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

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.

Seabed-Mining Robots to Be Tested

Engineering360

Nautilus Minerals plans to begin testing of sea-mining robots in the first half of 2016 that will ultimately be used to dig for copper and gold from the ocean floor off Papua New Guinea.

The company has commissioned a Bulk Cutter, Collecting Machine and Auxiliary Cutter and now awaits completion of a production support vessel that will act as operational base for the mining of the Solwara 1 site, expected to begin in 2018.

Nautilus has developed a production system using technologies adapted from the offshore oil and gas, dredging and mining industries to enable extraction of minerals at the site off New Guinea. The company says the site contains copper and gold of significantly higher grades than those typically found on land. Rock will be dug up on the seafloor by two large robotic machines that excavate material by a continuous-cutting process, not unlike those used for coal or other bulk continuous-mining operations on land.

The Auxiliary Cutter (AC) is a preparatory machine that deals with rough terrain and creates benches for the other machines to work. It will operate on tracks and has a boom-mounted cutting head for flexibility. The second machine, the Bulk Cutter, has higher cutting capacity but will be limited to working on flatter areas and benches created by the AC. Both machines leave cut material in temporary positions on the seafloor for collection by the third machine, the Collecting Machine (CM).

The CM, also a large robotic vehicle, will collect the cut material by drawing it in as seawater slurry with internal pumps and pushing it through a flexible pipe to the Riser and Lifting System (RALS). The RALS comprises a large pump and rigid riser pipe supported from the vessel that delivers the slurry to the surface. The pump is supported on a solid vertical (riser) pipe suspended beneath the support vessel. On the deck of the Production Support Vessel (PSV), the slurry is dewatered.

The dewatered solid material is stored temporarily in the PSV’s hull and then discharged to a transportation vessel moored alongside. Filtered seawater is pumped back to the seafloor through the riser pipes and provides hydraulic power to operate the RALS pump. Discharge of the return water at the seafloor eliminates mixing of the water column and is designed to minimize the operation’s environmental impact.

According to Nautilus, the Solwara 1 deposit, which sits on the seafloor at a depth of 1,600 meters, boasts a copper grade of approximately 7%. That compares with land-based copper mines, where the copper grade averages 0.6%. Gold grades of over 20 g/metric ton have been recorded in some intercepts at Solwara 1, which compare with an average grade on land of approximately 6 g/ton.

The PSV is under construction in China. When completed, it will measure 227 meters in length and 40 meters in width, generate approximately 31 megawatts of power and be able to accommodate up to 180 people. All the below-deck mining equipment will be installed in the PSV during the build process to minimize the work required following its delivery.

Tolukuma mine waste affecting locals

Luke Miria | Post Courier

I write to appeal to the National Government of Papua New Guinea, through its ministerial arms of both mining and health ministries, about the Tolukuma mine in Central Province.

For far too long, the people residing near the Angabanga catchment have suffered from mining activities. People residing beside the river have been using it for generations as a means of livelihood.

The ongoing river pollution has put the livelihood of the people living downstream at risk. It is about time that the Government does a thorough investigation in collecting blood samples of the people affected and reveal the consequences imposed by the mine to the people.

Furthermore, I urge the Minister for Mining, Byron Chan, to direct the mining company to dispose its waste responsibly and take heed of the people’s plight in compensating the damages it has done on both the environment and the people.

For instance, the Abiara Or Eke people have a high rate of unknown diseases which I believe is a result of mining pollution. This simple remote village entirely relies on its marine resources for survival.

It is unfortunate that the future of this humble village is at the verge of losing its young generation as a result of pollution.

Therefore to Kairuku-Hiri MP Peter Isoaimo and Central Governor Kila Haoda, please I urge you to continue fighting for our people until they receive what is rightfully theirs.

I bet you history will always remember you for your deeds. I would also acknowledge Mr Isoaimo for his continuous support for this course and may, God-willing, you achieve your goal.

To Environment and Conservation Minister John Pundari, Health Minister Michael Malabag and Mr Chan, we need your blessing for this worthy cause. Please address our plight.

