PRIME MINISTER HON JAMES MARAPE HAS DONE WELL TO REWRITE RESOURCE LAWS AND AGREEMENTS THROUGH TOUGH NEGOTIATIONS
- Kotu Akema
- Mar 22
- 4 min read
by Amos Libe, Mondoli Tangi
Port Moresby
22nd May 2025
Under James Marape's leadership, PNG has seen remarkable advancements in its negotiations with major resource projects, including Porgera, Ok Tedi, Pasca, Wafi-Golpu, and Papua LNG. These outcomes represent a fundamental shift towards securing greater benefits for the people of PNG, ensuring that the country’s wealth stays within its borders and is reinvested into the nation’s development.
1. New Porgera Deal
In the Porgera deal, Marape succeeded in securing a better agreement for the people of Enga and the nation as a whole, pushing for an equitable partnership with Barrick that strengthens PNG’s ownership stake and guarantees local benefits. From a mere 2.5% equity to lavs ownership, PMJM increased the stake to 51% of which 36% to Kumul Minerals, 10% to landowners and 5% to Enga Provincial Government. This will outweigh losses suffered as the mine expected to extend over 10 to 20 years.
2. Gifting Ok TEDI Shares to Landowners and Provincial Government
At Ok Tedi, Marape’s government gave free equity to landowners and Provincial Government after former PMPO expropriated 100% owned by them in the pretext of free equity. At the end, he wanted landowners and PG to to pay for it.
Fortunately, Marape who grew up in the Star Mountains in his early ages show the plight of his people and gifted them free 36% first thing when he git elected in 2019.
Governor Toboi in his recent press statement confirmed they had to pay only stamp duty. He also applauded Marape for getting his Daru township and Kiunga to Tabubil roads seeing sealed up for the first time whilst remote Telefomin district HQ welcomed first vehicle last month. These are Marape's Take Back Policy..
3. Panguna Mine Equity gifted to ABG and Landowners
No one show this was coming but for sure this was Hela Hausman Pasin blo tok sori lo brata lo lewa stret. Marape had the courage to giveaway the entire State ownership to Bougainville Government and it's people. This was after one PM failed to give them as little as 2% equity and royalty and ended up unnecessary civil war that claimed over 20, 000 lives. Four other PMs set on it. PMJM will be remembered by Bougainville generations to come.
4. Pasca Deal is 70% State Take
The Pasca gas field deal marked another milestone, with Marape ensuring 70% State Take that PNG would secure more value through ownership and the development of downstream industries.
Don't take it for granted and play politics.
MRDC Group is expected to take whopping 50% direct equity which Gulf stakeholders likely to be carried almost 10% carried equity.
5. Wafi Golpu 55% State Take
His strong stance in the Wafi-Golpu negotiations resulted in a landmark agreement that balances economic growth with environmental responsibility, ensuring the project will generate wealth while minimizing its impact on local communities.
A 55% State Take is unmatched achievement for the nation. Isn't this takebackpng mission?
6. Papua LNG renegotiated
The Papua LNG agreement under Marape’s leadership guarantees greater national participation and benefits, ensuring that the country’s resources are leveraged for the long-term prosperity of its people. Through these key negotiations, James Marape has proven that his leadership is not only about standing up for the rights of the people, but also about ensuring that Papua New Guinea gains its rightful share of the wealth generated from its own resources.
Soin after deal was signed by PMPO, a much improved deal was renegotiated by PMJM. The long delay we've seen has nothing to do with that but a cost blowout projected by TotalSA but got refused by Co-Venture partners
7. Pynyan Gas Deal
Belief it or not, PMJM secured 63% State Take. That includes
Total state equity to be at 34.5% over and above the 22.5% allowed by oil and gas act, with ExxonMobil to offload 12% of their stake at fair market price to PNG parties of which PM has committed to offload most to Western Province and Landowners. Comparatively in PNGLNG we only have 19.6% and Papua LNG, the O’Neill Government signed up to only 22.5% as required by Law.
PMJM corrected the definitions of “well head value “of Royalty, Equity and Development Levy so that deductions only feature cost of harvesting the resources unlike present definition in both PNGLNG and Papua LNG. He has secured additional production levy at 3% not given in PNGLNG project and Papua LNG is at 2%.
It will rest at 63% all within the Pangu-led Coalition Government mandate that SNT had used for the negotiations. PNG should note that in PNGLNG we are gaining at 49% and Papua LNG at 51% so above 59% to 63% is an all-time high for our country. And it is within Marape's Manifesto and a perfect TACKBACKPNGPOLICY
8. Kroton Equity Gifted to LOs and PGs
The PNGLNG project landowners and Provincial Governments will remember PMJM and his Pangu-led Government for gifting them a 4.27% Kroton Equity which was priced at K3b at UBSA. Then PMPO promised them discounted K1b but tricked them with the controversial K3b UBS loan. PMJM decided to release release them free on any incumbent knowing the project already paid back State equity investment of K1. 2b.
I understand, it is a matter of final NEC Decision to completely separate between the 16% l State interest held by KPHL. Once that's done, Kroton Equity if managed well, can be the biggest private equity portfolio in the region as it'll likely be generate over K500million every year..
9. Increasing KPHL equity at PNGLNG project
To compensate for the sacrifice on Kroton Equity, PMJM secured a deliberate deal during Santos-Oil Search merger. The deal was formalized with acquisition of 2.5% this year and another 2 5% offer is on the table..
PNGLNG project will remain the most strategic and found infrastructure for other oil and gas fields. Undoubtedly, Papua and Pynyang will be linked to PNGLNG project infrastructure and future prospects likely to follow suit. Therefore, the decision to empower landowners and increase KPHL equity is right decision for the nation that nobody thought would be possible.
In conclusion, these hard-won gains under Marape’s leadership are a testament to his vision of economic independence and his commitment to the principle that the land and its resources belong to the people of Papua New Guinea. His success in these negotiations has set a new standard for resource governance in the Pacific and beyond. God Bless our Prime Minister James Marape
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