MOROBE MINER - Morobe Mining Joint Venture
MOROBE MINER - Morobe Mining Joint Venture
MOROBE MINER - Morobe Mining Joint Venture
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<strong>MOROBE</strong> <strong>MINER</strong><br />
This is a publication from <strong>Morobe</strong> <strong>Mining</strong> <strong>Joint</strong> <strong>Venture</strong>s (MMJV). EDITION 17: 2011<br />
<strong>Joint</strong> <strong>Venture</strong> Executive, Johanness Van Heerden and elected representatives of the Nakuwi Association, Rex Mauri and other elected<br />
community representatives and Provincial <strong>Mining</strong> Chairman after the signing of the BSA documents.<br />
Benefit Share Trust launched<br />
The Hidden Valley <strong>Joint</strong> <strong>Venture</strong> (HVJV) has announced<br />
the signing of a Trust Deed by mine owners Newcrest and<br />
Harmony which establishes the Hidden Valley Mine (Benefit<br />
Sharing) Trust, created after extensive consultation with the<br />
Nakuwi Association and mine area community leaders.<br />
The purpose of the Trust is to provide additional<br />
socioeconomic benefits to the mine landowning communities<br />
of Nauti, Kwembu and Winima, which are tied to the<br />
continuing successful operation of the Hidden Valley Mine.<br />
Starting with an initial contribution of K3 million, Trust<br />
proceeds will be used on community infrastructure, capacity<br />
building, education, training, community development and<br />
business<br />
development projects and programs nominated by the<br />
respective village planning committees.<br />
Ongoing funding to the Trust is anticipated to be<br />
approximately K1.5 million per annum based on fixed and<br />
variable amounts tied to mine revenues.<br />
The Trust will be governed by a Board of Governors<br />
consisting of representatives from the Nakuwi Association,<br />
Nauti, Kwembu, and Winima villages, the <strong>Morobe</strong> Provincial<br />
Government, Mineral Resources Authority, and HVJV. NKW<br />
Holdings Limited, the Hidden Valley Landowner Company<br />
will be engaged to assist the Trustee in the administration of<br />
the Trust.<br />
SAFETY TIP: Never walk on the road when cars and trucks are passing.
Contents<br />
page 2.....Acting GM’s message - HV<br />
page 2.....Training officers attend<br />
attend National conference<br />
page 3.....K520m pumped into PNG<br />
economy in FY11<br />
page 3.....Former HV GM farewelled<br />
page 4.....Program aims to build<br />
leaders capacity<br />
page 4.....Malarial studies conducted<br />
at MMJV sites<br />
page 5.....Kindaga Group gets saw<br />
mill<br />
page 6.....Sust & Ext Relations GM’s<br />
message<br />
page 6.....Changing the way we do<br />
things<br />
page 7.....Kuembu villagers learn basic<br />
managment skills<br />
page 7..... Locals to access part of<br />
historic track on ML151<br />
page 8.....Cocoa farmers learn basic<br />
managment skills<br />
page 9.....Wau-Bulolo schools get<br />
classrooms<br />
page 10...K1m water supply project for<br />
Huon Gulf District<br />
page 10...Wafi-Golpu recruits first<br />
two female field assistants<br />
page 11...GM’s Message<br />
-Exploration<br />
page 12...First female HEO promoted<br />
at Hidden Valley<br />
VISION<br />
Create a world class mineral<br />
province in PNG.<br />
MISSION<br />
Discovering, developing and<br />
operating gold mines in <strong>Morobe</strong><br />
Province to build a sustainable<br />
long term business to benefit all<br />
our stakeholders.<br />
VALUES<br />
Honesty, Integrity, Respect<br />
Working Together, Courage<br />
Creativity & Innovation<br />
Commitment to Our People<br />
MEDIA TEAM<br />
Joshua Kais<br />
joshua.kais@morobejv.com<br />
Aaron English<br />
aaron.english@morobejv.com<br />
Nancy Kalimda<br />
nancy.kalimda@morobejv.com<br />
ADDRESS<br />
Nine Mile, Awilunga Estate,<br />
P.O.Box 4015, Lae,<br />
<strong>Morobe</strong> Province,<br />
Papua New Guinea<br />
Permission must be obtained<br />
for the reprinting of articles<br />
in this newsletter.<br />
Message from Acting GM<br />
Hidden Valley- Peter Hannigan<br />
It is with mixed feelings that I write this note for<br />
the <strong>Morobe</strong> Miner, since the last edition we have<br />
farewelled Mark Mitchell after 2 years as the<br />
Operations General Manager, he has returned<br />
to Newcrest to take up a position that focuses<br />
on making sure that our relationships within the<br />
communities we work are a strong as we can make<br />
them. Those of you who have met and know Mark<br />
will appreciate that this is a good change for Mark as he has shown in his time<br />
at Hidden Valley that he is passionate about being faithful to the expectations<br />
of the traditional owners of the land and all the communities who are impacted<br />
by our Mine in one way or another. Mark has been instrumental in getting the<br />
mine to operate at its rated capacity, most of our start-up issues have now been<br />
resolved and the mine is beginning to show that it can deliver to the expectations<br />
consistently.<br />
Mark has left us with a legacy of honesty, focus and faith that I find inspiring<br />
and that will continue to drive our efforts at Hidden Valley in particular the drive<br />
to building the competencies of our landowner employees so that they can be<br />
leaders in the mine that is on their land.<br />
We still have a lot of work to do to meet our obligations to the people who have<br />
put their faith in our ability to have a safe and productive mine at Hidden Valley.<br />
We continue to have too many incidents and too many people are getting hurt<br />
or putting themselves in positions where they can get hurt. During my regular<br />
workplace walk around many of the same issues keep presenting, I am sure<br />
that with a little more time spent at the start of the job, making sure that we have<br />
thought of anything that could go wrong, we would have a safer workplace. All<br />
leaders on this mine should never let an opportunity go past where they can ask<br />
if people are aware of the risks involved in a job and what they are doing to keep<br />
