The global prices for gold, silver and copper have jumped to historical record high, prompting the good prime minister to direct the government’s financial bodies to enable Papua New Guinea (PNG) to tap into this right away.

Prime Minister James Marape has directed the Treasury Department and the Internal Revenue Commission (IRC) to undertake a comprehensive review of all mining agreements in Papua New Guinea, following record global increases in gold, silver and copper prices.

“With global gold, silver and copper prices reaching historic highs, mining operations in Papua New Guinea — whether large-scale or alluvial — are now generating extraordinary profits,” Prime Minister Marape said.

“Most production costs remain relatively fixed, apart from inflation. When commodity prices rise sharply, the country must also benefit through appropriate tax returns and dividends.”

Prime Minister Marape confirmed that Treasury and the IRC have been instructed to:

• Compile individual files on every operating mine, including:

• State-owned mining entities such as Ok Tedi Mining Limited.

• Joint-venture operations including Porgera.

• Medium and small-scale mining license holders.

• Conduct accuracy and compliance testing on all production and revenue declarations.

• Undertake joint reviews of project agreements with mining operators.

• Ensure transparency in royalty, tax, dividend and equity returns to the State.

“I have asked Treasury and the IRC to conduct accurate testing on all company declarations and to work collaboratively with operators to ensure compliance,” the Prime Minister said.

“Many of these companies have operated in Papua New Guinea for decades and are corporate citizens of our country. Goodwill, honesty and fairness are expected — especially when global commodity prices deliver windfall profits.”