Pacific Lime and Cement has announced a long-term quicklime offtake agreement with Newmont for supply to the company’s operations in Papua New Guinea.
The Central Lime project, based in Central Province, will be the hub for supplying one of the world’s leading gold producers and establishes it as a “cornerstone customer”.
The agreement equates to approximately one-third of the Central Lime project’s nameplate production capacity and is said to underpin Pacific Lime’s commercial development of PNG’s first domestic quicklime production operation.
Offtake represents the first large-scale commercial commitment to locally produced quicklime in PNG, the company said, and reflects both Newmont’s support for PNG’s buy-local framework and the growing demand for domestically sourced industrial material that meets the standards of a Tier-1 global mining company.
The offtake agreement for the Central Lime Project is structured as a multi-year arrangement commencing after construction and commissioning, subject to customary conditions.
Under the agreement, product will be supplied from Pacific Lime‘s integrated project precinct within a designated Special Economic Zone, under standard commercial delivery terms.
Key commercial terms such as pricing, escalation mechanisms and volume scheduling remain confidential and are aligned with market-based long-term industrial supply frameworks.
“This agreement validates more than a decade of work to establish domestic quicklime production capable of meeting Tier-1 mining standards, while delivering strong economic, social and environmental outcomes for Papua New Guinea,” Pacific Lime managing director Paul Mulder said in a statement.
“With a foundation offtake in place, PLC is well positioned as the Central Lime Project advances and shall progress further customer discussions as we move toward first production.”
Newmont Lihir general manager Dawid Pretorius said the agreement reflected the company’s commitment to creating long-term social and economic value in Papua New Guinea.
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