’s first experience of sex was rape, 30% of men had experienced sexual abuse as children and 12% had been forced into sex as a child. MSF, nurses and doctors have treated more than 18,000 victims of sexual and gender-based Violence since December 2007.
These figures become stark reality when interviewing young brave women like Mona who are willing to speak of their ordeal. But even during the interview there was a sudden commotion in the FSC. The nurses rushed to the entrance as a woman stumbled in the clinic, her shirt blood-soaked from a bad wound to her head. Quickly the nurses treated her physical wounds. The victim explained that her husband hit her with a rock at the market in an alcohol-fueled rage.
The FSC acts as a “one-stop” service centre for victims of such violence, able to immediately provide medical first aid, preventive measures against sexually transmitted diseases (STDs) like HIV, emergency contraception and psycho-social assistance. The FSC have been so successful that the National Department of Health – in close collaboration with the World Health Organisation (WHO), MSF and other partners – decided to provide intensive attachment training on how to set-up and run much-needed medical emergency services for survivors.
This crisis in Papua New Guinea is hardly noticed outside the country. The European Commission's Humanitarian Aid and Civil Protection department (ECHO) decided to support MSF-Holland in establishing Family Support Centres in 2014 with a grant of € 1.5 million. “The funds are being used to support local medical staff and institutions on how to treat victims of sexual- and gender-based violence and run these centres efficiently” MSF’s Elisa Galli explains. “This will help guarantee that the service will continue once we hand over to the local authorities.”
Much progress has been made not only in trying to treat the victims of this violence but also in addressing its causes. This includes a stringent Family Protection law, passed by the Papua New Guinean government in September 2013. Furthermore, country-wide information campaigns are trying to influence men’s attitudes and behaviours. Not soon enough for the thousands of women such as Mona who live in fear…
Mathias Eick, Regional Information Officer, South-east Asia and the Pacific, European Commission Humanitarian Aid and Civil Protection deparment (ECHO)

