Kokoda Track Update - Mining Kokoda

I was at the Helicopter pad in Port Moresby when the Frontier Resources crew flew to Nauro to stage there symbolic protest closure of the Kokoda Track. They had the cardboard and protest signs pretty much already drafted for the staged media event of the closing of the Kokoda Trail.

It was a fairly desperate attempt by the mining company to try and force the hand of the Government and to manipulate the feelings and emotions of the landowners.It is interesting to note that the exploration licence had elapsed 6 months earlier, so why so much activity now?

I was fortunate that Sam, the Nauro Chairman was gracious enough to spend some time with me on my recent trek across the Kokoda Track, explaining the locations of some alternative tracks in his area and also expressing his and the Clans feelings. The Nauro Chairman was extremely positive towards trekking in general continuing but had negative feelings towards a certain trekking company for past promises of resources, including aid posts, education, roads and airfields that never materialised. He could see mining not only delivering vast income and employment but essential services such as first aid care, education facilities, and road and air access to POM.

At present they have to walk to Ower’s Corner to pick up transport to take them to POM. They recently had the case of one of their young village members dying on the walk to POM seeking medical care.

I was also fortunate to attend a meeting of representatives of the Landowners across Kokoda. The overwhelming response was trekking must continue as it delivers the only real source of income to the Landowners and the other stakeholders along the Track.

One of the positives to come out of the protest is the track has now received strong media coverage and highlighted the lack of facilities, funding, training, support and guidance given to the Stakeholders along the Track. They were also very annoyed about the mismanagement, corruption and lack of action taken by the Board of the KTA. The majority of them support the KTA CEO Warren Bartlett, not the KTA Board.

My thoughts are that the exploration permit requested by Frontier Resources will not be renewed. I believe there will be a general review of all mining activities near the Kokoda Track to prevent any further mining issues or situations on or near the Kokoda Trail.

My research has revealed that the mine is in a geophysical unstable area with huge rainfall potential. A huge storm like Cylone Guba that hit the Oro province area and part of the track late last year could destroy a tailings dam very quickly. The resulted environmental damage and health risks to the villages down stream would be catastrophic.

The proposed mine at Mt Kodu is a very large, but low grade mineral deposit. The only way it could successfully function is with a massive open pit mine, with massive through put and enormous amount of wastes to be managed and disposed of. As a comparison the proposed mine is not unlike Ok Tedi. The capital cost to set up such a project could be in excess of US1billion.

With Frontier Mining trading at 11 cents a share, they may have great difficulty in raising a fraction of the amount required to fund the project. This may mean they would need to team up with a major mining house. I believe large scale corporations, like to be seen as good responsible corporate citizens and would be reluctant to invest such large funds in a single project in PNG that is obviously fraught with such social, logistic, political and commercial problems.

My understanding is there will be an announcement of a Kokoda Track Protection or “Icon plan”, which will cover funding of facilities and assistance to the villages and landowners along the track and perhaps compensation for the mining not going ahead. I believe these decisions will be announced on the upcoming visit by Australians PM Kevin Rudd to PNG on the 6-9th March 2008.

It is my understanding that the track will reopen “ofiicially” within the next 10 days as long as adequate progress is made towards a proper management plan for the Track and adequate consideration is taken to provide suitable resources for the Villages along the Track. It will also take positive reinforcement by the trekking companies to continue to give ongoing support and encouragement to the Landowners and Villages that trekking and Tourism is forever and is sustainable.

I understand plans are moving ahead for a new “Kokoda Icon” plan based on our National Park style system.The sooner we have practical regulations, guidelines and good management practices for the Track by all stakeholders including, Government, Landowners, Trekkers and Trekking companies the sooner we can protect for ever this wonderful living memorial, and continue to walk “in the footsteps of heroes and the footsteps of our brothers”

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