safe. Safety is the result of us doing something to manage risk.<br />
For those of you who will be home with your families this Christmas I hope that it<br />
is rewarding and peaceful time for you, for those of us who will be working please<br />
keep safe so you can enjoy the time when you do get home.<br />
Training officers attend conference<br />
Four MMJV trainers and representatives joined with other counterparts from<br />
across the country on November 24-25 to attend the 2011 National Trainers<br />
conference held in Lae.<br />
Lucy Simon, Veronica Bagasel, Doyle Vens Virano and Fiona Yapi attended<br />
the 2011 event aimed at recognising individual and organisational efforts in<br />
training across the country. MMJV was also one of five major sponsors for the<br />
event.<br />
MMJV places a high focus on training and developing its workforce to be<br />
competent spending K2.6 million in the 2011 Financial year alone.<br />
Under the Training department structure, particular emphasis is given to<br />
Operations Training, which covers skills training for mine and mill operations<br />
and Human Resources Training. Other in house programs include Cultural<br />
Sensitivity and Tok Pisin courses and services for local employees include<br />
training of Local Heavy Equipment and mill operators, Basic Literacy and<br />
Numeracy courses, upgrading of Grade 8-10 and Matriculation courses done<br />
in partnership with Port Moresby Institute of Matriculation Studies (PIMS). New<br />
programs include the Graduate and Apprenticeship Programs.<br />
The annual National Trainers conference was hosted by the PNG Training &<br />
Development Society (PNGTDS).<br />
page 2
PNG Economy gets K520m from Hidden Valley in 2011<br />
The Hidden Valley mine has contributed K520 million to<br />
the PNG economy in the 2011 Financial Year.<br />
A big portion of this, 56 % is spent on goods and services<br />
in <strong>Morobe</strong> Province alone while Goods and Services in<br />
PNG account for 27%, government tax - 6%, employment<br />
another 6%, community benefits - 3% and royalties - 2%.<br />
Planned yearly spending stands at K121 million on<br />
procurement of goods and services in <strong>Morobe</strong> Province,<br />
K21 million in wages and benefits; K26 million in royalties<br />
and K15 million in benefit-sharing and other community<br />
assistance.<br />
Also this year K14.5 million was spent on community and<br />
regional development projects comprising water supply<br />
and sanitation, health, education, agriculture and<br />
aquaculture, Lae to Bulolo Road maintenance, community<br />
infrastructures and community and Local Level<br />
Government capacity building programs.<br />
Hidden Valley mine’s total ore reserves for this year is<br />
68,192 tonnes, with proved ore reserves of 60,674 tonnes<br />
and probable ore reserves of 61,519 tonnes.<br />
The mine currently has 975 direct employees of which<br />
91 % are PNG citizens 53% are from <strong>Morobe</strong> and 45 %<br />
are from the Wau-Bulolo district and 12 percent are<br />
females. In addition, currently there are 1471 contractor<br />
employees working for Hidden Valley mine with 89 %<br />
being PNG citizens and 45% from <strong>Morobe</strong> Province.<br />
The mine’s long term plan is to create Employment Equity<br />
where 80 % will be Local <strong>Morobe</strong> employee, 15 % female<br />
employees and 97% to be PNG citizens.<br />
There is an expanded focus on providing more women<br />
equal opportunities.<br />
Outgoing HV General Manager farewelled<br />
The Hidden Valley Employee Relations Committee (ERC)<br />
had a special farewell for outgoing General Manager, Mark<br />
Mitchell to thank him for his support for the work carried out<br />
by the committee.<br />
The farewell held at Bulolo followed on from a final meeting<br />
which resolved around presentations from senior Hidden<br />
Valley Management, members including Mine department<br />
manager, David Masani, Human Resource Superintendents<br />
Timmy Ahi and Bebea Konie and Mark Mitchell himself.<br />
The presentations covered a number of areas including<br />
recruitment, training and localisation progress and also<br />
on the trend of career path development for locals and<br />
nationals at the Hidden Valley Mine since starting operations.<br />
Importantly the meeting reflected on the achievements and<br />
progress of the committee in the 2011 year.<br />
As part of his final words of encouragement to the<br />
committee, Mark re-emphasised the importance of working<br />
together saying.<br />
“Always believe in your self and never doubt your strengths,<br />
every one here is just as capable of doing the same things<br />
as anyone else in other similar operations across the world,<br />
said Mark.<br />
“What we as senior managers can do is open doors for you,<br />
but you need to charge through it!” he said.<br />
His words were taken to heart by individual committee<br />
members who took the time to thank Mark for his support<br />
towards the ERC and the Hidden Valley workforce during his<br />
tenure as the General Manager, operations.<br />
Giving a brief historical account of the birth of the Committee,<br />
Timmy Ahi described it as being a direct link and forum<br />
between the workforce and the HV management team<br />
in discussing employee concerns in transparency and<br />
Group shot of the ERC with Mark on the Bulolo Golf course.<br />
openness.<br />
The ERC has pledged to work closely with the Hidden Valley<br />
mine’s management to ensure a positive work atmosphere is<br />
maintained.<br />
During his two years at Hidden Valley mine, Mark has led<br />
the mine from the start of commissioning through its first two<br />
years of operation. He has also overseen a number of<br />
significant events and milestones.<br />
Some of the highlights include the start of commercial gold<br />
production and the official opening of the mine in 2010, the<br />
achievement of 1 year LTI free operations in May 2011 and<br />
200, 000 ounces of gold produced in the first full year of<br />
processing operations (FY2010/11).<br />
He was also instrumental in ensuring that locals and mine<br />
