Prime Minister Hon. James Marape has said the Wafi-Golpu mining and Pasca gas projects are at “advanced, matured stages” of negotiations, with Government very cautious of getting details of the contracts accurate because of its resolve to secure nothing less than 55 percent of the total project economic value over the life of the projects.

Prime Minister Marape said the negotiations have been long because Government and project proponents needed to resolve many issues in both projects, which have now been reduced to a few major ones needing both the developers and the State to finalise consistent with law and government policies.

“For Wafi-Golpu, we are now tidying up the last three issues that will enable us to frame the Mine Development Contract. Likewise, the State Negotiating Team is working with Pasca investors to complete negotiations for the construct of the gas agreement. We are exchanging drafts, debating issues, and scrutinizing the details to make sure the text is correct and matches the intent in our government policies.

“As you know, our Pangu-led Government works very hard to secure above 55 percent of project economic value. This includes our take in royalty, equity, and tax.

“It has been long and tedious but these agreements are contractual and legally-binding for the length of the agreement and therefore need to be carefully looked at,” he said

The Prime Minister said it was important that his government entered these project agreements while following due process and the laws of the country, and was working at securing 55 percent or above of the total project duration in the period of the license.

“So we have to make sure that we get it right in terms of the benefits that we are securing for our people. Because once we sign the Mine Development Contract and issue the Special Mining Lease, or the gas agreement, we will not change it.”

The Prime Minister gave his assurance that the agreements would be signed and license issued as soon as all these matters have been resolved, adding that he hoped the investors and the SNT would progress the last hurdles on the margins of the conference in Sydney this week.