MOROBE MINER # 6 NOVEMBER.indd - Morobe Mining Joint Venture

The Hidden Valley Operation is entering an
exciting time with the end of construction,
first gold production and royalties about to
be paid to the community.
Everyone should be very proud of the
achievement that this represents. Building
a mine and process plant here at Hidden
Valley is an achievement that will be
recognised around the world. We now
need to make it a world class business that
can provide good returns to the business
owners, PNG and the local community for
many years to come.
To be recognised as a top class mining
business we must also be top class when
it comes to approaching our work safely.
We must stay focussed on safety and make
it the most important part of how we go
about our work. To achieve this I ask you to
do three things all the time:
1. Do not rush. People get hurt when they
rush to do a job. Make sure you understand
a job before you start, make sure you have
clear instructions and the right tools. Make
General Manager Hidden Valley, Mark Mitchell.
MOROBE
MINER
This is a monthly publication from Morobe Mining Joint
Ventures (MMJV) EDITION 6: NOVEMBER 2009
GENERAL MANAGER’S MESSAGE
Morobe Mining Joint Venture was one of the
major sponsors of the 2009 PNG Chamber of
Mines and Petroleum conference held in Port
Moresby recently.
The two day conference from October
29 – 30 had full representation from both
Joint Venture partners, Harmony Gold Ltd
and Newcrest Mining Ltd, including senior
professional and technical employees from
Hidden Valley and Morobe Exploration Joint
Ventures.
General Managers, Mark Mitchell (HVJV) and
Bernard Kavanamur (MEJV) gave updates to
sure you look and see
what else is happening
around you. If the job is
not ready or something
around you is not right
then talk to a supervisor
and fix the problem
before you begin.
2. Talk about the things Mark Mitchell
you see. If you see a
hazard or something
that could do damage then fix it or report it
to a supervisor if you need help. Don’t leave
it to hurt a workmate or you next time you
are in that place. If you don’t tell anyone
about a problem then we cant get it fixed.
3. Don’t risk your own personal safety for the
job. If you feel that you are at risk of injury
then stop and talk to a supervisor. Nobody
is expected to risk their safety to get work
done.
I am looking forward to the coming months
and look forward to seeing you around the
mine.
General Manager Exploration, Bernard Kavanamur.
MMJV ATTENDS 2009 PNG
MINING CONFERENCE
participants and players in the PNG mining
industry on the current status of the mine as
well as on the advanced exploration projects
in Wafi Golpu and Morobe Province.
The MMJV booth also attracted interest
from many potential business clients, right
through to University students seeking to
know more about PNG’s newest large mine.
Information Posters, outlining the various
developments at HVJV, information
pamphlets and of course, MMJV promotional
items were among major attractions for a
good number of visitors.
Construction
at HV nears
completion
Construction of the Hidden Valley plant
facilities is nearing completion.
The processing facility involves a
hybrid of two processing alternatives
because of the differences between
Hamata, Hidden Valley and Kaveroi ores
and specifically the differences in silver
grades.
The Hamata oxide and primary ores
will be processed via a conventional
whole-of-ore carbon in leach (CIL)
process. The Hidden Valley and Kaveroi
transitional and primary ore types will
utilise flotation concentration followed
by a hybrid leaching, counter current
decantation (CCD) and zinc precipitation
circuit (Merrill-Crowe process).
The grinding circuit and gravity circuit
were completed in the 2009 Financial
Year, while the remaining processing
plant construction was completed in
September. The construction of the
overland conveyor from HVK and the
crushing facilities at HVK will continue
until December 2009.
The SAG mill was installed and
underwent separate commissioning
trials in late June, milling a total of 16 000
tonnes of ore, which was then processed
through the gravity circuit for a total
recovery of some 450 ounces of gold.
Initial production has been limited to
the Hamata pit sourced ore, with the
overland conveyor from Hidden Valley-
Kaveroi pit expected to commence
commissioning in December 2009.
The tailings storage facility (TSF) starter
dam walls have been completed. This
allows for sufficient storage capacity for
the first 18 months of operation, while
the next stage of the TSF is constructed.

HIDDEN VALLEY
No tailings discharged into Watut
Hidden Valley Joint Venture (HVJV) is
committed to operating the Hidden Valley
mine according to international best practice
and PNG environmental laws.
To achieve this HVJV is implementing a rigid
program to contain tailings (fine-ground rock
that is left after processing the ore) as this is
important in preventing adverse impacts
to water quality due to sedimentation and
process chemicals. These measures include
the construction of a Tailings Storage Facility
(TSF), Managing Waste Rock and Sediment
and Erosion control.
HVJV is the first mine in PNG to successfully
construct and operate a TSF to capture all
tailings on site for the life of the operation.
The TSF has been successfully commissioned
and the dam wall will be raised in stages
throughout the mine life to prevent release.
HVJV also ensures that any downstream
seepage is collected and pumped back to
the TSF.
Managing waste rock from mining
operations also remains a priority for HVJV in
minimizing impacts to water quality.
The joint venture is working towards the
construction of stable, permanent waste
rock dumps.