landowner employees were promoted to senior roles as part<br />
of the mine’s localisation program.<br />
page 3
Program aims to build leaders capacity<br />
Employees are the key assets in <strong>Morobe</strong> <strong>Mining</strong> <strong>Joint</strong><br />
<strong>Venture</strong>s (MMJV) operations.<br />
And as part of MMJV’s plan to build the capacity of its<br />
employees to ensure efficiency is maintained throughout the<br />
operations, it has recently introduced a Leaders Induction<br />
Program (LIP).<br />
The first training under the Leaders Induction Program was<br />
held at Hidden Valley mine site on September 26, 2011.<br />
Since then over 20 employees, mostly those holding<br />
leadership positions such as supervisors, coordinators,<br />
foremen, superintendents and managers from Geology,<br />
<strong>Mining</strong>, Security Services, Human Resources, Safety &<br />
Medical and Maintenance have attended the training.<br />
The program was developed to provide support to new<br />
leaders being appointed within MMJV and to ensure that<br />
every MMJV Leader is aware of their responsibilities and<br />
accountabilities. And with these, the purpose of creating a<br />
clear understanding of MMJV Leaders accountabilities and<br />
responsibilities and an overview of legislation, company<br />
processes, systems and policies.<br />
The program is the basis of all supervisory and leadership<br />
training and will be part of the mandatory training within<br />
MMJV. An employee who supervises full- time employees<br />
as defined in their positions is required to attend the<br />
leadership program.<br />
The Hidden Valley mine Training team is responsible<br />
for coordinating the program and main facilitators are<br />
representatives of the relevant departments including Safety,<br />
Asset Protection, Human Resources, Supply/Logistics,<br />
Business Improvement, Community Affairs, Information<br />
Technology, Environment and Commercial.<br />
The first group of the leaders who have received training under the<br />
Leaders Induction Program.<br />
Leaders who attended the training found it to be very helpful<br />
as it provides information on who to go to in each of the<br />
Support Service departments when specific work related<br />
information is required and thus avoiding delays.<br />
“The training is very relevant to my position as a leader,”<br />
says Poia Tinkera.<br />
“I like the training because it provides me with more advance<br />
information as a supervisor, says Kelly Gisa.<br />
“I’m very pleased to have been part of the group to attend<br />
this training and to know the roles and functions of other<br />
departments,” says Aisa Pupu.<br />
For more information about the Leaders Induction Program,<br />
you can contact the Hidden Valley Human Resources<br />
Training team on phone extensions 661 or 731.<br />
Montrose undertakes Malarial studies at MMJV sites<br />
An international company has conducted a review of<br />
malaria control throughout the MMJV sites.<br />
The two weeks review was done in November by two<br />
representatives from Montrose, a company based in<br />
Uganda in Africa that works closely with extractive industries<br />
to deal with Malaria.<br />
Montrose was contracted by Newcrest to conduct the<br />
study as part of the global malaria review for all Newcrest<br />
sites including MMJV.<br />
Epidemiologist Dr Caroline Lynch and Entomologist Jennifer<br />
Remmers covered all the sites, including Wafi, Hidden<br />
Valley, Wau Fly Camps and Lae.<br />
The team also visited health facilities in Lae to get an idea<br />
of what kind of facilities and services are available to deal<br />
with Malaria.<br />
Malaria still remains a major health problem throughout<br />
Papua New Guinea. It is important to remember that you<br />
can treat malaria with effective drugs and prevent malaria<br />
using mosquito nets.<br />
The study looked at all aspects of malaria control including<br />
case management, diagnosis and treatment, impact on<br />
employees and the communities, what types of mosquitos<br />
there are and which ones carry the malaria parasite, what<br />
are the risk times and who are most at risk.<br />
Checking for Anopheles mosquito larvae in Lae.<br />
page 4
Agriculture displays attract huge interest<br />
<strong>Morobe</strong> <strong>Mining</strong> <strong>Joint</strong> <strong>Venture</strong>s (MMJV) for the first time<br />
participated in the 2011 50th <strong>Morobe</strong> Agricultural Show<br />
held on October 14-15.<br />
Manager, David Wissink thanked everyone for the efforts<br />
put into showcasing the agriculture projects.<br />
On display were three major agriculture projects currently<br />
being implemented along the Upper, Middle and Lower<br />
Watut regions of Bulolo and Huon Gulf Districts of <strong>Morobe</strong><br />
Province as part of MMJV’s Community and Regional<br />
Development Plan. These projects are coffee, cocoa and<br />
fish farming. The displays drew a lot of interest from the<br />
public who wanted to know more about the projects.<br />
Thirteen farmers from the Watut areas, stakeholder<br />
representatives from the Coffee Industry Corporation (CIC)<br />
and <strong>Morobe</strong> Fisheries Management Authority (MFMA) and<br />
MMJV officers were on hand to answer the many questions<br />
from the interested people.<br />
MMJV Sustainability and External Relations General<br />
Visitors learn about the coffee and cocoa program from the farmers.<br />
HVJV funds sawmill for Kindaga Land Group<br />
Sustainable logging industry in the Wau and Bulolo region<br />
and mining have been an integral part of the rise and<br />
development of the Bulolo district for close to a hundred<br />
years now.<br />
Continuing on the path of assisting sustainable practices,<br />
<strong>Morobe</strong> <strong>Mining</strong> <strong>Joint</strong> <strong>Venture</strong>s (MMJV) donated a Walkabaut<br />
Saw mill to the local Wandumi villagers in Wau through the<br />
Kindaga Land Group Inc (KLG) for allowing the company use<br />
of an alternative access route from Bulolo into Wau.<br />
Last year, the route mostly utilised by PNG Forrest<br />
