The backing of 35 local landholders emphasises the significant community support for the project while providing major impetus for the company's Mining Lease application currently being assessed by the Mineral Resources Authority. A mining lease grant is the final legislative requirement before the "shovel ready" project can start construction.
Memorandum of Agreement negotiations have also commenced that will compliment a granted Mining Lease, whereby PNG State fiscal incentive regime, landowner spin off businesses and other central province and PNG state support arrangements will be captured.
Meanwhile, ongoing due diligence is continuing with potential strategic funding partners for the US$350 million project which has a target annual production of 1.65 million tonnes cement/clinker and 200,000t quicklime for supply to PNG, Australia and Pacific markets.
Mayur's Lime and Cement chief executive Kevin Savory, who hosted the signing ceremony in Port Moresby, said the project provided immense value to all stakeholders.
"We are grateful for the support of our Central Cement and Limestone project which will dramatically improve the socio-economic outcomes for local communities as well as PNG which has declared a strongly focused agenda for nation building and import displacement amid a rising economic trajectory," Savory said.
"It not only serves PNG's future cement and lime requirements but also responds to Australia's increasing shift to imports of clinker and cement brought about by aging cement plants and rising costs."
The Central Cement and Lime project, 25km north-west of Port Moresby, is a quicklime and clinker/cement manufacturing facility. A definitive feasibility study has been completed for the 100% Mayur owned project which has a target output of 1.65Mt cement/clinker and 200,000t of quicklime. A 382Mt Maiden JORC Resource has been certified across two deposits (Kido and Lea Lea) at the project which has an estimated production life of 30 years.