Making the most of declining junior miners
Miners are underperforming gold despite getting support from the stock market.
New Guinea Gold (CVE:NGG) temporarily halted mining and processing at its Mt Sinivit operation after it was occupied by the Wild Dog Mining Area Landowner Association and Lulai Nakama Association.
New Guinea stock was down 25% to 4.5 cents on the Canadian Venture Exchange.
The company said that all staff have been stood down safely and police presence is being maintained on site.
“On 12 December 2011, NGG received a letter from the Landowners lawyers demanding that outstanding royalties be paid to the Mineral Resources Authority (MRA) within 48 hours, failing which the Landowners would shut down NGG’s mining operations,” says New Guinea Gold in a statement.
“NGG has been waiting on a Court settlement between the Landowning Clans since early 2010 following instructions from the MRA to pay the royalties to the WDMALA who are not recognised as the Landowners representative in the Memorandum of Agreement between stakeholders.”
New Guinea Gold is a junior explorer and miner in Papua New Guinea, with eight gold and two porphyry copper-gold-molybdenum properties.
Mt. Sinivit began gold production in April 2008.
Comments
Mick faulkner
you really need to do your homework as to whom is the legit landowners whilst doing any business in PNG