Products (PNGFP) to access timber, was upgraded following<br />
a K400,000.00 MOU signing between MMJV, PNGFP and<br />
the Wandumi people to help ease of access for the mostly<br />
Wandumi villagers while providing alternative access into<br />
Wau from Bulolo.<br />
Following the road upgrade, the villagers from Wandumi<br />
agreed for the MMJV to assist their business activities<br />
through the purchase of a sawmill rather than being paid<br />
compensation for using the access road.<br />
President, John Yawa, Snow Kimpton from PNGFP, National<br />
Forest Authority (NFA) representatives and MMJV officers<br />
led by Hidden Valley CA Superintendent, Simon Thomas.<br />
Mr Thomas told the people of Wandumi to continue<br />
working together in partnership so that they could achieve<br />
more benefits while President Yawa challenged the people to<br />
look after the saw mill donated by MMJV and continue<br />
building on the relationships.<br />
The saw mill will be managed by Yangalimu Holdings on<br />
behalf of KLG and the Wandumi people. As part of the<br />
business arrangement signed during the MOU, PNGFP will<br />
purchase the sawn timber from the people of Wandumi and<br />
will also assist to transport them to its mill in Bulolo.<br />
Based on projected business cash flow and plan, the saw<br />
mill has the potential to cut a volume of 3 cubic meters per<br />
day at a market value of K800.00 per cubic metre. This<br />
amounts to approximately K12, 000.00 a week or K48,<br />
000.00 per month.<br />
Newly appointed Chairman of Yangalima Holdings the<br />
subsidiary company of KLG, Joel Yanduk said looking ahead,<br />
the people of Wandumi decided that having a sawmill rather<br />
than compensation payments removed opportunity to waste<br />
or spend recklessly and provided a solid asset that could be<br />
utilised well to the benefit of their community for their forestry<br />
resources in the long term.<br />
“On behalf of the people of Wandumi and KLG we really<br />
appreciate the working partnerships we have between<br />
MMJV, PNGFP and other stakeholders. We have some gold<br />
and a lot of timber resources, and this sawmill will help us<br />
develop these resources and in turn help us develop our<br />
communities further so we can all progress,” he said.<br />
Also present to witness the occasion were Wau Rural LLG<br />
HVJV CA Superintendent, Simon Thomas officially hands over the key to<br />
KLG Chairman, Komai watched by Yangalima Holdings Chairman, Joel<br />
Yanduk.<br />
page 5
Message from GM Sustainability & External Relations - David Wissink<br />
As you can see in this issue of the <strong>Morobe</strong> Miner, MMJV is<br />
living up to the challenges and fulfilling commitments that<br />
are critical to ensure the success of the JVs in the <strong>Morobe</strong><br />
Province.<br />
This past year has been a very busy year of challenges<br />
and change for the Sustainability & External Relations<br />
team and I would like to thank all of you for your hard work,<br />
dedication, effort and support as we continue to put in place<br />
the foundation that will help position MMJV as PNG’s most<br />
responsible mining company and a reliable development<br />
partner.<br />
As a team, our accomplishments this year have included:<br />
• Maintaining an outstanding safety record in the field<br />
• Continuing to build a credible reputation for MMJV in the<br />
<strong>Morobe</strong> Province<br />
• Establishing the Hidden Valley External Stakeholder<br />
Advisory Panel to provide a sounding board and advice<br />
for our community activities.<br />
• Establishing the <strong>Morobe</strong> Projects Management Unit<br />
in partnership with the <strong>Morobe</strong> Provincial Government<br />
and successfully lobbying the PNG Government for K11<br />
million in Special Support Grants for 2012<br />
• Delivering multiple community development projects –<br />
agriculture, aquaculture, community health, education,<br />
and water supplies in communities throughout the mine<br />
villages and Watut River<br />
• Developing partnerships with new partners such as<br />
Business for Millennium Development and recommitment<br />
with existing partners for successful sustainable<br />
development outcomes<br />
• Providing communications support for MMJV initiatives<br />
and emerging issues<br />
through the media as<br />
well as the development<br />
of the MMJV website<br />
• The completion of a<br />
process that saw over<br />
4,000 compensation<br />
claims paid to individuals<br />
impacted by our Hidden<br />
Valley operations along<br />
the Watut River<br />
• Gaining and maintaining<br />
access for the regional exploration team to the most<br />
prospective ground in PNG.<br />
• Proactively communicating mine-related impacts with<br />
our stakeholders through a variety of means including<br />
a very successful joint patrol with the Department of<br />
Environment & Conservation and other government<br />
departments.<br />
Even with all the hard work, dedication and teamwork that<br />
has gone into the achievements of this past year, we still<br />
have areas where we will need to continue to improve as<br />
next year will bring with it new and exciting challenges such<br />
as bringing into operations the Benefit Sharing Agreement for<br />
the mine landowner communities, preparing for the Hidden<br />
Valley MOA review, advancing the community aspects of<br />
Wafi-Golpu Project and continuing to build our community<br />
teams to ensure that we continue to build a socially<br />
responsible mining company that we can all be proud of.<br />
Again I thank all of you for your hard work and wish you and<br />
your families a safe Christmas season and prosperous New<br />
Year. I look forward to an even more exciting year in 2012.<br />
Changing the way we do things<br />
“One question that kept appearing in my mind.”<br />
“How can I best utilise the knowledge I gain from this<br />
course to assist in the development of my country-Papua<br />
New Guinea?”<br />
These were the thoughts of Walter Pondrelei, during the<br />
21st University of Queensland graduation ceremony on<br />
