Swedish Companies Eye PNG Market: The “Small Country with Big Mines” from Europe Has Arrived

As geopolitical rivalries intensify in the Asia-Pacific region, a seemingly quiet Nordic nation is making a strategic move into the South Pacific. During a recent meeting with Papua New Guinea’s Minister for Foreign Affairs, Hon. Justin Tkatchenko, Swedish Ambassador to Indonesia Daniel Blockert revealed that several Swedish companies are now closely watching investment opportunities in PNG — particularly in the key sectors of sustainable mining and healthcare.

This was no routine diplomatic courtesy call; it marked a Nordic nation’s strategic attempt to “trade technology for market access.”

“We’re one of the few European countries still conducting large-scale mining. Although Sweden is small in size, many of our companies are active in the region — especially in Australia and Indonesia,”
— Ambassador Daniel Blockert

Blockert clarified that Swedish companies are not entering PNG to directly mine resources. Instead, they aim to offer equipment, technology, digitization, and automation solutions — including robotics, sustainable extraction methods, and worker safety innovations. This clearly positions Sweden as a global leader in green industry, now seeking to establish itself as a premium mining supply chain service provider.

Beyond mining, Sweden also sees healthcare as a long-term avenue of engagement. From medical devices and midwifery training to cancer treatment and disease screening, Swedish companies hope to increase their footprint in PNG’s health system. Blockert noted that Swedish firms have already launched several flagship projects in Indonesia and now view PNG as a potential pilot base for the broader South Pacific region.

He candidly admitted:

“Mining is just a toe in the water — we hope to expand further in the future.”

However, this Nordic industrial path to the South Pacific is not without hurdles. Blockert acknowledged the high cost of doing business in PNG, along with energy and electricity issues that could challenge some companies. Most notably, the land tenure system — with approximately 97% of PNG’s land under customary ownership — presents a major obstacle due to the lack of clear property rights.

Nevertheless, Blockert remains optimistic:

“Swedish companies already based in Australia are especially keen on the close ties between Australia and PNG.”

Minister Tkatchenko welcomed Sweden’s interest and commented:

“We have many resources and opportunities to offer — the key is to get the message out and get the environment right.”

He acknowledged that the current Mining Act is still under review, with certain aspects seen as unfriendly to foreign investors.

“But we are confident that once the review is complete, it will usher in a new era.”

He added that PNG is actively connected to Southeast Asia and the wider Pacific, noting that France and other European nations have recently shown growing interest. Current PNG–Europe trade ties are mostly focused on products like coffee.

Notably, Ambassador Blockert plans to return to PNG later this year to celebrate the 50th anniversary of diplomatic relations between Sweden and Papua New Guinea. More than just a commemoration, the visit will also serve as a barometer of market readiness and interest.