To assist with the appropriate design of these
dumps, waste rock has been geochemically
categorized. To construct the dumps, hard,
competent rock is needed for under-drains
Morobe Mining Joint Ventures (MMJV) has
developed management plan to address
issues of increased sedimentation in the
Watut River related to its mining activities.
Under the project, action plans have
been established to reduce mine related
sediment. Other causes of sediment include
non-MMJV mining activity and natural
events such as land slippages. The plans
include:
• Fast tracking work to establish
stable waste rock dumps
• Expert scientific studies
• Erosion and sedimentation
mitigation strategies
• Ongoing community consultation
and engagement meetings.
and dump toes as well as vehicle access
to toe locations.
In 2008 HVJV commenced development
of access roads to the chosen dump toe
locations and engaged engineers to
design stable waste dumps.
As no suitable rock for dump construction
has been exposed from either of the open
pits to date, alternative sources of rock are
being evaluated.
Interim sediment traps will be placed below
the existing dumps to reduce sedimentation
in the Watut River.
HVJV is also implementing a sediment and
WRIMP addressing sediment issue
Tailings Storage Facility (TSF) at Hidden Valley, the fi rst in the history of mining in Papua New Guinea.
to assist. Specialist consultants are being
used and Klohn Crippen Berger has been
appointed as independent technical
coordinators.
The MMJV has acted quickly to reduce mine
related sediment contributions:
• Side-casting of waste rock ceased
at the beginning of September.
Additional resources have been
assigned to the construction of
interim rock toes below sidecasting
dumps
• Site-wide water management has
been improved and
• Rehabilitation programs,
including revegetation, have been
accelerated
erosion control program.
Under this measure ten (10) storm water outfalls
have been constructed on the ridge line
and internal access roads to convey water
down the slope and reduce erosion.
These consist of a corrugated half-pipe
cemented in place, with an energy dissipation
structure at the toe.
Consultants have also been commissioned
to develop an Erosion and Sediment Control
Management Plan for Infrastructure and
Construction Areas.
Kwembu villagers
attended the awareness
on October 15.
Benefit Sharing Agreement
awareness in pictures
David Hume, GM Sustainability and
External Relations speaking to Nauti
villagers on October 16.
The WRIMP project is managed by David
Hume as GM Sustainability and External
Relations reporting to the Hidden Valley
joint venture committee. Technical and
community affairs specialists from within
the joint ventures have been appointed
PAGE 2
Communication to stakeholders has taken
place, including to all river communities,
to explain the actions being taken to
manage sediment and reduce river impacts
Assessment of impacts on downstream river
communities are being conducted.
Charles Mota, HVJV’s CA cordinator conducts
the awareness for Wau LLG on October 16.

PRODUCTION UPDATE
Annual production at Hidden Valley
mine is expected to average around
255, 000 ounces of gold and 3.6 million
ounces of silver, given current estimates.
The mine, which currently has a 10-year
life, will process an estimated 4.2 million
tonnes of ore annually from two open
pits located approximately 5 kilometres
apart: the Hamata pit exploits the
Hamata gold orebody, and the larger
Hidden Valley pit extracts the Hidden
Valley and Kaveroi gold and silver
orebodies. The first gold was poured in
June 2009.
WORK FORCE SET
By year-end, most vacancies (745
employees, plus contractors) required
for start-up and operation will have
been filled. Approximately 50% of
the operation’s workforce (excluding
construction personnel, but including
operations contractors) was made up of
local landowners. PNG citizens account
for 90% of the operation’s workforce in
all. Operational readiness programmes
are in place and extensive training was
undertaken prior to commissioning.
WAD TO BE MARKED
PREPARATIONS are underway at all
Morobe Mining Joint Ventures (MMJV)
sites to commemorate the World AIDS
Day (WAD) on December 1 this year.
Being a member of Business Coalition
Against HIV/AIDS (BAHA), MMJV’s
Community Affairs (CA) officers have
planned a number of activities for the
different sites of Hidden Valley, Wafi-
Golpu, Wau, PCS Lae and Valley Estate –
MMJV’s 9 Mile compound. The activities
include launching of MMJV’s Workplace
Policy, HIV awareness and condom
distribution. Children of workers
living at the 9 Mile Estate will also be
involved in this program. The aim is to
create awareness at an early age of the
seriousness of HIV and AIDS so they can
make wise decisions in future. Mobile
phone communcations company,
Digicel has committed to sponsor this
initiative.
WEAR RED ON
DECEMBER 1
AND SHOW
YOU CARE
Hidden Valley is located
in a highly prospective
area.
As exploration continues and potential
new resources are identified on the mining
lease, the life of the process facility could be
extended.
A resource development drilling programme
is currently under way to support potential
resource expansion, while potential plant
constraints are being reviewed.
De-bottlenecking studies to increase the
plant capacity to approximately 4.7 million
tonnes per annum have begun.
Trainee Metallurgy Technician, Christine Waba
from Winnima gets some hands on training from
HV Plant Metaluurgist, Habe Miabe.