December 8. Walter though, is not alone in his thoughts.<br />
Also thinking similar thoughts was fellow colleague Pauian<br />
Kepakan. Walter and Pauian are Community Affairs officers<br />
working for Hidden Valley mine.<br />
Both men have completed a two year Post Graduate<br />
Certificate in Community Relations Resource Sector, while<br />
Walter has undergone an additional three years, to get a<br />
Graduate Diploma. It has been an exhausting experience<br />
for Walter and Pauian, who are part time students,<br />
balancing work and their academic studies.<br />
Pauian said he was pleased with his achievement. “It is<br />
a result of sheer commitment and hard work. I am now<br />
skilled in community relations methods and can’t wait to<br />
contribute more effectively to my department’s approach to<br />
the host communities and other stakeholder,” said Pauian.<br />
Walter said, “It’s so<br />
rewarding after many<br />
sleepless nights.<br />
Both agree there has<br />
been a lot they’ve learnt from<br />
their studies.<br />
“Community relations should<br />
not just be about the<br />
traditional way of attending<br />
to issues but involve more<br />
proactive approaches to<br />
development in the host<br />
communities,” said Walter.<br />
Walter, left, and Pauian.<br />
“This will also ensure the<br />
company can maintain the ‘social licence to operate’, create<br />
better relationships with communities and comply with<br />
agreements, PNG laws and International standards,” he<br />
added<br />
The two men were able to attend their graduation, with<br />
support from HVJV, who met their travel and<br />
accommodation costs.<br />
page 6
Kuembu villagers learn basic management skills<br />
Thirty Three (33) villagers from the Wau region of Bulolo<br />
are the fifth group to benefit from a partnership program<br />
aimed at improving their basic business management skills<br />
as local entrepreneurs.<br />
Under MMJV’s Community and Regional Development<br />
program the 24 men and 9 females completed a 2 week<br />
training session funded by MMJV’s Hidden Valley Gold<br />
mine and facilitated by the Small Business Development<br />
Corporation (SBDC).<br />
As part of the Start Your Business (SYB) program, the<br />
participants from Kuembu, Kaisenik, and Wandumi villages<br />
were put through a series of theory sessions covering Assessing<br />
Business Opportunities and Developing Business<br />
Planning.<br />
urging the participants to make the right decisions to<br />
manage income generated from their small business<br />
projects.<br />
This is the 5th such capacity building training to be funded<br />
under the partnership between MMJV and SBDC for MMJV<br />
Stakeholder communities in the last 6 months at a cost of<br />
over K100,000.00 to date.<br />
Similar training sessions were conducted for Mumeng<br />
Inland Fish Farmers Cooperative in Timini and Sambio<br />
villages, another two for Biangai Coffee Farmers<br />
Cooperative in Biawen and Kwembu villages and one for<br />
Lower Watut Cocoa Farmers Cooperative in Tsilitsili village.<br />
Speaking at the presentation of certificates Wau Rural LLG<br />
President, John Yawa issued his thanks to MMJV for<br />
funding the International Labour Organisation (ILO) accredited<br />
training for the local villagers.<br />
Local Kuembu Village leader and elected Nakuwi<br />
representative Wayang Kawa, and councillors from the<br />
Biangai area in Wau also extended their appreciation to<br />
MMJV for being able to access supportive programs owing<br />
to the Hidden Valley Mine operating in their region.<br />
SBDC facilitator Geua Tomala, reinforced the challenge by<br />
Participants, facilitators and MMJV representatives.<br />
Locals to access part of historic track<br />
A Memorandum of Understanding (MOU) has been signed<br />
between HVJV and the villagers of Tekadu, Yanima and<br />
Anadia in the Wau-Bulolo District of <strong>Morobe</strong> Province, to<br />
allow villagers to use part of the Bulldog track that passes<br />
through <strong>Mining</strong> Lease 151.<br />
The signing of the MOU took place on December 3 and was<br />
attended by HVJV’s Sustainability and External Relations<br />
General Manager, David Wissink and Bulolo MP Hon. Sam<br />
Basil.<br />
Since 2007, the portion of the track on ML151 was limited<br />
to all unauthorised people in compliance with Papua New<br />
Guinea’s <strong>Mining</strong> and Safety laws during mine construction<br />
period and now with the mine in production, as a safety<br />
requirement to protect the health and safety of locals,<br />
employees and assets.<br />
Following discussions between HVJV, Mr Basil and the<br />
District Administration, the agreement, will now see<br />
traditional users checked in, processed and transported<br />
in NKW Holdings vehicles fitted to HVJV mine standards<br />
through the mine operations area.<br />
Mr Wissink said the service would ensure the lives of people<br />
near the mining area are not entirely disrupted.<br />
markets in Wau, Bulolo and Lae,” Mr Wissink said.<br />
This is especially important for remote villages like Tekadu,<br />
which borders on the Gulf Province.”<br />
Mr Basil also warned the villagers to ensure the service is not<br />
abused. “Traditional users of the Bulldog Track must<br />
ensure that criminals or people who will cause trouble, are<br />
not allowed to access this service,” said Mr Basil.<br />
The HVJV transport service will initially be run three days a<br />
week and can be reviewed as required with the local<br />
communities and government.<br />
“HVJV understands that traditional users of the track want to<br />
transport their cash crops through the mining area to<br />
HVJV’s CA Superintendent Maima Abba and village representatives sign<br />
the agreement.<br />
page 7
Cocoa farmers learn basic skills to increase production<br />
More than 200 cocoa farmers from the Lower Watut villages<br />
have learnt that proper management of cocoa trees is the<br />
key to increasing production.<br />
The knowledge was imparted during the distribution of<br />
Integrated Pest and Disease Management (IPDM) Tools<br />
