Lihir sticks to timetable
p. 26 · Read in the full issue
THE joint venture partners in the rich Lihir gold project have confirmed they are trying to stick to t eir timetable despite problems with raising finance. That schedule now mcludes next January as a time when a request will go to the Papua New Guinea government for a mining licence. Oxide production is planned for late 1993, with
sulphide output to begin in the third quarter of 1994.
Niugini Mining Ltd (20 per cent) and
Kennecott Explorations (Australia) Ltd
(80 per cent) have been finding that international financiers are alarmed by reports of law and order breakdowns in PNG. This has made them reluctant to provide the money needed to develop
Lihir between USSSOO million and USS7OO milllion despite the fact that the small island has enough gold to sustain 700,000 ounces a year. Lihir has reserves of about 18 million ounces , which will ensure a mine life of 25 years.
If the PNG government approves a mining licence, development could be gin by mid 1991. Kennecott’s manager in Port Moresby, Ron Brew, said the joint venture partner were discussing a package of benefits with landowners. □