Thursday, October 25, 2012

Nautilus seabed mining project jeopardised again

By Cecilia Jamasmie of mining.com

Canada-based Nautilus Minerals Inc sank to fresh lows Wednesday in London, falling almost 5%, hit by the news of a Papua New Guinea’s landowners petition to the government to cancel the firm’s seabed mining permit.
The company, the first to explore the ocean floor for polymetallic massive sulphide deposits, was granted a mining lease by the PNG authorities in January 2011, following the environmental permit award in December 2009.
But the mine developer has been swimming in choppy waters ever since.
 It faces critics from the environmentalist and the marine biologist community as per the consequences of its Solwara 1 gold, copper and silver project. 
The company has also been locked in a dispute with the government of the South East Asian nation since June over ownership of the project, located in the Bismarck Sea.
Over 20,000 signatures submitted to PNG Mining Minister Byron Chan by residents from the provinces of Madang, Oro and New Britain, stating that they don’t want the project to go ahead, reports Radio New Zealand.
Locals insist they have seen dead fish washing up on beaches and that the water has been polluted by the exploration work.
The Canadian mine developer was granted a 20-year permit by the government of Michael Somare to mine an area in the Bismarck Sea to a depth of 1.6 kilometres.
 Nautilus has said it plans to begin extracting minerals from the Solwara 1 deposit in 2014.
The new PNG government, led by Peter O’Neill, is reportedly challenging the deal and wants to make a number of amendments, according to Radio New Zealand.
Shareholder in Nautilus have seen the value of their investments plummet by more than half since the company initiated the legal battle on June 1 over Solwara.

ExxonMobil eyes P'nyang gas as basis for PNG LNG plant expansion




The ExxonMobil-led joint venture which holds the P'nyang gas field in Western province is conducting pre front-end engineering and design studies to use the newly-discovered resource as the basis for an expansion of the PNG LNG project, partner Oil Search said Tuesday.
"The PRL 3 joint venture has agreed to move forward into the pre-FEED concept selection stage, with the primary option being to utilise P'nyang as a foundation resource for train three (at the PNG LNG project)," Oil Search said in its latest quarterly report.
"Preliminary studies on potential design concepts and costs have now commenced."
The work is expected to continue through to the end of 2012, Oil Search added.
The PRL 3 permit containing P'nyang is held 38.5% by Oil Search, 49% by operator ExxonMobil and 12.5% by JX Nippon.
ExxonMobil is also the operator of the $15.7 billion PNG LNG project, which is currently two years into a four-year construction schedule and is on track to start up in 2014.
The liquefaction facilities will comprise two LNG production trains with total capacity of 6.6 million mt/year.
Oil Search, which operates all of PNG's producing oil and gas fields, posted net output for third-quarter 2012 of 1.33 million boe, at an average of 14,466 boe/d.
Output was 26% lower than the second quarter's 1.8 million boe due to an initial curtailment and then a full shutdown of production for nearly four weeks while investigations were undertaken to identify the source of a minor oil sheen on the sea surface close to the Kumul marine terminal.
No source of any leak in the oil export system was found and loadings resumed in late August with no reappearance of the sheen, the company said.
"Once production resumed, there were some delays in establishing optimal plant operations," Oil Search added.
 "In addition, major flooding in PNG during the quarter had an impact on logistical and operational activities."
Oil Search managing director Peter Botten said strong oil production had been recorded since operations resumed and despite the shutdown, output for full-year 2012 was still expected to be within the company's 6.2 million to 6.7 million boe guidance range.
Oil Search's operating revenue for the third quarter of 2012 was $107.8 million from oil sales of 680,000 barrels.
Sales were substantially lower than in the second quarter due to the suspension of liftings during August, partly offset by higher oil prices.
Shortly after the end of the quarter, French major Total farmed into Oil Search's exploration acreage in the PNG Gulf area.
"Total has extensive experience in developing major LNG projects and has similar aspirations to Oil Search in assessing and, in the event of success, developing an LNG project in the Gulf of Papua," Botten said.