The Momis Government, the O’Neill Government and their Man in Panguna

Bougainville Correspondent 

Tension is mounting on Bougainville. People know behind the scenes dishonest politicians are playing with the peoples resources. Recently it was announced that the PNG government is considering purchasing Rio Tinto’s stake in Bougainville Copper Limited. Autonomous Bougainville Government (ABG) President Momis  has spent the last six years boldly claiming a return to mining would be supremely profitable, so much so that the ABG’s revenues problems would be solved. Landowner opposition he claimed, was nothing more than a loud, ignorant minority.

It appears he may be too good a salesman. Now it is alleged, PNG wishes to buy Rio Tinto’s stake – why not given the optimistic predictions offered by the ABG and their foreign advisers.

Now on Hardtalk Bougainville, it is alleged another player is involved, Mr Philip Miriori.

Miriori is regarded in central Bougainville as an untrustworthy individual out to make a buck. Miriori has set up his own government, and has been making all sorts of deals with back door operators. The Miriori government calls itself the Sovereign Me’ekamui Tribal Government of Bougainville. Despite the grand title, it has no legitimacy in Panguna, and even less legitimacy elsewhere in the island. No one knows what Miriori is up to in his old office block in Panguna, many don’t want to know.

However, according to Hardtalk Miriori is now in bed with the Momis government and has been meeting regularly with the Prime Minister. It is also reported that Miriori and his government are now ‘acting on behalf of ABG to make decision as Landowners of Panguna’. 

Miriori has no right or power to be acting in such a way, this is widely known. If this report is accurate it would appear a desperate Momis government, who overstated support for its reopening plans, is now clutching to whichever individual can promise them Panguna.

This happened back in the colonial days, a big head local councillor claiming they spoke for the people, would consent to mining activities, and then the Rio Tinto people would be chased out by the real landowners.

One of Miriori’s back door partners, an Australian company, Transpacific Ventures, offers a rare look into the dubious schemes Mr Miriori is involved in. Transpacific Ventures are themselves fly by night mining speculators, who have used certain connections in the old Catholic boys club, to worm their way into Bougainville (not to be confused with POGE!).

The less holy 2013 investor memorandum states ‘the Me’ekamui are now attempting to form the first legitimate government on Bougainville in conjunction with the PNG National Government and the ABG … Following cooperation with the Me’ekamui, there is now a draft Mining Law Bill [the 2015 Bougainville Mining Act – M.W.] proposing a new mining regime for Bougainville that is anticipated to come before Parliament following a series of meetings between stakeholders in July/August 2013’.

Transpacific Ventures also claim, ‘On 31 August 2012 TPV signed the Cairns Agreement with the Sovereign Tribal Me’ekamui Government and the Me’ekamui Management and Oversight Committee (“the Committee”) for the right to manage, in partnership with the Me’ekamui, exploration and extraction of minerals and petroleum for 20 years, renewable, over the entire Bougainville Island and waters except for the 10,000 ha Panguna Moratorium Area, the site of the dormant Panguna mine and surrounding … Under the Cairns Agreement TPV has the first right of refusal in relation to the following minerals including, but not limited to, Oil and Gas, Gold, Silver, Copper, Lead, Zinc, Magnetite, Tellurium, Gemstones and Limestone’.

All of this would be funny, except for the fact Miriori’s government is in bed with the ABG and PNG governments. Greed for resources and money is alive and well. But this castle is made of sand, quicksand.

Former PNG PM takes legal action against Ok Tedi Act

Radio New Zealand

Former Papua New Guinea Prime Minister, Sir Mekere Morauta, has begun legal proceedings in the Supreme Court seeking to have the Ok Tedi Tenth Supplemental Agreement Act 2013 declared unconstitutional and invalid.

The Act allowed the State to expropriate PNG Sustainable Development Program Ltd’s 63.4 percent shareholding in the Ok Tedi mine.

Sir Mekere has brought the case as a private citizen because he believes there are serious Constitutional flaws in the Act, and that it is harsh, oppressive and unjust.

It is separate to the cases between PNGSDP and the State currently before the courts in Singapore and PNG.

