Mining and petroleum industry’s contribution to nation building

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  • Taxes (company tax, royalty, dividend withholding tax, salary and wages tax, duties, production levy)
  • Dividends (equity)
  • Tax Credit Scheme
  • Special Support Grants and Development Levies
  • Employment
  • Education and training
  • Public health
  • Business and agricultural development
  • Community infrastructure

Royalties and taxes

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Linkages to the non-resources economy

  • Aviation
  • Drilling and drilling supplies
  • Seismic contractors
  • Analytical laboratories
  • Technical services of all types
  • Expediting and logistics
  • Earthmoving, sales and contractors
  • Trucking, sales and contractors
  • Shipping of all types, port services
  • Supply of motor vehicles and tyres
  • Wholesaling and retailing of fuel
  • Wholesaling and retailing of general merchandise, white goods, equipment and tools
  • Wholesaling and retailing of food supplies and catering
  • Maintenance and servicing contractors of all types
  • Accounting, legal, engineering, surveying and other professional services
  • Provision of accommodation including hotels, office, and private rental accommodation
  • Technical and vocational training
  • Security
  • Grassroots employment


Direct employment in the mining and petroleum industry, including project employees and contractors and exploration is currently estimated to be over 30,000.  This does not include the many short-term grassroots employees employed on a casual basis in exploration or the 80,000 artisanal and grassroots alluvial miners around the country.

Exploration in its own right is a major sector and employs large numbers of village people across much of the country. It is a grassroots activity that impacts directly on the rural areas unlike many other business sectors, or indeed government activities.  Significant employment and compensation benefits are provided and whilst they may be of limited duration they are often the only opportunities for many village groups to participate in the cash economy. Advanced mineral exploration sites and petroleum seismic and drilling camps often offer the only opportunity for isolated communities to access reliable and well supplied medical services, even though it may be on a temporary basis.

The contribution of mining and petroleum to downstream business and employment opportunities in associated industries, contractors, suppliers and retailers has not been quantified but is estimated to have a multiplier of the order of 4 to 5 times.  Evidence for this is indicated by the severe dislocation of businesses in many parts of PNG following the major decline in exploration from 1997 to 2002, as a result of the Asian financial crisis.


The largest proportion of the technical manpower being trained in PNG is generated from the mining and petroleum industry, and dates from the days of Bougainville Copper, through to the current projects. PNG has, and still is, exporting professional manpower which has been generated by the domestic mining and petroleum industry, to resource nations all over the world.

Projects Benefiting the Community

Ramu Bridge

TCS Program

Gesowa Jetty construction, Lower Fly River

TCS Program

Gesowa Jetty construction, Lower Fly River

Donating Uniforms to Students

PJV donating uniforms to students of Porgera Primary School


Oil Search providing health care to the local villages

Tabubil Hospital staff visiting and treating villagers at a local village

Tabubil Hospital staff visiting and treating villagers at a local village

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