Wednesday, October 24, 2012

Duchess to help combat domestic violence in PNG

By Andrew Drummond of AAP

THE Duchess of Cornwall will visit a women's refuge in Papua New Guinea during an upcoming royal visit in an attempt to combat domestic violence.
The Duchess of Cornwall
The Duchess of Cornwall will visit a women's refuge in Papua New Guinea during the royal visit. AAP

Camilla, 65, arrives in Port Moresby on November 3 with husband Prince Charles for a two-night stay, the start of a Diamond Jubilee tour representing the Queen that also takes in Australia and New Zealand.
"Domestic violence is a key social problem in PNG and, given the Duchess of Cornwall's work in these sort of areas in the UK, the PNG authorities have asked her if she will visit a women's refuge ... to help draw attention to this problem, to draw it out of the shadows and enable people to undertake the vital work necessary to tackle this very difficult problem," a senior royal spokesman told media during a briefing at London's St James' Palace.
Camilla will visit the Haus Ruth Women's Refuge on November 5, while Charles meets with Prime Minister Peter O'Neill and Leader of the Opposition Belden Namah.
The royal couple will venture out of Port Moresby only once during their time in PNG, with a planned day trip to take in Boera Village and the National Bird of Paradise and Orchid Garden.
"(Papua New Guinea) really is so beautiful and the Prince is greatly looking forward to introducing the Duchess to some of its biodiversity, from Birds of Paradise - the national bird - (to) some incredible rare and beautiful orchards," the spokesman said.
Charles and Camilla leave Port Moresby on November 5 bound for Longreach to start the Australian leg of their tour.

Charles and Camilla's tour details revealed



The royal couple has a packed itinerary of events for a tour of Australia, New Zealand and Papua New Guinea next month.

By Jonathan Samuels, Australia Correspondent, Sky News

The Prince of Wales and Duchess of Cornwall will be treated to a barbecue in the outback, an afternoon on Bondi beach and a tour of a special effects workshop used in the making of The Hobbit movie when they visit Australia and New Zealand.

Details of their packed tour, which also takes in Papua New Guinea as part of the Queen’s Diamond Jubilee celebrations, have been announced.
Camilla will be making her first trip to the three countries, in a private or public capacity, while Charles, a seasoned traveller, has visited the southern hemisphere nations many times.
Among the highlights will be a visit by Prince Charles behind the scenes of the new blockbuster movie from Lord of the Rings director Peter Jackson.
He will visit a leading workshop in New Zealand that created special effects for the much anticipated fantasy film The Hobbit: An Unexpected Journey.
The heir to the throne will meet the filmmaker on the day of his 64th birthday, November 14, and be shown make-up props worn by actors including The Office star Martin Freeman, who plays the lead character Bilbo Baggins.
A royal aide said that in the workshop, based in Wellington, Charles would "come face-to-face with rather extraordinary, rather terrifyingly in some cases, life-like prosthetics including the feet and hands of the Baggins family".
The themes of the visit include service to the community, encouragement of economic growth and innovation, promotion of youth enterprise, celebration of sport in the community and support for the Armed Forces.
Speaking about the first leg of the tour to Papua New Guinea, which begins on November 3, the aide added: "The visit is centred on the capital Port Moresby but also includes a visit to a nearby fishing village called Boera where a traditional and probably rather dramatic welcome is planned by the local inhabitants."
 In Australia, the royal couple have set themselves the task of visiting four major cities - Melbourne, Adelaide, Sydney and the capital Canberra - as well as the outback town of Longreach in Queensland and the island state of Tasmania in just six days from November 5-10.
The royal couple has willingly accepted an invitation from race organisers to play an important part in Australia's most famous racing event, the Melbourne Cup, at which Camilla will present the top prize.
"We were asked if they would like to do it, and of course they are both great racing fans ... and very touched that they've asked the Duchess to present the Melbourne Cup," Clive Alderton, private secretary to Charles and Camilla, said.
It is a starring role for Camilla, 65, who will overcome a dislike of air travel to make the long trek south.
Other events will see them highlight healthy eating in schools, meet Australian cricketers playing with disadvantaged youngsters and promote the wool trade.
The final leg to New Zealand, from November 10-16, will see the royal couple meet popular children's author Lynley Dodd, writer of the Hairy Maclary stories about the adventures of a hairy dog.
The final day takes the royal travellers to Christchurch to see how residents have rebuilt their lives after last year's devastating earthquake.
Details of the tour come as a new survey commissioned by the Australian Republican Movement shows 48% of Australians want a republic.
However, perhaps riding on the popularity of the Duke and Duchess of Cambridge, only 45% of under-30s questioned want a republic - fewer than any other age group apart from those 70 or over.