Japan's Prime Minister visits Papua New Guinea

By Will Morrow

Japanese Prime Minister Shinzo Abe’s spent two full days in the resource-rich South Pacific nation of Papua New Guinea (PNG) last Friday and Saturday, underscoring the geo-strategic ambitions behind his government’s decision to “re-interpret” Japan’s constitution to enable the country’s armed forces to engage in overseas military operations.
ABE
Abe was accompanied by a business delegation of more than 150 people on the first visit by a Japanese PM to the small country in three decades. Abe’s tour, which also included New Zealand and Australia, came days after his announcement of a constitutional “reinterpretation” aimed at removing any obstacle to the re-emergence of Japanese militarism. A major component of that strategy means securing energy supplies.
Japan was the first buyer from ExxonMobil’s just-completed $US19 billion liquefied natural gas project in PNG, which is expected to produce 255 billion cubic metres of LNG over the next 30 years. Abe told the Port Moresby Post-Courier before his visit that “the government of Japan regards the LNG development project as one of the priority areas of our bilateral cooperation.”
Another major Japanese business interest in PNG is a plan by Mitsubishi Corporation and Itochu to develop a $1 billion petrochemical plant. According to the Australian, the Japanese business delegation accompanying Abe included the chairman of JX Holdings, the parent company of Nippon Oil, which owns 4.7 percent of PNG LNG. In addition to a $197 million pledge of government aid, Japan is offering PNG low-interest loans from the Japan Oil, Gas and Metals National Corporation.
As the Australian noted, the prospect of ongoing LNG imports from PNG “holds special appeal for Japan, since 60 percent of its gas imports presently have to traverse the increasingly disputed South China Sea.” The South China Sea has been the stage of increasingly tense territorial disputes, fomented by the United States, between China and the Philippines and Vietnam.
While China was not publicly mentioned during Abe’s PNG visit, commentators said the trip sent a message to Beijing. “This visit is a big signal to the region, and also to China, that Japan still has a stake in the region,” Jenny Hayward-Jones, director of the Myer Melanesia Program at Australia’s Lowy Institute, told the Australian Broadcasting Corporation. “Its trade and investment interests are strong, and it has a political interest if its prime minister is prepared to spend two days in PNG and bring a huge delegation with him.”
Abe declared Japan’s “determination to even more actively contribute to ensuring peace, stability and prosperity in the international community, including the Pacific regions.” Washington has used similar words to justify its “pivot to Asia”—a systematic military, diplomatic and economic build-up aimed against China.
Well aware of the deep antiwar sentiment and opposition to the constitutional reinterpretation in the Japanese working class, Abe also sought to use the PNG visit as a platform to promote patriotism and reverence for Japanese soldiers killed in World War II.
Abe conducted a stage-managed trip to Wewak, where he visited the Brandi battlefield and a war memorial for Japanese troops. PNG, where about 200,000 Japanese soldiers died, was the scene of some of the most terrible fighting of World War II.
Abe vowed never to “repeat the horrors of war,” telling reporters: “I pledged in front of the spirits of the war dead that Japan wants to be a country that thinks about world peace with its friends in Asia and around the world.” Yet, he clearly glorified the military campaigns of World War II. According to the Japanese public broadcaster NHK World, Abe said Japan’s present-day prosperity was based on the troops who sacrificed their lives.
Abe also visited Cape Wom, the site of the Japanese army’s surrender in PNG, and reportedly secured an agreement with PNG Prime Minister Peter O’Neill for the return of soldiers’ remains to Japan. This will lay the basis for a series of militarist reburial ceremonies, designed to overcome popular hostility to preparations for another war.
Abe’s comments are in line with his administration’s efforts to whitewash the crimes of Japanese imperialism, including the Japanese army’s use of sex slaves, or “comfort women,” during World War II, and the Nanking Massacre of 1937, in which up to 300,000 Chinese civilians and soldiers were killed.
Because of its energy and mineral resources, and strategic location, PNG, a longtime Australian colony, is being drawn into the firing line of the mounting tensions between the US, China and Japan.
The strategic significance of the ExxonMobil LNP plant was highlighted in 2011, when then-US Secretary of State Hilary Clinton accused China of seeking to undermine the US grip over the project. She told the Senate Foreign Relations Committee that the project was an example of the competition underway between China and the US.
Referring to the gas supplies at stake, she asserted: “ExxonMobil is producing it. China is in there every day, in every way, trying to figure out how its going to come in behind us, come in under us.” She declared it would be “mistaken” to think the US would retreat from “the maintenance of our leadership in a world where we are competing with China.”
So far, Washington has encouraged the unshackling of Japanese militarism, as part of its build-up against China. But US and Japanese imperialism fought for control over PNG, and the entire Asia-Pacific region, in the last world war. The re-emergence of Japanese militarism and its quest to secure access to energy and other critical resources once again poses the question of which imperialist power will dominate the region and, in particular, subjugate China.

