Miners reel after Papua New Guinea ownership bombshell
In a surprise announcement Papua New Guinea on Friday introduced a plan to hand state ownership of mineral and energy resources to landowners, a move that may prove disastrous to foreign miners developing massive projects and pushing into new regions of the resource-rich country.
The announcement by PNG's new leader comes ahead of elections in 2012 that many observers have warned is bound to lead to civil unrest.
The move may also derail PNG's economy which is booming with growth this year expected to reach 11%. The mining industry employs roughly 30,000 people and supplies 80% of export earnings.