GOVERNMENT MUST BUILD TOLUKUMA ROAD – PC

PCBanner
September 4, 2017
A major investor in the mining industry has just pulled out of the country sending adverse signals about the supposedly conducive economic environment for foreign businesses.

This is right at the door step of the nation’s capital at Tolukuma which is only 100 km north of Port Moresby.

And part of the reason is because of the failure of the Government to honour a commitment to build a road linking the capital to the mine site.

The mine is struggling with high operational costs despite its proximity to Port Moresby because 40 percent of its logistical requirements are delivered by helicopter.
This is the inevitable, and the continued declaration of losses annually would have been cushioned had that critical piece of infrastructure in the road link been accomplished about 10 years ago.

And that is how old this commitment to build the road is since the mine was operational and its operating finances were structured around recouping the high operational costs with the assistance of lower transportation costs.
This has never eventuated to date even.

We cannot continue to treat potential investors with such ad hoc commitments made casually during agreement signing ceremonies to make the government look good.
Where is the honesty, business acumen and commitment which professional and international best practice agreements are built and honoured.

Surely a 100km road link, despite the harsh geographical terrain in the Goilala District, is not that uncommon compared with similar settings elsewhere in the country.

And now with the departure of the company from Tolukuma goes nearly 600 jobs with it.
And for the last couple of months, workers there have not been paid and are at a complete loss as to how to support their families.

Tolukuma’s PNG owners who are State entities have more than a moral and financial obligation to keep the mine operational because of the benefits that are supposed to be derived for the sake of not only the economy but, the welfare of the local people there, who are the least developed in every sense of the word.

For the sake of the country’s international reputation and record, the owners of Tolukuma have to work around the clock now and secure resources that can save the operations, jobs, resource output and recover lost ground in the cutthroat business.
The State should utilise spare capital from its other resource project holdings and help save Tolukuma to maintain its strategic importance in a place where development hardly sees daylight.

source: GOVERNMENT MUST BUILD TOLUKUMA ROAD – PC

TOLUKUMA GOLD MINES EVICTED DUE TO NON PAYMENT OF RENTALS – PETROMIN HOUSE

Asidokona owned and operated Tolokuma Gold Mines Limited has once again hit the spot light.

This time, TGM has been evicted out of Petromin House at Murray Barrack, Port Moresby for non payment of rental going back a month or more.

Reliable source from within Tolokuma Gold mines confirmed the eviction rumor is real.

Sources from Tolokuma Gold mine site also confirmed employees have not been paid for over 6 fornights.

Most of the hired employees have left and the local employees are not sure what really is going on with this mine.

The Mine now has a handful of senior management staff who are over seeing the already malfunctioning mine operations.

The mine is actually not runing to its full capacity at all.

It was confirmed this morning Chopper company providing air transport service to the mine’s operations has also pulled back due to non payment of dues.

This ineffective, substandard management of TGM by Asidokona Minning Company has also affected Tolokuma Primary schools operations. Head Teacher of TGM Primary confirmed they have sent students home due to shortage of stationary and support from TGM to their general running of the school.

TGM Clinic has also scaled down on its operations due to shortage of drugs in their storeroom.

Prices of basic food stuff at the mine site has double if not trippled in the last few weeks.

Asidokona is truly a mystery mining company that seem to have no idea whatsoever in running this mine. There is no professionalism in its structure and its planning and its execution of its plans and goals.

Its a pity the PNG Government seem to turn a blind eye on TGM and its hardship.

YLA CHAIRMAN George Gusi REFUSES TO SIGN MOA – TGM.

The Tolukuma (Yulai) Landowner Group representing landowners of the Tolukuma Gold Mine refused to sign the revised Memorandum of Agreement (MOA) in Port Moresby today.