Tuesday, July 15, 2014

Exxon partner is confident about LNG project in Papua New Guinea


Australia's Oil Search says expansion is probably warranted






SYDNEY—A partner in Exxon Mobil Corp.'s XOM +0.92% Papua New Guinea natural-gas project said it is confident that enough new gas will be found in the country to justify a significant expansion of the project's processing facilities.
Exxon's biggest partner in the project, Australia's Oil Search Ltd. OSH.AU +0.63% , said sufficient natural gas probably exists in the country's highlands to warrant adding at least one refrigeration unit, known as a train, to chill natural gas into liquid so it can be exported to fast-growing markets in Asia.
Any major boost to the liquefied natural gas produced in Papua New Guinea promises to be a vital new source of profit for Exxon, which is attempting to arrest three years of falling production.
Expansion also would prove a windfall for Papua New Guinea's developing economy.
"By the end of the year, I think we'll have a pretty good idea as to the size and shape of the Hides field" in the highlands, said Oil Search Chief Executive Peter Botten.
A large increase in the amount of LNG pumped into Asia would make the gas market more competitive by creating a new source of supply for buyers in places such as Japan, South Korea and China.
The US$19 billion Papua New Guinea project began exporting chilled natural gas in May, putting the impoverished nation into the global energy market about three months ahead of schedule. The project's two existing trains are capable of producing 6.9 million metric tons of LNG a year, equivalent to about 8% of Japan's total LNG intake last year.
Exxon's oil and gas production has fallen since 2010 as the industry generally has struggled to find big deposits in countries that aren't hostile to foreign investment. The Papua New Guinea development is a key part of Exxon's efforts, along with exploration in Asia and projects in Canada and Russia, to improve performance.
The prospect of adding new refrigeration units to LNG projects is appealing to producers because costly infrastructure, such as pipelines, roads and storage tanks, has already been installed. Expanding processing is therefore a relatively inexpensive way to boost production.
Still, expanding the project would bring more LNG into the market, potentially driving down prices for producers such as Exxon, Chevron Corp. CVX +0.61% and Royal Dutch Shell RDSA.LN +0.73% PLC. Supplies in Asia are already expected to rise substantially in the coming years as a result of the U.S. shale-gas boom.
Papua New Guinea operators have an advantage over LNG developers in places such as Australia, where labor is more expensive. Buyers are also eager to diversify their supply sources to protect against the possible disruptions.
John Hirjee, an analyst at Deutsche Bank, estimated that Exxon's plant in Papua New Guinea will generate a return on investment of 19% over its life, potentially making the project one of the most lucrative in the Asian-Pacific region.
For Oil Search, which recently began exploring for oil in Iraqi Kurdistan, adding a third processing unit could be a quick way to increase earnings as investors question how it will maintain sharp gains in its stock price. The company's shares have almost doubled in price in the five years since construction on the LNG project began.
For Papua New Guinea's government, a decision to invest in new processing facilities would inject much-needed cash into the economy. Spending on the foundation stage of the project is already set to more than double the country's gross domestic product, according to some estimates.
Large investments in the country have led to quarreling between tribal landowners and lawmakers over how the proceeds should be divided.
Oil Search's Mr. Botten, a longtime resident of the country, said he was optimistic that rewards from the project would be distributed equitably. "The government has made the right moves in terms of setting up sovereign-wealth funds and various mechanisms for benefits distribution, but it's early days," he said. "Part of the solution is that the private sector works with government to help deliver services like health."
The country's high proportion of people with AIDS—as much as 0.7% of the nation's adult population, according to some estimates—is of particular concern.
Write to Ross Kelly at ross.kelly@wsj.com 

Lessons from the 1991 South Pacific Games

In light of the Melanesian Festival of Arts and Culture, and the forthcoming PNG Games in November and Pacific Games next July, we should take some lessons from the past. 
Last November, while back home in Lae, I had a long discussion with 1991 SP Games chairman and former Lae MP Bart Philemon (that's us pictured) about the lessons we can learn for 2015. 

Philemon, who spearheaded the most-successful games ever at a cost of only K30 million (and refused a knighthood for it), says it is imperative that facilities and athletes are prepared in time for the K1 billion 2015 games in Port Moresby.
“Our main concentration for the (1991) Games was to get the venues ready, and making sure that athletes were well trained for the games,” Philemon told me.
“If these (2015) Games are going to be successful in terms of most medals won by Papua New Guinea, they should by now have already started down the road of engaging experts to come and help athletes with their training and so forth.
“Seek opportunities to engage athletes in competitions that are overseas to expose them to the level of international competitiveness.
“We won 94 medals – gold, silver and bronze - which is the most medals won ever since the Games started and the last time that we (PNG) won that number of medals.
“We’ve got about 18 months to go.
“This is the time we should really concentrate on individuals in individual sports who have potential to win medals, and also concentrate on team sports that have proven to be high-competitive in terms of winning medals.
Philemon emphasised the importance of the games village and venues done well in time.
“We can’t afford not to have the games village ready in time, “he said.
“The main venues should be ready early so that teams have the advantage of getting used to using those venues in preparation for the games.”
Philemon recalled that back in 1991, the Games cost just K30 million, with sponsorships being both in cash and kind.
“The national government contribution was only K3 million,” he said,
“We raised K12 million through corporate sponsorship.
“Of course, we had K600, 000 for Team PNG through Porgera Joint Venture two years before the Games.
“That assisted Team PNG greatly in terms of engaging coaches from outside to come in and train the national teams to compete in competitions overseas to prepare them for the 1991games.
“Kina was much stronger then, it was stronger than US and Australian dollars, so that assisted us in staging the games much cheaper than now.
“We had two main stadiums because the Games were split into two venues, one in Lae and one in Port Moresby.
“The one in Port Moresby, Sir John Guise Stadium, was funded separately by the Chinese government and the Sir Ignatius Kilage Stadium in Lae was funded through Japanese International Cooperation Agency (JICA).”

