On the morning of Monday, 9 December, 2024, Prime Minister Hon. James Marape delivered an address of motivation, empowerment and united success under the shadows of business investment in Papua New Guinea, amidst a packed auditorium of Government and Business leaders from PNG and around the world, as he launched PNG Investment Week 2024 at the Sydney International Convention Centre.
Reviewing the challenging path that the country has straddled on since Independence in 1975 politically, economically and socially, Prime Minister Marape paid respect to the founding fathers of the nation for setting the platform and for showing the way, deeply acknowledging the nation’s first Prime Minister Late Grand Chief Sir Michael Somare, something he said is deeply-embedded in his heart as the eight Prime Minister today.
Prime Minister Marape reflected: “In 1975, I was in remote Nomad River (about 100 kilometres from Ok Tedi Mine in Western Province). That time, I ate no rice, knew no English, slept in no electricity-fired house, walking was my mode of travel, and today almost 50 years on we are conversing in a modern auditorium, speaking English and like minds meeting together. This is the journey of my life and this is the journey that my country has been through.”
He added: “PNG at 1975 was a nation emerging with a small economy and a big landmass which is bigger than New Zealand, Japan or the United Kingdom with little development. Many thought we would fail as a nation. “I step back and pay respect to Sir Michael Somare and the founding fathers of our nation. It was their vision and foresight for a robust democracy that enabled free market economy and enterprise. This freedom is guaranteed in a very strong and wonderful Constitution, which is read and supervised by an independent Judiciary. Since 1975, we have had only 5 Chief Justices as head of our Judicial arm of Government, 17 Speakers as Head of our Parliament and 8 Prime Ministers. We offer to the world a stable outlook and our democracy has been unbroken as we face our 50th anniversary in 2025.”
PM Marape outlined in his address the vitality of Papua New Guinea’s friends through foreign relations that have been established over its course of history underpinned by a robust democracy, which today underscore the country to remain a prosperous and wonderful place for investment.
“Our work is to signal to you that we are not a bad country for investment. Any investors who operate in our country know that we are a safe place for investment. We honour Agreements. Agreements run the full length of time. It is a reputation of our country that I’m proud of. Santos, Exxon Mobil know this very well from the experiences with respective Oil and Gas projects while Newmont and Barrick and others in the mining projects know about this unique PNG investment environment.
“This has opened up things so that we now have four global giants in the petroleum and mining sectors in our country. Total and Exxon Mobil in the Oil and Gas sector, Newmont and Barrick in the Mining Sector.
“A handful of robust mid-size companies in K92 Mining and Simberi Gold stand out as well. There is positive energy for business investment in PNG,” Marape stated.
He emphasized that PNG’s foreign relations positions it to be the ideal investment destination, with connections with all four regions of the world, and with majority of currently the top 20 economic leaders globally, indicating a positive trail for investors.
“Our Foreign Relations will not be compromised. We are friends to all, enemies to none. Our foreign relations enables our market access. Of the most top 20 economies in the world, PNG has relations with most of them. The United States, China, Japan, Australia and Indonesia are good friends of ours. So as India, France, Germany, United Kingdom, South Korea and others,” he said.
Stressing on the importance of PNG’s affiliation with key international bodies that have opened the way for increased business investment and trade, Marape unveiled that from next year (2025), PNG is working to become a full member of the Association of South East Asian Nations (ASEAN), which he says will connect PNG to and open up business opportunities for close to 500 million people. Taking into account the rest of Asia including China and India, it further opens PNG up to about 4 billion people as a direct market link.
Prime Minister Marape, therefore, gave assurance to investors at the Conference: “You are in this place at the right time. The conversation around foreign relations is not just politics. But it’s commerce, economy, people-to-people.
“We are working to diversify our economy. Also, agreements on resource projects are made for the interest of our people. And we ensure Investors also get their return,” he stated.
Prime Minister Marape acknowledged the significant role and contribution of the Mining and Petroleum Sector to growing and developing the PNG economy since independence, highlighting it as a key factor in the nation’s journey thus far.
“As we face our 50th anniversary, let us do more and work together. All of you sitting here have an interest in PNG. You are an important stakeholder. That is why you are here today. You value PNG, you call PNG your home, residence, business area; we all have affinity for PNG. I want to say thank you.
“Your interest for PNG must not just be for business, but it must be an interest that shows for collective progress for all of us. We must all win in this game of investing in PNG. Take back PNG does not mean that only PNG wins; it does not mean investors will lose. Far from it, we understand commerce. We know investors too must win. Going forward, we must ensure a win-win situation for all.
“Importantly, we must not leave our Landowners and Provincial Governments behind, as it is the people who own the land, and we must respect them. My Government is serious about this and we are putting in place arrangements to establish relevant framework and laws to support this.
“This Government is adamant to enable a tailor-made production regime that has PNG characteristics,” PM Marape said.
The Prime Minister also clarified that in all Resource Projects for the country, all respect must be given to Pangu’s policy to gain above 55 percent for Papua New Guinea that embraces royalty, equity, tax, local content and down- stream focus.
As he concluded, the Prime Minister proclaimed: “Fifty (50) years from now, we will have grown into a prosperous nation. With Papua, P’nyang, Pasca, Stanley and Wildebeest oil and gas projects and Wafi-Golpu, Frieda, Mt Kare, Kili Tege, Yandera as new mining projects all coming on stream in the next 10 years; Ok Tedi is giving us 30 more years while K92 Mining, Simberi Gold plus other mines like Porgera, Lihir and Ramu Nickel improving efficiency, assisting Government on our focus on downstream processing, PNG’s future looks very bright from 2025 to 2035, ensuring that should anchor PNG’s development.”