New Porgera Limited delivers K2.1 billion economic contribution
NEW Porgera Limited (NPL) contributed K2.1 billion to Papua New Guinea’s economy in the first half of 2026 through dividends, taxes and royalties.
The figure comprises K1.2 billion in declared dividends, K759 million in taxes remitted to the Internal Revenue Commission (IRC), and K121 million in accrued royalties.
“These results demonstrate the significant and growing value that the Porgera Mine is generating for Papua New Guinea,” said NPL country manager Karo Maha. “Through dividends, taxes and royalties, the mine is delivering real economic benefits to the national economy, the people of Enga Province and our landholder partners.”
Dividends
In 2025, NPL declared K1.7 billion in dividends. In the first half of 2026, NPL declared a further K1.2 billion, bringing cumulative dividends declared since 1 January 2025 to K2.9 billion.
Consistent with the project’s ownership structure, distributions equivalent to the 5 per cent Mineral Resources Enga Ltd (MRE) share and the 10 per cent Enga Provincial Government (EPG) and landholder share held in escrow through Mineral Resources Development Company Ltd (MRDC) have been paid. To date, MRE has received K114 million in cash dividend payments, part of which was used to repay certain care-and-maintenance costs and MRDC has received K290 million, held in escrow for the benefit of the Enga Provincial Government and project landholders.
Taxes
NPL remitted K759 million in taxes to the IRC, comprising K662 million in advance payment tax, K74 million in salaries and wages tax, and K23 million in goods and services tax and withholding tax.
Royalties
NPL accrued K121 million in royalties during the first half of 2026, bringing total accrued royalties since restart on 23 December 2023 to K331 million. These funds are held in reserve pending conclusion of Community Development Agreement (CDA) negotiations, which will determine the final recipients and distribution arrangements. The State and NPL have agreed in principle that royalties payable to eligible landholders will be paid directly into individual household bank accounts—a measure designed to ensure that benefits reach households efficiently and without the involvement of unnecessary intermediaries.
Enga Provincial Government equity stake
NPL’s board of directors has approved the steps necessary to transfer 2.5 per cent of the Company’s shares from escrow to the Enga Provincial Government’s nominee entity, Enga Minerals Resources Management Company Limited. The transfer follows the State Solicitor’s confirmation that the State Allocation Offer under the Porgera Project Commencement Agreement (PPCA)—which provides for the 10 per cent shareholding currently held in escrow to be allocated as follows: 5 per cent to SML landowners, 2.5 per cent to non-SML affected landowners, and 2.5 per cent to the Enga Provincial Government—has become binding.
The EPG transfer, once the remaining procedural steps are completed, will make the Enga Provincial Government a direct shareholder of NPL for the first time, giving it a total effective interest of 5 per cent when combined with its indirect interest through MRE. As a direct shareholder, the EPG will be entitled to receive its proportionate share of future dividend distributions, providing it with a direct and sustainable revenue stream to invest in infrastructure, public services and economic development in the Porgera Valley and across Enga Province more broadly.
The transfer of the remaining escrow shares to the SML landholder and non-SML affected landholder beneficiaries is subject to the CDA process, which is being led by the State through the Mineral Resources Authority.
Operations update
Like other mining operations in PNG, Porgera has been affected by the severe drought conditions, which have required a temporary suspension of processing operations. Mining activities will continue, however, and the Company is using this period productively to bring forward maintenance and infrastructure improvement works. No workforce reductions have been made. Processing operations are being restarted intermittently as water levels permit, and full production rates will resume once sustained rainfall restores normal water supply.
Porgera has managed similar low-rainfall events periodically throughout its operating history. “This is a temporary interruption caused by weather conditions, not a change in the long-term outlook for our operation,” said NPL general manager James McTiernan. “We have been through this before, we know how to manage it, and we will come through it again.”
NPL remains committed to operating responsibly for the benefit of all stakeholders. Through transparent stakeholder engagement, employment, government revenue, and sustainable development initiatives, the Company will continue to contribute to Papua New Guinea's economic growth and prosperity.
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