Sydney, Australia – Justice Foundation for Porgera (JFP), an entity which represents landowners in the Porgera region in north-western Papua New Guinea, has submitted a position statement to Barrick Gold and its subsidiary Barrick Niugini outlining irreparable losses as a result of social, economic and environmental damages caused by its Porgera gold mine. JFP are seeking billions of dollars in compensation on behalf of Landowners from Barrick Niugini through the claims set out in the position statement.

The position statement claims that landowners’ subsistence and livelihoods were catastrophically changed as a result of the almost doubling of the open pit mining rate which had initially been agreed to in the 1989 MDC, and that Barrick Niugini breached agreements pertaining to environmental standards, the relocation of displaced landowners and the number of fly-in, fly-out workers to the region.

Barrick recently announced its intention to sell its interests in Papua New Guinea as part of a greater debt reduction plan which includes the sale of assets in Australia. The position statement was provided to both Barrick Gold Corporation Canada and Barrick Niugini Ltd on 24 February 2015, putting the company on notice to disclose the landowner’s pending legal claims to any potential investors.

Within weeks, Barrick Niugini engaged Credit Suisse to search for an external buyer for its 95 per cent stake in the Porgera mine, and other interests in Papua New Guinea and Australia.

Kurubu Ipara, Chairman and Director, Mineral Resources Enga (MRE), which holds 5 per cent share of the mine in trust for the landowners with the Enga Provincial Government, claims that “Barrick will sell its interests without proper notice and exit PNG leaving the Landowners with a new owner who will not provide restitution for the damage left behind or that MRE, the Landowners or citizens of PNG will be left with an insurmountable bill to remedy the social and environmental damage”- 6 February 2015

A group of specialists, including lawyers, scientists and film crew, have recently conducted a fact-finding mission to the area to gather data and evidence to support JFP’s claims. Evidence secured includes photographs of impoverished townships, harsh living conditions and poor quality infrastructure. It also includes testimony from landowners, including women who claimed to have been gang raped and families who allege that they have been forcibly removed from their land without compensation.

A 2011 Human Rights Watch report found that Barrick Niugini-hired mine guards detained women found trespassing on the mine site and “gave them a choice of submitting to gang rape or going to prison”. The report also states that “Barrick has responded with dismissive hostility to concerns about its human rights record at Porgera.”

JFP was formed by 14 landowner clan agents of the Porgera Special Mining Lease that were displaced by the mine’s activity.

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Barrick faces multi-billion dollar suit over Porgera mine

Cecilia Jamasmie

http://www.mining.com/barrick-faces-multi-billion-dollar-suit-over-porge...

19 March 2015

Canada’s Barrick Gold, in the midst of a worldwide assets sale to help reduce net debt by at least $3 billion, has something else to worry about these days, as the firm is now facing a legal threat in Papua New Guinea.

A group of landowners announced Thursday they have submitted a position statement to Barrick, and its subsidiary Barrick Niugini, outlining “irreparable losses” as a result of social, economic and environmental damages caused by the Porgera gold mine.

The alliance, called Justice Foundation for Porgera (JFP), claims property-owners’ subsistence and livelihoods were “catastrophically changed” as a result of the near doubling of the open-pit mining rate. They also argue that Barrick Niugini breached agreements pertaining to environmental standards, the relocation of displaced landowners and the number of fly-in, fly-out workers to the region.

In an emailed statement, Barrick said it has reviewed JFP’s submission, but believes it has no legal merit as determined by the State Solicitor of Papua New Guinea after analyzing a similar position statement issued in 2013.

“As manager of the Porgera Joint Venture, Barrick is committed to constructive dialogue with all of its stakeholders. The mine maintains a number of formal channels for landowners and other groups to raise issues of concern on an ongoing basis.

“[However] Barrick believes the claims put forward by the Justice Foundation for Porgera have no legal merit.”

Porgera, which produced 493,000 ounces last year, is one of Barrick’s assets up for sale in Australia. Located in PNG’s highlands, the operation is expected to fetch close to $100m.