Indonesia police fire rubber bullets on rally, 8 hurt

From: AFP

INDONESIAN police yesterday fired rubber bullets on students at a pro-independence rally in the restive region of Papua, in clashes that injured at least eight protesters, witnesses said.
Hundreds of police were deployed as around 300 people gathered outside the University of Papua in Manokwari, and a clash broke out with students hurling stones at the officers, according to an AFP reporter at the scene.
Police then fired rubber bullets on the crowd and four demonstrators were hurt, the AFP reporter said, while another four were injured in clashes with officers.
The eight were taken to the local hospital but a doctor there indicated none of their injuries were serious.
Rally organisers, the youth secessionist West Papua National Committee (KNPB), also said four people were shot at the protest and taken to hospital.
Local reporter and activist Oktovianus Pogau said he was beaten badly by five policemen as he pulled out his wallet to present his press card.
"They punched me twice in the face and tried to strangle me. They hit other journalists and I saw at least two people get shot," Pogau said.
Manokwari police chief Agustinus Supriyanto declined to comment on the violence and would only say that the incident was being evaluated.
Police had rejected the students' request to demonstrate outside the university and ordered the demonstration be shut down.
The demonstration was one of several in Papua on Tuesday which were organised by the KNPB ahead of a meeting later in the day in London of international lawyers who are backing a Papuan independence referendum.
International watchdog Human Rights Watch (HRW) condemned the police action, saying the students had a right to protest.
"Police should stop the excessive use of violence in Papua. It should investigate officers who ordered the violence," Jakarta-based HRW researcher Andreas Harsono said.
The protests were the first major pro-independence rallies since Indonesian police shot dead KNPB's deputy chairman Mako Tabuni in June, which sparked a wave of anger that saw cars and homes set ablaze.
Papua - a vast, mineral-rich region in the east of Indonesia that shares an island with Papua New Guinea - has a mostly Melanesian population, ethnically different from most Indonesians.
Jakarta annexed the former Dutch colony in 1969 and has since faced a low-level insurgency

Bank of PNG opens its bill tap facility tomorrow

 By MALUM NALU

Bank of Papua New Guinea opens its bill tap facility, part of its liquidity management tools, to the public as of tomorrow (Thursday), as well as Friday and Mondays, The National reports.
Small investors can purchase Central Bank Bills (CBB)from a minimum K10,000 to a maximum K100,000 for fixed maturities in 28, 63, 91, 182 and 364 days.
The yield offered for each maturity at the tap will be the CBB weighted average rates determined at the weekly auction plus or minus a margin, which will not exceed 1%.
Trading under the CBB tap facility will be conducted at the Bank of PNG, ToRobert Haus ground floor.
The bill tap facility will be used to influence the price of money so as to achieve its objective of price stability.
“The objective of offering the tap facility is to encourage a wider participation by the general public, in particular small investors, in the securities market, hence contributing to the development of the retail market for government securities,” bank Governor Loi Bakani announced yesterday.
Bakani making the announcement yesterday.-Nationalpic by MALUM NALU

 “The tap facility is not intended to undermine the role of the commercial banks and other registered bidders who participate in the wholesale market for government securities.
“The tap facility is open to the general public, which includes individuals, private companies, church groups and others that are not registered bidders with the Bank of PNG.
“Licensed financial institutions such as commercial banks, finance companies, savings and loans societies, insurance companies, superannuation funds, micro banks and other registered bidders are not eligible to participate at the CBB tap facility.
“Government agencies or institutions and Bank of PNG staff are not permitted to participate in the CBB tap facility.”
Before investing in CBB tap, an investor must have a commercial bank account, and open a CBB account with an investor identification form with the BPNG.
“The total volume of CBBs to be traded on the market under the tap facility will be determined on a weekly basis by the monetary policy committee (MPC) and approved by the Governor,” Bakani said.
“Announcements will be done by the bank on the total amount on offer and term details.
“The application account must not be higher than the amount on offer for that week and only one application per term is allowed.”

Tuesday, October 23, 2012

Oil Search output falls


Oil Search still expects to achieve its full year production guidance despite a minor oil spill and loading terminal shutdown contributing to a 26 % plunge in quarterly output.
The company, Australia's third largest oil and gas producer, produced 1.33 million barrels of oil equivalent in the three months to the end of September.
It was a 26 % fall on the previous quarter and 11 per cent retreat from the September quarter in 2011.
Oil sales revenue of 685,000 barrels was 57% weaker and revenue was slightly offset by a higher average realised oil price of $US114.67 ($A111.60) a barrel but still 49 per cent weaker at $US107.8 ($A104.91) million.
The company expects production of 6.2 to 6.7 million barrels, having produced 4.59 million barrels for the first nine months of 2012, compared to 5.05 million barrels at the same time in 2011.
Oil Search had to suspend operations at its main producing fields in Papua new Guinea for most of August after an oil spill of up to eight litres at its Kumul Marine Terminal.
Bad weather hampered the investigation into the source of the spill, which was never found, and no spills have occurred since.
In better news, the company brough in French energy major Total earlier this month as a 50% partner in five onshore and offshore gas exploration projects in the highly prospective Gulf of Papua region.
Oil Search is a 29% partner in the $16 billion PNG LNG project due to begin production in 2014.
Oil Search shares were steady at $7.60.