Sir Mekere, who is the chairman of the PNGSDP, said his decision to proceed with the case was based on his rights as a citizen to ensure that the laws of Papua New Guinea are fair and reasonable and comply with the Constitution.

Sir Mekere said he had decided to act now because the State has once again failed to agree to a negotiated settlement of the dispute.

He said the Act offends a number of sections of the Constitution, especially Sections 38, 39 and 41 which deal primarily with legal rights and freedoms, whether laws are reasonable and justified or whether they are harsh, oppressive and unwarranted.

He adds it also contravenes the UN Universal Declaration of Human Rights, which states that everyone has the right to own property alone as well as in association with others” and that “no one shall be arbitrarily deprived of his property.

The Constitution states that a PNG court may take this into account in deciding the constitutional validity of laws.

People warned to stay away from Sinivit mine site

The National aka The Loggers Times

COMMUNITIES near the abandoned Sinivit gold mine in East New Britain are warned not to interfere with relics, ruins and rubbish left at the mine site following the departure of project developer New Guinea Gold Ltd.
Provincial administrator and disaster committee chairman Wilson Matava said fiddling around with these leftovers could endanger the lives of people and their environment.
“The mine has been closed since July 2014. Last year, locals reportedly looted and vandalised properties, including explosives and dangerous chemicals from the vats,” Matava said.
Matava urged the people of Dadul, Riet and Uramot to stay clear of the mine site area.
He said there were also reports of dangerous chemicals from the abandoned vats seeping into the Warangoi River.
“The destruction of buildings and theft of materials, which act as barriers of the 17 vats used to extract gold and other minerals, have heightened the risks for locals and their environment.”
Matava said the Mineral Resources Authority and Conservation and Environment Protection Authority had been working with the East New Britain administration to contain the potential contamination of the environment.
“Attempts are being made to bring New Guinea Gold back to clean up its mess at the mine site.”

Chinese mining company welcomes Maru’s help in murder probe

MCC’s Ramu mine headquarters in Madang

Post Courier

MINER Ramu NiCo will welcome any independent investigation initiated by the Minister for Trade, Commerce and Industry Richard Maru into the recent alleged murder of a mine operator.

The developer of PNG’s only nickel and cobalt project said in a statement it is prepared to co-operate with the Minister to clear any doubts relating to the incident.

This comes after Mr Maru questioned the safety and operating standards of the company following the alleged murder of employee Kenneth Karis.

Mr Maru called for a full scale investigation into the operations of the mine to ascertain if the mine is operating within world standards.

Ramu Nico in response assured that it strictly implements world standard “occupational health and safety management systems” in compliance with relevant PNG mining standards and procedures of the firm.

“Each standard includes a reference to applicable Ramu nickel procedures, guidelines or manuals and refered to other relevant standards including AS/NZS 4801:2001 Occupational Health and Safety Management Systems.

“We are confident with our existing safety and operation standard and proud of where we are today,” it said.

The company said it ensured all its employees are well versed with PNG Industrial Safety, Health and Welfare Act 1961, PNG Mining (Safety) Act 1977 and Australian Occupational Health & Safety Act 2000 and its code of practice.

“We have practical golden rules to first of all save lives, save equipment and save production.

All these lead up to our vision of operating a world’s most successful nickel mining and processing facility with zero-harm.”

While conveying its condolences to the late Kenneth’s family members and relatives, Ramu NiCo assured the relatives that it will follow the relevant laws and company policy to repatriate the body to his final resting place in compliance the Employment Act 1978.

Since 2012, Ramu NiCo has recorded two fatalities from a logging contractor’s employee in November 2014 and August 2015 at its Kurumbukari mine.

The company said an initial Police CID investigation indicates that the deceased was allegedly murdered for other reasons other than work related.

The company is still waiting for further investigation reports from the hospital which are currently going on, to be sure of who exactly is responsible for the unlawful actions.