and field demonstrations conducted on the use of the tools,<br />
funded by HVJV.<br />
The weeklong tools distribution program conducted<br />
November saw the distribution of 60 pole pruners, 150<br />
secateurs, 150 bow saws and 70, 000 polybags, given<br />
to farmers who make up 27 cocoa cluster groups from<br />
Magering, Katzek, Malarina, Madzim, Benseng, Wampan,<br />
Kaiam, Uruf, Wonkings, Kapunung, Mafanazo, Chiatz and<br />
Goraris villages along the Lower Watut River in Bulolo<br />
District.<br />
The program was undertaken following earlier visits to the<br />
villages where lack of IPDM practices was identified as a<br />
major problem in established cocoa blocks.<br />
In addition, use of inappropriate tools and negligence of the<br />
IPDM practices as a result of lack of training, knowledge and<br />
skills also contributed to the problem.<br />
The field practicals on the use of the tools were conducted<br />
by Peter Daniels, extension officer from the Cocoa and<br />
Coconut Institute (CIC) in <strong>Morobe</strong> who has 30 years<br />
experience in this work, with assistance from Ben Misironga,<br />
agriculture officer from the Huon Gulf District and Sophin<br />
Malaku, MMJV’s agriculture project supervisor.<br />
Mr Daniels told the participants that the increase in<br />
cocoa production will happen only when there is proper<br />
Mr Daniels demonstrates the use of the secateurs to the farmers.<br />
management through IPDM on their cocoa blocks.<br />
“In cocoa production, IPDM practices are critical as it<br />
contributes a lot towards increasing production per hectare.”<br />
“The increase in production is through IPDM or Cocoa Pod<br />
Borer (CPB) training alone, unless there is a hindrance from<br />
natural disasters or unfavourable prices, inflations and other<br />
factors affecting growers’ effort and interests,” Mr Daniels<br />
said.<br />
As part of the field demonstration, Mr Daniels also provided<br />
basic knowledge on the different forms of cocoa pruning<br />
under IPDM such as Formation, Chuppon, Sanitation and<br />
Structural Pruning as well as information on spacing and<br />
Clonal Pruning.<br />
The participants showed enthusiasm in learning and are<br />
keen to have a more in-depth training conducted on IPDM.<br />
MMJV assists school to complete library<br />
Bright blue skies, calm blue sea, the beat of kundu drums<br />
accompanied with perfect island harmony was the setting<br />
for the opening of a new library at Busamang Primary<br />
School, in the Huon Gluf district of <strong>Morobe</strong> Province.<br />
This rural school has set the foundation for other rural<br />
and urban schools to follow with the construction of the<br />
permanent double storey library. A library is a ‘world of<br />
knowledge, a place that brings the world closer.<br />
The Busamang Primary School library was constructed<br />
with funding assistance of K92, 000 from the New Zealand<br />
government. Due to a shortfall as a result of increase in<br />
material costs since the funding was made available in<br />
2008, the building was not completed.<br />
After hearing about the school’s need to complete the<br />
building, MMJV assisted with K18, 000 worth of building<br />
materials.<br />
On Friday October 26, the people of Busamang village<br />
celebrated the opening of the building attended by Deputy<br />
Governor, Morokoi Gaiwata, Provincial Administrator,<br />
Kemas Tomala, other <strong>Morobe</strong>an leaders and MMJV<br />
representatives.<br />
It was a moment of great pride and achievement for the<br />
people and especially for the school’s head teacher, school<br />
board and village leaders who took the initiative to provide<br />
this important learning tool for their children.<br />
The new double storey library at Busamang Primary School.<br />
page 8
Participating in the 2011 Lae Daffodil Golf Challenge<br />
Every year in August, Daffodil Day is observed throughout<br />
the world with fundraising activities to strengthen the fight<br />
against Cancer.<br />
This year, the annual Daffodil Corporate Golf Challenge<br />
was held on August 26 in Lae for the first time. The event<br />
was hosted by Oil Search Limited with assistance from the<br />
PNG Cancer Relief Society (PNGCRS).<br />
As part of its social responsibility to the wider PNG<br />
community, MMJV participated in the charitable event by<br />
sponsoring three teams.<br />
A total of K125, 000 was raised and will go towards<br />
supporting the National Cancer Treatment Centre at the<br />
Angau Memorial Hospital. The centre registers close to<br />
400 cancer cases per year with breast cancer making<br />
up 20 percent. The centre caters for patients from all<br />
over the country and provides both Radiotheraphy and<br />
Chemotherapy treatment.<br />
The men and women’s teams in action.<br />
PNGCRS says the exact number of cancer cases is not<br />
known but is estimated to be between 10, 000 to 15, 000<br />
cases per year.<br />
Wau-Bulolo students get double classrooms<br />
Five communities in the Wau-Bulolo District in <strong>Morobe</strong><br />
Province have become the first to receive new double highset<br />
classrooms.<br />
These communities include the three principal landowner<br />
villages of Nauti, Winima and Kuembu, surrounding Mainyanda<br />
village and the only technical vocational school in the district,<br />
the Bulolo Vocational School.<br />
In addition to the elementary classrooms, each of the<br />
landowner villages also received an aidpost and a community<br />
hall while Bulolo Vocational School a highset staff house.<br />
These projects were funded by HVJV through its Education<br />
Assistance Program.<br />
HVJV General Manager Sustainability and External Relations,<br />
David Wissink said the company’s education program is aimed<br />
at building the capacity of the district. He said Hidden Valley<br />
mine will need trained people and a big part of that will come<br />
from the district. He said the company wants to leave behind<br />
a better future for the people of Bulolo.<br />
cost of more than K500, 000 since the establishment of the<br />
subsidy program in 2010.<br />
