Rio Tinto and Bougainville Copper Ltd: The deal has been done

O'Neill and Momis pose

O’Neill and Momis (photo Tony Kaybing)

Bougainville Freedom Movement

So the PNG Prime Minister is now also the Minister of Bougainville Affairs.

O’Neill can lie to the media while supposedly being “only interested in the people of Bougainville, for their health, education and economics”.

Reality hits when his hip pocket and dollar sign eyeballs are his focus prompted by BCL and Rio Tinto. The Prime Minister of PNG O’Neill is a liar and obviously working very closely with BCL and Rio Tinto.

Momis who is the President of Bougainville has stated in his Parliament in Bougainville that:

Mr. Speaker the next issue is: PNG Interest in buying Rio Tinto’s Shares in BCL

From January 2014, when Prime Minister O’Neill unexpectedly visited Bougainville, he has talked about the National Government buying Rio’s shares in BCL. He has discussed the proposal with many different people. Last year, he pushed the idea strongly to the Me’ekamui Government of Unity leaders. He even took them to Moresby to discuss the possibility.

This year, the Prime Minister has several times discussed the proposal with me. He proposes that if the ABG and landowners agree, a PNG-owned BCL would re-open Panguna. It would be owned by the PNG government in the same way it owns and runs Ok Tedi. The Government would allocate 30 per cent of the shares to landowners and the ABG. The Prime Minister has not advised who he thinks a new developer might be.

If PNG does purchase Rio’s 53.83 per cent shares, there would be several consequences, including:

  • together with the 19.3 per cent BLC shares it already owns, PNG would own over 73 per cent of BCL;
  • transfer of 30 per cent of the BCL shares to Bougainville would still leave PNG the largest shareholder in BCL, and effectively controlling Panguna;
  • it would also be open to PNG to buy out all the small shareholders – the other 26 per cent – so that PNG would then own 70 per cent;
  • if Rio does not first make payment for a clean up, then the PNG owned BCL would inherit the previously Rio Tinto owned BCL’s liabilities for clean up. Landowners and the ABG would then be trying to pressure PNG on mine legacy issues. That would be a recipe for conflict between Bougainville and the National Government.

The PNG Prime Minister is another puppet for the mining company and we may see another OK TEDI deal where BHP Billiton was let off the hook for the environmental damage it did in PNG and now the current Prime Minister O’Neill will let BCL and Rio Tinto off the hook for the environmental damages and human rights abuses it has done on Bougainville, all for the corrupt money BCL and Rio Tinto put in his pocket.

$100 million and laughing all the way to the bank with BCL and Rio Tinto SCUM.


1 Comment

Filed under Environmental impact, Financial returns, Human rights, Papua New Guinea

One response to “Rio Tinto and Bougainville Copper Ltd: The deal has been done

  1. Sponge Bob

    If this story is true…PNG government doesn’t have any money so how are they going to pay for the Rio shares?? If its a K2 fire sale then there’s no reason that the AROB government can’t do the same thing!

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