Working Group on the 2006 Community Mine Continuation Agreements (CMCA) Review, Western Province, Papua New Guinea

The Keystone Center is providing independent facilitation services to a Working Group that is discussing the 2006 CMCA review and other related issues. The Keystone Center is an independent non-profit public policy and educational organization founded in 1975.

As an independent facilitator, The Keystone Center, in partnership with Tanorama, Inc., is helping all stakeholders obtain results that are perceived to be fair to all, durable and stable over time, effective in their achievement and implementation, and transparent to all affected and impacted persons. Keystone is doing this by (1) establishing a pre-negotiation environment for constructive problem solving; (2) managing the process and the meetings; and (3) managing interactions between the parties as they work toward consensus. Please visit The Keystone Center's "Statement of Independence."

The first meeting of the Working Group was held in Tabubil on April 18–21, 2006. Information from that meeting, all future meetings, and other materials related to the review can be found at http://www.wanbelistap.com/.

For additional information from Keystone regarding this activity, please contact:

In the U.S., you may reach us at:

Peter Adler, President, 970-513-5841
Janesse Brewer, Senior Mediator, 970-513-5847,
Caelan McGee, Associate, 303-468-8860, extension 464

back to top

Detailed Background

The Ok Tedi Mine has been in operation in the Western Province of Papua New Guinea since the early-1980s. The operation of the mine by Ok Tedi Mining Limited (OTML) continues to result in the deposition of millions of tons of waste rock and tailings each year into the Ok Tedi and Fly rivers.

Goals and Objectives of the Working Group

The general goal of the Working Group is:

To establish a framework within which OTML and the affected communities can successfully discuss issues of mutual interest relating to the CMCAs, and effectively agree on an appropriate future balance between the mine’s social and economic benefits, and the environmental impacts on their way of life.

Preliminarily, and subject to change by the Working Group, the objectives of the process are:

1. To review environmental conditions in the affected areas.
2. To develop revisions to the CMCA compensation scheme.
3. To develop workable strategies on how the CMCAs can work together more effectively with each other, with regional and national governments, with the Ok Tedi Development Foundation, and with the PNG Sustainable Development Programme, Ltd., both before and after the mine closes.

Over the course of the year, some of the Working Group briefing and discussion topics are likely to include:

• The development of a charter containing the agreed-upon procedures and protocols for the Working Group.
• A review of Ok Tedi Mine’s economic, social, and environmental impacts in the Western Province.
• A review of the CMCA’s mechanics and impacts in their regions of the Ok Tedi and Fly Rivers.
• Current and future social and economic needs of the Western Province.
• The building of a vision for the post-closure future of the riverine communities.
• Making possible changes to the ways the CMCAs function and to the amounts of compensation and benefits that are managed by them.
• and other topics to be determined by the Working Group.

back to top

Roles and Authorities

It is understood that the OTML Board of Directors is the final decision-maker regarding revisions to CMCA compensation and that a 100% vote of the Board is necessary to make changes. The Board has encouraged the formation of the Working Group and a representative from the Board, Mr. Keith Faulkner of OTML, will participate in the Working Group meetings.