Furthermore, it also covers training materials for schools. Five<br />
elementary schools including the three landowner villages,<br />
Zindaga in the Wafi area and Wongkins in Lower Watut have<br />
received teacher training materials.<br />
In 2010, 578 students attending 58 institutions throughout<br />
<strong>Morobe</strong> Province and the country were covered while this year<br />
608 children were supported. As this is a three year program,<br />
final assistance will be provided in 2012 and a review will take<br />
place to ascertain the continuation of the program after that.<br />
These projects are implemented in line with the Bulolo and<br />
Huon Gulf District Education priorities.<br />
Other schools also benefitting from the HVJV Education<br />
Assistance Program include Grace Memorial Secondary<br />
School, Baiyune High School, Sambio Primary School,<br />
Mainyanda Primary School and Gabensis Primary School.<br />
The assistance program also covers school fee subsidies<br />
for children from Hidden Valley, Watut River and Wafi-Golpu<br />
communities. The assistance provides 50 percent subsidy<br />
on Grade 7 to 12 tuition fees, rising to 100 percent for high<br />
achievers. A total of 1461 children have been supported at a<br />
The double classroom at Winima.<br />
page 9
K1 million water supply project for Huon Gulf<br />
MMJV has formally signed a partnership agreement to<br />
assist the Huon Gulf District <strong>Joint</strong> District Planning & Budget<br />
Priorities Committee achieve its aim of providing rural water<br />
supplies to the people of Huon Gulf in <strong>Morobe</strong> Province.<br />
The agreement was signed between Huon Gulf District MP,<br />
Hon Sasa Zibe and MMJV’s General Manager Sustainability<br />
and External Relations, David Wissink on October 12, and<br />
came about as a result of initial discussions held in December<br />
2010 between Mr Zibe and the MMJV.<br />
“Today’s agreement underlines the serious commitment that<br />
MMJV has in developing productive working partnerships<br />
with key stakeholders in helping deliver essential water<br />
supply services for our stakeholders,” said Mr Wissink.<br />
Under the agreement, each party will fund an approved<br />
Huon Gulf District Water Supply Programme (“Water Supply<br />
Programme”) on a Kina for Kina matching basis, up to a<br />
total of K1 million each.<br />
The Water Supply Programme will relate to those<br />
communities residing within the Huon Gulf District which are<br />
in the vicinity of MMJV’s mining and exploration activities.<br />
The districts JDPBPC has identified the provision of rural<br />
water supplies as a priority, with the objective of making<br />
clean and safe water available to all of the communities in<br />
the district.<br />
MMJV similarly considers the provision of community water<br />
supplies to be a key component of its Community & Regional<br />
Development support program in the areas in which it has<br />
mining and exploration activities throughout the <strong>Morobe</strong><br />
Province.<br />
Already it has constructed 14 water supply projects in the<br />
Lower Watut, another 6 out of 14 projects in the Upper Watut<br />
including the 3 mine land owner villages.<br />
The Huon Gulf District incorporates areas of MMJV’s<br />
Wafi-Golpu <strong>Joint</strong> <strong>Venture</strong> and <strong>Morobe</strong> Exploration <strong>Joint</strong><br />
<strong>Venture</strong>, administered and operated by Wafi-Golpu Services<br />
Limited and <strong>Morobe</strong> Exploration Services Limited.<br />
First two female field assistants recruited<br />
Two landowner women have become the first to be recruited<br />
as field assistants with the Geology Department at the<br />
Wafi-Golpu project.<br />
Elizabeth Girinde and Karen Willie are now part of a team<br />
of local field assistants who come from the two landowner<br />
groups of Yanta and Hengambu. Elizabeth hails from<br />
Pekumbe village while Karen is from Gingen.<br />
Thanks to the initiative by the Wafi-Golpu Geology<br />
department, Elizabeth, a certified motor mechanic and Karen<br />
with a grade 11 education, are learning what it is to be field<br />
assistants. Their recruitment underpins one of the joint<br />
ventures aim to create equal employment opportunities for<br />
local women in all areas of its operations.<br />
Having no prior knowledge of this field, Elizabeth and Karen<br />
are finding it very interesting and are determined to learn.<br />
Since joining the all male team on November 7, the two are<br />
learning fast and relishing the challenge.<br />
Their main daily task is to help with geotechnical logging<br />
that specifically involves taking measurements which will be<br />
used for the calculation of core recovery and rock quality<br />
designation. All the data that is gathered from the logging is<br />
stored on laptops using the Logchief software. In addition,<br />
they will also be required to do all tasks involved in core<br />
processing at the coreshed.<br />
“It is very interesting work, we are enjoying it and as we<br />
gain more experience we hope we can contribute more,” the<br />
women said.<br />
Project Geologist, Mashiyyat Wima said the department<br />
wanted to provide equal opportunities for both men and<br />
women from the landowner villagers to work as field<br />
assistants.<br />
“We only had males and thought, why couldn’t we have<br />
females? We wanted field assistants with at least grade 10<br />
and above, and being a female should not keep them from<br />
becoming field assistants when they meet the requirements,”<br />
said Mashiyyat.<br />
“During the first week, Elizabeth and Karen learnt quickly<br />
and are already proving to be of great help in our core shed.<br />
They are also outgoing and are getting on very well with their<br />
male counterparts,” she said.<br />
As the women grow with experience, at some point they will<br />
be required from time to time to work at the rig sites in order<br />
to collect quality data.<br />
Karen, left, and Elizabeth logging core at the core shed.<br />
page 10<br />
Both women appreciate the opportunity provided by the<br />
Wafi-Golpu Geology department.