Porgera mine sends first shipment to China

Tailings waste from the mine flows through the Porgera Valley. Photo: Emily Allen

The National aka The Loggers Times

BARRICK Niugini Limited says its Porgera gold mine in Enga has sent its first shipment of the pyrite concentrate to smelters in Lingbao, China.
The vessel Macau Trader carried about 932 dry metric tonnes or about 1006 wet metric tonnes of the pyrite concentrate from the Lae port. 
The concentrate export project cost around US$6.2 million (K17 million) to construct. 
The exports would continue on a fortnightly basis to clients of American company Metallica Commodities Corporation and Swiss-owned Cliveden Trading AG. 
Barrick’s senior metallurgist Toke Kewe and concentrate export project manager Peter Colvin confirmed the shipment. 
BNL has a 30-month to 36-month contracts with MCC and Cliveden subject to reviews every 12 months.
The export of a high-grade concentrate will allow stored low-grade concentrate to be reclaimed and processed through the autoclaves.
“Our aim is to produce and export four 23-tonne sea containers per day with a moisture con¬tent of less than 10 per cent,” Kewe said. 
The concentrate export plant at the Porgera gold mine was commissioned last December.  The first sea container of concentrate left Porgera site on December 31 on a truck.
BNL supply manager Rodney Holmes was on hand to ensure the process proceeded safely and efficiently.   
The Porgera Gold Mine is a large gold and silver mining operation in Enga.
It is located at the head of the Porgera Valley. 
The mine is situated in the rain forest covered highlands at an altitude of 2200 to 2700 metres, in a region of high rainfall, landslides, and frequent earthquakes. Mine operations began around 1990.

LOs concern over Pomio mining surveys

Post Courier

Landowners from Central Inland Pomio have expressed disappointments over an exploration mining company that is currently carrying out surveys on their land over mining prospects.

Ballygowan Limited is one of the many exploration companies that have carried out surveys at Central Inland Pomio for the Ora Mine.

Pomio MP Elias Kapavore is standing firm with his people to support them and their decision over the Ora mine and the granting of exploration license.

Mr Kapavore said the landowners have expressed their disappointments over the lack of consultations between the landowners and the company over the Ora mine area.

He said he will be writing to the office of the Prime Minister as well as the Minister for mining to stop further discussions on these mining activities.

He added that his people needed more consultation and awareness on the environmental impacts plus the conditions on agreement if this company is granted licence.

The landowners want more consultations with the mining company and they also want to see previous reports from past companies who have also surveyed the area.

Mr Kapavore said from previous experiences, companies have been flying in helicopters into the area conducting fast surveys and spending between 15 to 20 minutes with landowners and leaving for good.

A warden’s hearing has been set for the end of the month for landowners together with the company to get together and talk over issues of concern over Ora mine.

Speaking on behalf of the landowners, the Pomio MP said they are not happy with the way the mining company is fast tracking the surveys to allow for the exploration licence to be issued by the Department of Mining. He strongly called for the hearing to be cancelled.

The mining company is also the same company that is applying for an exploration licence for the Sikut mine in the Sinivit LLG.

The MP together with the landowners have requested for Ballygowan Limited not to go ahead with the warden’s hearing at the end of January.

The warden’s hearing is arranged for the landowners to come together with the mining company to air their views on the mine issue, however, landowners are not at ease for this to go ahead.

Mr Kapavore said the people of Pomio have learnt their lesson with the Sinivit Gold Mine and they do not want to repeat the same mistakes, without making proper consultations at the initial stages of the mine.

He said he is supporting the decision of his people and will stop such companies who have not done proper consultations with the landowners to exploit their resources.

Trade, Commerce and Industry threatens legal actions against Ramu Nickel Mine

PNG Today

PNG Minister Trade, Commerce and Industry Ministry has threatened to take legal action against Ramu Nickel Mine, if it doesn’t meet the repatriation cost of the body of one its workers, who died during duties in Madang.

Richard Maru is demanding the mine to meet the costs of repatriation of the late Kennet Karis to Yangoru, in East Sepik.

Late Karis was murdered whilst working in a pit in the mine.

Mr Maru is questioning the safety and operating standards of the mine, as there is no proper lighting, fencing and security to secure and demarcate the mine operations in pits from public access.

He says he will be calling for full scale investigation into the operations of the mine to ascertain whether the mine is operating within world standards,

And whether the Mining Inspector has been diligent in enforcing compliance with safety standard at that mine.