Chairman George Gusi snubbed the long overdue revised MOA, claiming there are still outstanding issues to be settled.
08cptolukumalo

Facilitated by the Mineral Resources Authority (MRA), the signing ceremony was attended by Mining Minister Byron Chan, Central Province Governor, Kila Haoda, Executive Director of Asidokona, Vincent Siou, Woitape LLG President Joe Geru, and MRA Managing Director, Phillip Samar.

Speaking at the ceremony, Gusi asked for an extension to iron out outstanding issues which they want to see contained in the current MOA as he claims there was a lack of consultation by the MRA.

He said some of the outstanding issues include:

Establishment of the Infrastructure Development Committee;
Environmental damage report on the waterway and tailings dam, which is a national issue on the reputation of the mine;
No proper mine development plan showing the lifespan and economic value of the mine; and
No proper landowner business plan under the spin off benefits and life after mine programs.

Gusi also asked why there was a rush to sign the MOA on the eve of the elections, questioning the legal basis justifying Minister Chan and Governor Haoda to proceed as signatories.

“We are confused as to why we are rushing to sign. I strongly recommend that we defer the MOA signing till after the return of writs. It’s only five weeks away,” he said.

“So after the elections, we have a legitimate Government and authority to execute our MOA.

“Ladies and gentlemen, both national and provincial governments have totally failed to implement many undertakings in the previous MOA.”

Despite his refusal, the signing ceremony went ahead with all parties content with the MOA. Gusi maintained his stance and did not sign.

Following the singing, Minister Chan said the previous MOA did not contain any Government commitment, however, the revised agreement contained guarantees which the government was willing to deliver.

They include, among others, the Tolukuma Highway upgrade project.

Chan said he would not have proceeded with any signing if he knew there were still outstanding issues.

However, he said the revision of the MOA was an ongoing thing and any outstanding issue would be catered for down the track.

“Whatever we sign today, it’s continuous, it’s a Government commitment to the people of Central Province, Goilala District and to your people. It is our commitment,” he said.

“This Government has committed all of these projects to you as of today.”

Meanwhile, Bonnie Gelu, from the State Solicitors office, who was present informed landowners and guests that Minister Chan and Governor Haoda, as signatories to the MOA, are acting within the legal parameters as they are still recognized as elected leaders until the return of writs.

Picture: Signatories to the revised Tolukuma MOA having a toast while Yulai Landowner Association Chairman, George Gusi, shows disinterest.

Author: Cedric Patjole, LOOPPNG

IS TGM STILL UNDER CARE MAINTAENANCE YET?

Or has TGM under ASIDOKONA gone into full swing Operation already?

From reliable source at Tolukuma Gold Mines, it is said that the local workforces have not received their fortnightly wages and salaries for x4 fortnights to dates.

It’s not just the first time for such experience. This has occured a couple of times before.

Digicel Network coverage moat of the time goes off and makes life difficult for employees to communicate with families in pom and around png.

Food rations has run out on several occasions before. And might be winding up sooner.

The sad thing is that the employees on site has families who frequent ATM machines to check balances only to find K0.00.
They have school fees to pay, hospitals fees to pay.

There is no clear cut Mine operational direction. Every one is living one day at a time. No one knows what tomorrows operational plans are.

Is ASIDOKONA MINING company really a reputable company that has what it takes to operate a Gold mine?

Could the developer shed some light on this.

when actually does does the production start?

The employees of Asidokona ownes TGM and the larger Goilala people need to know what the current status of TGM is in as far as its operations are concern.

This Gold mine has been under care maintainance for 2 years now. Is this the normal lenght of time required to run a mine under care maintainence?

TGM is one if not the only revenue generating avenue for 90% of Goilalabpeople and the confusion on the general mine’s operation is so loud that its becoming very visible.

TGM is currently been managed at an adhoc basis.

Leaves alot to be desired about regarding Asidokona Mining Company.

Where is George Gusi – YLA Chairman and Yulai elite?

Woitape LLG President Hon Joe Geru, do you have any idea of whats going on?

Philip Gugub, the EO for Member for Goilala, is Hon Samb aware of the unprofessional nature of things at TGM?