Message from GM Exploration - Mike Erceg<br />
The Exploration team has been busy regionally, working on<br />
tenements north and south-east of Wau ensuring statutory<br />
work programmes and expenditure commitments are met.<br />
This has meant establishing contact with local people,<br />
negotiating access, setting up fly-camps and recruiting locals<br />
as casuals before the geologists can get on the ground and<br />
start their mapping and sampling programmes.<br />
The geologists don’t go out there “blind”. The tech services<br />
group evaluate the data available including Government<br />
maps, historical data, Landsat imagery and geophysical<br />
data. The porphyry targets that we are exploring for tend to<br />
have a large footprint which should be readily identifiable in<br />
surface geochemistry and in magnetic surveys.<br />
The areas the teams have been working in are very isolated<br />
and accessible only by helicopter. Communications back to<br />
“civilisation” at Wau base is by radio or Sat-phone monitored<br />
24hrs a day by APD.<br />
So a special thanks to the support team including<br />
Community Affairs, Logistics, Tech Services, APD Security,<br />
Stores, Medics and the pilots who skilfully fly the teams and<br />
supplies in and out.<br />
This programme is coming to an end as we begin the next<br />
phase of our 2011/12 programme – drilling.<br />
The new Longyear SC-11 helirig has arrived at Wafi and<br />
Traverse Drilling will begin commissioning it shortly. The<br />
rig is then scheduled to be flown into Kesiago to begin a 6<br />
month programme of holes testing porphyry targets south of<br />
Golpu along the Wafi corridor.<br />
A second heli-rig is due in Lae in December and will mobilise<br />
to Heyu prospect on the Watut downstream of the Hidden<br />
Valley mine. A drill camp is being<br />
established and drill pads are being<br />
prepared.<br />
Professional development has<br />
been a focus with many of our<br />
geologists attending one or more<br />
conferences including the PNG<br />
Chamber of Mines <strong>Mining</strong><br />
Seminar and the New<br />
Generation Gold Conference in Perth. Conrad, Betty and<br />
Charles scored a side trip to Newcrest’s Telfer mine. Cam<br />
Mackey (Newcrest’s geophysicist), Mark Pirlo (Newcrest’s<br />
geochemist), Joanna Pearson (Harmony’s Database<br />
Manager) and David Gray (Structural Geology Consultant)<br />
provided training in specialist areas.<br />
A special mention must be made of the efforts of the Safety<br />
team. They were tasked with a complete revamp of<br />
Exploration’s safety systems and processes mid-year<br />
knowing that in December Mark Adams, Newcrest’s Safety<br />
Auditor, was booked in for a systems audit.<br />
I am very pleased to announce that Exploration scored very<br />
well with further work required in areas of Risk Assessment<br />
and Hazard Identification and site-based Emergency<br />
Response Plans.<br />
Final mention must go to the tireless efforts of Conrad<br />
Palaulo. Conrad inherited the Exploration Manager’s<br />
position from Bernard and Robin when they left mid-year.<br />
He has managed to re-build the exploration team and<br />
maintain credible levels of activity. His efforts have not gone<br />
un-noticed in senior management levels of both Harmony<br />
and Newcrest. Conrad was officially offered the position in<br />
November and has accepted the postion.<br />
Structural Geology Consultant David Gray, right, with geologists Luther Iralu, Ramsay Yehimen and Conrad Palaulo at Heyu prospect.<br />
page 11
Rose on a HD785 haul truck at Hidden Valley mine.<br />
Dreams do come true<br />
After four years of commitment, dedication and the foresight<br />
to achieve something big, Rose Sogowa has showed that<br />
dreams do come true.<br />
With only a certificate in secretarial studies, Rose has proved<br />
that nothing is impossible if you believe in yourself and set<br />
your mind to it.<br />
In early October, Rose was promoted to mine trainer<br />
and supervisor at the Hidden Valley Operations <strong>Mining</strong><br />
department after working as a heavy equipment operator<br />
(HEO).<br />
Rose comes from Winima village, one of the three principal<br />
landowner villages of the Hidden Valley mine in the Bulolo<br />
District of <strong>Morobe</strong> Province.<br />
Her promotion is a first for a landowner woman working<br />
at the mine, especially in the mine operations department<br />
where she was also a pioneer female HEO.<br />
“As the first female trainer/supervisor, I hope to become a<br />
good example for the other local female operators, to make<br />
them see that there are opportunities out there if you work<br />
hard, commit yourself to your job and your potential will be<br />
recognised” she said.<br />
Hidden Valley Mine Department Manager, David Masani said<br />
the mine was serious in it’s commitment to providing equal<br />
employment opportunities for its workforce.<br />
“This is an example of the MMJV commitment to live<br />
this phrase and see it manifest through the lives of our<br />
employees and especially amongst our female workforce,”<br />
he said.<br />
Rose’s promotion also signifies the importance of training<br />
and localisation opportunities for locals at MMJV’s Hidden<br />
Valley operation.<br />
In the last two months, six of Rose’s national colleagues<br />
in the mine department have also been promoted into<br />
leadership roles, including four from the local landowner<br />
villages. Iso Ealedona from Senior Mine Planning Engineer<br />
page 12<br />
to Superintendent Mine Operations Planning; Jon<br />
Selou, Foreman Blasting to Coordinator Drill and Blast; Joel<br />
Awi, Mine Supervisor to Mine Foreman; Rex Kaibe, Mine<br />
Supervisor to Mine Foreman; David Wawa, Blast Shot firer<br />
to Supervisor Blasting; and Manuel Wayang from Senior<br />
operator to Mine Supervisor.<br />
“Again this shows we are serious about developing Papua<br />
New Guineans into senior roles based upon merit and quality<br />
of service we get from our employees,” says Mr Masani.<br />
For Rose it’s another first leading the way; “I would like to<br />
encourage my other female local colleague operators to<br />
step up to the mark and know that women do have equal<br />
opportunities as men,” she says.<br />
Four years ago her interest to drive huge machines was<br />
kindled when she heard stories from operators who were on<br />
field break describing the work HEO’s do on site.<br />
In May 2008 she began her career in the <strong>Mining</strong> department<br />
as one of the first three local female trainee HEOs to be<br />
recruited.<br />
Rose says it was a great challenge being a HEO then, during<br />
a time where, operating huge pieces of equipment was seen<br />
as a job for men only.<br />
She started off as a dump truck (HD 785) trainee operator<br />
and later passed out as a competent truck operator. The<br />
following year, she learnt to operate other heavy equipment.<br />
“While being an operator, I thought about my future career<br />
and wanted to become a trainer/supervisor one day.<br />
“With the experience gained operating different types of<br />
heavy equipment, I believe I have the knowledge and skills<br />
to pass on to new trainees and operators,” says Rose.<br />
Like her male counterparts, Rose has extended her<br />
appreciation to her former and current supervisors,<br />
management and trainers for their help and support in<br />
mentoring them to reach this level.