Sunday, July 13, 2014

Japan's Abe pledges 20 Billion Yen development assistance for Papua New Guinea

Jiji Press

Japanese Prime Minister Shinzo Abe said Thursday Japan will provide 20 billion yen in official development assistance to Papua New Guinea over the next three years. 
Abe's ODA pledge came as he met with Papua New Guinea Prime Minister Peter O'Neill in Port Moresby on Thursday.
Japan is willing to help Papua New Guinea develop human resources and improve infrastructure for disaster prevention, Abe told O'Neill.
 In the meeting, Abe explained about reinterpretation of the Japanese constitution his government has made to allow Japan to exercise the right to collective self-defense. O'Neill supported the move.
Abe sought Papua New Guinea's cooperation for recovering the remains of Japanese nationals, chiefly soldiers, who died in the Oceanian country during World War II. O'Neill assured continued cooperation.

Vodafone expands to Papua New Guinea and Solomon Islands


Vodafone is extending its business activities to the somewhat exotic regions of Papua New Guinea and the Solomon Islands, after forming a non-equity arrangement with a local player.
The UK-based group said it has signed an exclusive partner market agreement with bemobile Limited, which trades as bemobile. The two operators will in future collaborate on the sale of a range of products and services to businesses and consumers.
For bemobile, the deal means its customers will be able to roam onto Vodafone's global network and gain access to a wider range of services as well as Vodafone best practices.
In turn, Vodafone's multinational corporate customers will benefit from the addition of Papua New Guinea and the Solomon Islands to their existing contracts for international managed services, while continuing to be serviced via a single point of contact.
"This strategic partnership with bmobile will enable us to expand our presence in Asia Pacific and extend the reach of our products and services across the region. It will also deliver enhanced roaming benefits for both our consumer and multinational corporate customers," said Stefano Gastaut, CEO of Vodafone Partner Markets.
According to the World Bank, the introduction of mobile competition in Papua New Guinea in 2007 saw a dramatic rise in the number of people who were able to afford a mobile phone for the first time.
A report from the Economist Intelligence Unit (EIU) from January this year said around 2.7 million out of the country's total population of 7.2 million people now have a mobile phone. This number has risen from around 75,000 in 2005 and has been driven in part by the country's extremely poor fixed-line infrastructure.
"Although mobile reception is generally reliable, mobile data coverage is not. This, coupled with the extremely high cost of fixed-line and Internet connectivity, has left PNG with a single-figure Internet penetration rate," the EIU report added.
A BuddeComm report on the Papua New Guinea market that was last updated in January also noted that the country's three mobile network operators have increased accessibility to the mobile network from less than 3 per cent population availability to more that 80 per cent in less than a decade.
bmobile, which was acquired by the Government of Papua New Guinea through an 85 per cent shareholding in October 2013, competes with Citifon, which is owned by the country's only fixed-line operator Telikom Papua New Guinea (Telikom PNG), and Digicel.
Telikom originally owned bemobile, which was also the country's first mobile operator. The two companies have been separate entities since 2008, according to Telikom information.