seek compensation

Papua New Guinea

About 4000

SOME 4000 people in Papua New Guinea’s East Sepik Province will ask for US$lOO million compensation from the United States, Japan and Australia for World War II damages

to their land and environment. The National says this threat to seek compensation is the third among the hefty money claims for land and environment damages sought by local people

against foreign companies or countries.

The first was the US$lO billion compensation demanded by landowners of the giant Panguna mine in North Solomons Province against Australian company CRA. ***

Malaysian firm to get

big stake of project

THE Malaysian Mining Corporation is set to grab a significant stake of PNG’s rich Lihir gold project after the withdrawal of Canadian listed Venezuelan Gold.

The Canadian company was to become a joint venture Partner in a company controlled by the project manager, ritain’s Rio Tinto Zinc, which would control 40 per cent after the first round of restructuring was completed. VenGold was expected to gain about 10 per cent direct exposure to the project which is now up for grabs following its withdrawal.

Executive director of Niu Gini Mining Ltd, Gavin Thomas, says negotiations on the eventual ownership of the project are continuing behind closed doors. But, Thomas says progress in gaining a special mining licence has been disappointingly slow. ***

Government office

to be demolished

PAPUA New Guinea’s department of works has ordered the immediate closure and demolition of the country’s Central Government Office complex at Waigani in Port Moresby.

But the one-thousand-odd public servants who work in the building are not likely to move until alternative office space is found for them. Some of the departments are reported to be already looking for space elsewhere. The building is home to 12 departments including the departments of foreign affairs and trade, village services and provincial affairs, environment and conservation, justice and the national disaster and emergency services.