Employees and former TGM employees like Gee Mavai, Peter Yaria, Henry Kisio, James Francis, Albert Lalup, Daimahn Biah, Camillo Uvi, James Koga, Michael Songen, Daniel Kulolo Andrew Olu, Epi Koga

Can this piece of rumor be confirmed or denied?

ASIDOKONA RESPONSES TO Kelly Mende STATEMENT.

Dear Anthony Morant,

As you know in running the mine, the Mining Act requires us to engage certified Mine Managers. Because the Mine Managers Exams was postponed in December 2015, there is a dearth of certified Mine Managers. The current Mining Act permit us, the incumbent Mining Leaseholder to employ competent individual as acting mine manager for a limited period. MRA conducted its only Mine Managers exam for 2016 in December 2016, and we had three of our senior managers take the exam.

Kelly Mende is one of them and we are told that once the Examination Board is constituted, they will review the candidate’s papers and issue the Mine Manager’s Certificate accordingly.

In mid-December, we noted that a female storekeeper left the mine for her field break and did not return to work according to schedule. We made the necessary checks and after due process terminated her employment for breach of employment terms and rules. It then dawn on us the Kelly Mende went on his field break at the same time and did not return according to the schedule as well.
On 21 December 2016, we wrote to him requesting that he explain his absence. In his response, Kelly informed us that he is terminating his employment with us citing his inability to work under the system and structure set out by the Board of Directors.

From the outset the organization and management structure on how Tolukuma Gold Mines is to be managed by the new owners Asidokona Mining Resources was made known to all senior managers of the company.

Our structure differs from the one used by Petromin. The Directors have not altered the organization structure of the company since its implementation and neither have there been caused to change it.

We have filled up most key vacancies and the most recent being the appointment of Ms. Joy Herea to head the Human Resource function. After slightly more than a year, Kelly now cites that he cannot work with the chain of command and reporting lines set by the Board.

We do not wish to elaborate or dwell on the matter any further.
He has made his decision and we have made ours.
Please, therefore, respect his as well as our decisions.
Thank You
Asidokona Management.

POST COURIER & REPORTER JOE GURINA SUMMONED – ASIDOKONA.

From the information available, after Joe Gurina – a reporter with Post Courier – ran a article on the 29th July 2016, titled ” MINE LOs UPSET OVER ROAD TALKS”, Asidokona Mining Company has has contacted Joe Gurina asking for a refutation on that article and publicly apologize for defaming the TGM, Asidokona, stakeholders and the local communities and land owners.

To which Joe Gurina, it seems ignored to reply or make contact or even make an attempt to run the refutation as requested by Asidokona Mining Company.

Asodokona Mining Company has taken a step further up by summoning Alexander Rheeney, the Chief Editor for Post Courier to get Joe Gurina – reporter with Post Courier to apologize within the next 3 editions by Post Courier or be taken to court.

The defendants in this case would be Post Courier as first defendant, Joe Gurina as the second defendant and George Gusi, the Tolukuma Gold Mine Landowner Association Chairman, as the third defendant.
Bako-TGM road
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Part of the correspondence between Post Courier and Asidokona Mining Company.

“The writer seems bent on defaming and slandering Tolukuma Gold Mines Shareholders, Management and employees as well as the local landowners chiefs. He has done this a couple of times before and once again is leveling malicious and unfounded accusations against us and the other local landowners in the Yulai District area.

Mr Joe Gurina should have done some “due diligence” or investigate the subject matter, verifying reality from fiction. He owes the reader of your paper the duty to ascertain whether the comments made by George Gusi are purely conjecture and solely his own personal opinion alone. As a consequence of the article our senior management had a difficult time explaining and correcting the inaccuracies to the general public and government agencies.

Joe Gurina was subsequently contacted to publish “our” rebuttal on the matter. It appears that this is slow in coming if not ignored.

