The board of Papua New Guinea's Sustainable Development Programme has been sacked in the wake of the Government's takeover of Ok Tedi mine.
The programme had been responsible for overseeing development projects in PNG using dividends from the mine.
Last month the government absorbed the 63 percent of shares it did not already hold and it has now terminated the board.
Our correspondent in Port Moresby, Todagia Kelola, says the future of the SDP and its yet to be completed projects is not looking promising.
"It's a big blow. These projects are not only centred in the Western Province - they are centred in other parts of the country that PNGSDP has been working on, so with the Government's termination of the board and the cutting of funding to PNGSDP - all these projects are now on hold."
Todagia Kelola says Prime Minister Peter O'Neil has maintained the projects will go ahead under the new board.
The Singaporean-registered company has indicated it will take legal action to challenge the Government's actions.