OUTLOOK
Remarkable Feat: The Hidden Valley Overland
Conveyor that travels aprox 5km from the Hidden
Valley pit to the Process plant.
Successful Early Rehabilitation
HIDDEN VALLEY
This
may require the
construction of an
additional TSF, the
availability of which is a constraint currently
to extending mine life. Key milestones for
this project going forward are:
• Completion of construction,
commissioning and ramp-up of the mill to
nameplate capacity and beyond;
• Completion of construction and
commissioning of the overland conveyor
from HVK pit by December 2009;
• Establishment of formal
engineered waste dumps; and
• Connection to main hydro-power
electricity grid in FY11.
Morobe Mining Joint Ventures (MMJV) has been successful in its early rehabilitation
program at Hidden Valley mine.
The program implemented by the Environment Department has seen the purchasing
of a hydro-seeder and approved seed stock. Local people were employed to plant
cuttings and broadcast seed. This has resulted in the re-vegetation of most of the
mine access road. Positive outcomes of this program include rehabilitation of the
impacted streams on the access road. It is now targeting critical slopes on site with
construction being completed. Re-vegetation is an important program as it helps
prevent erosion, stabilises infrastructure and reduces sediment load.
PAGE 3

WAFI-GOLPU/EXPLORATION
LANDOWNER
LEADERS
ATTEND TRAINING
Exploration Community Affairs Cordinator, Winston Belapuna conducting the Lae awareness session.
EXPLORATION AWARENESS
Keeping stakeholders informed and updated on the business activities of PNG’s newest
major mine is a key aspect of the Morobe Mining Joint Ventures (MMJV) operations.
MMJVs exploration arm, the Morobe Exploration Joint Ventures Ltd (MEJV) recently
conducted its second round of exploration updates for different levels of government in
Morobe province this year.
The two separate sessions in Wau and Lae were conducted on November 13th and 16th for
senior provincial, district and local level government officials and provided a status update
of ongoing exploration work, community affairs programs and various activities on the
company’s exploration tenements in the province.
MEJV General Manager, Bernard Kavanamur and Community Affairs (CA) Cordinator for
exploration, Winston Belapuna informed attendees that MMJV, as the largest developer
in Morobe, believed in maintaining clear, honest and transparent dialogue with its
stakeholders.
“It’s important for us to maintain close dialogue and information sharing with our
stakeholders on a consistent basis if we want to see progress and development in Morobe
province and PNG,” said Mr Kavanamur. He said the exploration updates would become a
regular event for all levels of government in Morobe.
The President of Mumeng LLG, Mathias Philip, later commended MMJV and in particular
MEJV for initiating the updates, saying it was a first for an exploration group or company to
provide regular updates on their activities for different levels of government in Morobe.
“Many times we are quick to criticise without having a clear picture of what is really
happening,” he said. “But these sorts of briefings give us more clarity and understanding of
the situation and we look forward to continued discussions as we go.”
The Wau session had full representation from the Watut, Waria, Buang and Mumeng LLG
Presidents and their Managers, including Wau/Bulolo District Administrator, Nimsen
Kimbisep. While the Lae session had similar attendance from senior Morobe Provincial
Government and Morobe Provincial Administration officers, as well as officers from the
Morobe Coast LLG, President of Morobe LLG and the President of Wampar LLG, Peter Namus.
“MOROBE MINER” IS A PUBLICATION FROM THE MEDIA & INFORMATION UNIT. PLEASE
SEND YOUR CONTRIBUTIONS AND COMMENTS TO joshua.kais@harmonyseasia.com/
nancy.kalimda@morobejv.com or phone 472 1703, ext 240 & 241. Your comments on
how we can improve this newsletter is highly welcomed. MMJV: “Creating a world class
mineral province in PNG”
FIVE leaders of Yanta
and Hengambu
landowner clans
of the Wafi-Golpu
project have become
the first to undertake
a Capacity Building
Training conducted by
Morobe Mining Joint
Ventures (MMJV’s)
Training Section.
Chairman of Golpu
Holdings, David
Philip who also attended
the training.
Providing training for
landowners is one of MMJV’s priorities in
ensuring that the people are empowered
to improve their communities.
The Capacity Building training has
equipped the participants to be better
leaders in their respective organizations.
One of the topics covered was Problem
Solving and Decision Making.
Those who attended were Giwa Jerry,
Steven Giame, Livai Bing, Anonga
Yakising and David Philip.
The participants said the training has
given them a greater knowledge on
approaches to take when dealing with
landowner and community issues.
Chairman of Golpu Holdings, Mr
Philip said the training has increased
his knowledge to perform his duties
effectively. He said it has empowered him
to negotiate better deals with MMJV and
other stakeholders in the Wafi project.
MMJV’s training coordinator Martha
Tade said as leaders, their decisions
must, benefit everyone.
“As leaders of people, you must discuss
the best options available to benefit all,”
said Mrs Tade.
She said leaders needed to do some
action planning so that their set goals
are achieved.
There are 11 modules under the Capacity
Building training. After completing each
module the participants will be given a
certificate of attendance. A certificate
of
completion or achievement will be
presented to them after they complete
all the 11 modules.
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