We are thus putting you on notice that if our account of the matter is not publish within the next three edition of your paper, we will seek legal recourse for punitive and liquidated damages from Mr Joe Gurina, George Gusi and of course the Post Courier.”
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Kelly Mende, General Mines Manager at Tolukuma Gold Mine, earlier this week ran an article post on Goilala District Facebook group – Goilala District Discussion Forum –  accusing Mr.George Gusi for misleading the people and also misinforming the media about what the actual issue is on the ground.

LO Concern

Photo: Newspaper cuttings – Post Courier.

ASIDOKONA TAKES TGM-BAKO ROAD SERIOUS

Asidokona Mining  Company after taking over Tolokuma Gold Mine from defunct Petromin Holdings Limited has embarked on a vigorous infrastructure development in and around Tolokuma Gold Mine area.

The major project that Asidokona has taken head on and treated it as priority is the Tolokuma mine to Bakoiudu road link.

Previous operators of TGM has relied too much on air transport to bring in their cargo and materials to operate this mine.

And that along had TGM tagged as the most expensive mine to operate in the whole world. This was purely due to the fact that choppers were engaged in transport personnel and materials to and from TGM.

Thanks to Asidokona Mining Company, engaging of choppers to assist with operations of the mine is now history.

Chiefs and leaders from Mondo, Hidu and Fane with Tolokuma Gold Mine’s CRO and CPG Police held a meeting in Gaiva village to lay out the foundation for the villages to join hands in seeing this road project from Gaiva to Belavista and Popole village.

Meeting at Gaiva for road to pass through, 7chiefs, holding hands…giving access for road.

Blogger Note.
A very heart felt Thank You to Asidokona Mining Company. And thanks to the people of Auga Dilava for allowing this very vital road to pass through their land [destroying their food gardens and some villages].

Today’s sacrifices are tomorrows many successful returns.

Hats off to the chiefs and leaders and all the people involved in seeing this major development take place.

Photo credit: Kelly Mende – TGM GM

PETROMIN COMPLETES DIVESTMENT PROCESS IN TOLUKUMA. – PC

STATE owned Petromin has successfully sold its ownership of Tolukuma Gold Mine to Singaporean Asidokona Mining Resources PTE for K81 million.

The transfer of ownership was formalized on December 2 at the mine site, witnessed by company officials from Petromin and Asidokona, Mineral Resources Authority, the Central Provincial Government, chiefs and landowners.

A relived managing director Thomas Abe on Wednesday announced the sale. The cash though is concessionary because Asidokona will also pick up Petromin’s K170 million liabilities comprising accumulated loses made over the last eight years. The downturn in commodity prices had added pressure to this financial burden, forcing Petromin to make the commercial decision to sell Tolukuma.

“I am pleased to announce that Petromin has successfully completed the sale of TGM to Asidokona, who will now be the new owner of Tolukuma Gold Mine,” Mr Abe announced.

He commended Asidokona for entering the PNG mining sector at this time and thanked them for their commitment and co-operation in completing the transaction successfully.

He said since acquiring the mine in 2008, TGM had accumulated around K170 million losses over the eight years.

But he said the sale now releases Petromin of this financial burden. He said despite the challenges Asidokona would be facing due to the nature of the mine operations, there was comfort in that the company already employed a core group of national staff.

Mr Abe said they were capable in meeting the challenges in order to turn TGM around for the collective benefit of all stakeholders.

The purchase price for TGM includes a non-cash component, which comprises giving 10 per cent of the issued share capital of Asidokona to be given free to the Central Provincial Government and the Tolukuma landowners.

Mr Abe said this is the first of its kind offered by a mining company.

“The agreement also provides K6 million contributory funding for the construction of a road to provide vehicle access to the village of Tolukuma,” he said.

Petromin will soon change its name to Kumul Minerals Holdings Ltd on January 1, 2016. Kumul Minerals is the State nominee for all upcoming mining development projects.

Despite the sale of Tolukuma, Kumul Minerals plans to become a major player in PNG’s mineral sector through partnerships in mineral resource projects.