Post-Courier
THE Lihir Landowners want the Sweep Team to look into the issue of a K5.95
million payments to Lihir Geothermal Limited (LGL) in 2009 for drafting a policy
and legislation on geothermal energy for Lihir Gold Mine.
The landowners also want the Sweep Team to look into a US$ 10 million payment as a success fee paid to the company LGL as stated in a National Executive Council paper – Decision number 25 of 2009 which they had just obtained.
“We just want an explanation, maybe from Petroleum Minister William Duma or the Mining Minister because it seems the fees are too excessive and if it came from the LGM, it is suspicious,” the landowners said yesterday.
“We are in receipt of a Cabinet decision of 05th March 2009, where Council:
*Approved the Inter-Departmental Tender Committee and Ministerial Economic Committee (MEC) recommendation for Lihir Geothermal Limited (LGL) to be engaged to draft policy and legislation on geothermal energy at a cost of K5.95million and payment to be made as per the Departments of National Planning and Monitoring, Treasury and Finance approvals;
*Approved engagement of Lihir Geothermal Limited (LG) as the preferred geothermal consultant at a proposal success fee of US$10 million. The success fee shall be paid from monies secured from Lihir Gold mine (LGM);
*Directed the minister for Petroleum and Energy to provide copies of draft policy and legislation once it becomes available and seek further directions from the NEC and
*Directed Minister for Petroleum and Energy to provide updates on the negotiations with Lihir Gold Mine (LGM) on the payment for use of the State’s geothermal resources.
“We are not saying this is illegally used or this is misused. We are just querying who owns LGL, and anything else we Lihirians need to know,” they said.
“If these payments were approved as engagement of consultants to undertake policy and legislation on geothermal and secure payments from Lihir Gold Limted for the extraction and commercialization of geothermal resources on Lihir island, we as the landowners need to know,” they said.
The landowners will be writing to Governor Sir Julius Chan and Mining minister Byron Chan and the Minister responsible to explain.
The landowners also want the Sweep Team to look into a US$ 10 million payment as a success fee paid to the company LGL as stated in a National Executive Council paper – Decision number 25 of 2009 which they had just obtained.
“We just want an explanation, maybe from Petroleum Minister William Duma or the Mining Minister because it seems the fees are too excessive and if it came from the LGM, it is suspicious,” the landowners said yesterday.
“We are in receipt of a Cabinet decision of 05th March 2009, where Council:
*Approved the Inter-Departmental Tender Committee and Ministerial Economic Committee (MEC) recommendation for Lihir Geothermal Limited (LGL) to be engaged to draft policy and legislation on geothermal energy at a cost of K5.95million and payment to be made as per the Departments of National Planning and Monitoring, Treasury and Finance approvals;
*Approved engagement of Lihir Geothermal Limited (LG) as the preferred geothermal consultant at a proposal success fee of US$10 million. The success fee shall be paid from monies secured from Lihir Gold mine (LGM);
*Directed the minister for Petroleum and Energy to provide copies of draft policy and legislation once it becomes available and seek further directions from the NEC and
*Directed Minister for Petroleum and Energy to provide updates on the negotiations with Lihir Gold Mine (LGM) on the payment for use of the State’s geothermal resources.
“We are not saying this is illegally used or this is misused. We are just querying who owns LGL, and anything else we Lihirians need to know,” they said.
“If these payments were approved as engagement of consultants to undertake policy and legislation on geothermal and secure payments from Lihir Gold Limted for the extraction and commercialization of geothermal resources on Lihir island, we as the landowners need to know,” they said.
The landowners will be writing to Governor Sir Julius Chan and Mining minister Byron Chan and the Minister responsible to explain.
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