PORT MORESBY, 15 DECEMBER 2018 (POST COURIER) – A US$13.28 billion arbitration notice served by a landowner group to the Department of Mining and the Department of Justice and Papua New Guinea Attorney General (DJAG) has been given the green light by the department responsible.
According to an interview with the Minister for Mining, the department has agreed to the arbitration notice served by the Porgera Gold Mine Landowners and the Justice Foundation for Porgera.
“The matter is registered with our office and we will just go through the international arbitration process,” said Johnson Tuke.
Tuke said that arbitration is an international matter, and they will allow the arbitration process to go forward with it.
However, he said that a time and location is yet to be decided on by all the parties involved in the process.
The Department of Mining and the Department of Justice and Attorney General were served 13 arbitration documents requesting for arbitration on Friday November 30, 2018.
The service of a notice of arbitration or request for arbitration is the first formal step in arbitration. The parties are generally free to agree on how the arbitration proceedings are to commence before an Arbitrator under the United Nations system of Arbitration known as UNCITRAL.
Speaking on behalf of the landowners Barrister at Law and Counsel of the PNG Bar, Andrew Kostopoulos said that the landowners of the Special Mining lease which expires on May 12, 2019, are suing the government of PNG for US$13.28 billion.
“The dispute is a domestic issue involving the people of Porgera suing the government of PNG for breaches of contract, breach of the duty of care owed to the landowners of Porgera for damages including injury, loss and harm caused by the operation of the Porgera gold mine by Barrick Niugini Limited for over 29 years since it has commenced operation in Porgera in 1989.”
Chairman of Justice Foundation of Porgera Limited Jonathan Paraia said they have been working on the arbitration documents for the last seven years.
“We are requesting for arbitration. All the facts, complaints and issues that needs to be resolved are contained in the arbitration documents,” said Paraia.
“The ball is now in their court, they have to decide on how the arbitration will proceed.”
