And here it comes. there was no way Bougainville was ever going...

And here it comes. there was no way Bougainville was ever going to allow current ownership structure to stand. The recent post showing discussion to move some ownership to the landowners was positive but not yet a done deal. Looks like Bougainville are trying to get the tenement back, remember, the legislation was pre war end and so really was never going to stand up in the eyes of Bougainvillians. I can assure you that the PNG government will have no qualms kicking out BCL if its in their best interest. If a deal is struck between Bougainville and the PNG gov which removes BCL and increasing ownership for O'Neill then the legislation amendment will pass through parliament. O'Neill has no problems with inflicting massive political risk on the country as seen by the recent expropriation of 50% of Ok Tedi (huge copper/gold mine with massive potential to expand current resource), breaking contracts with Nautilus Minerals, and the recent currency peg.

In addition, for those who dont know, O'Niell has just sacked more of his top office after they have lost support for the Prime Minister. Also, An arrest warrant for corruption was out on O'Neill yet he was able to get Judge to issue him with a junction against the arrest.

About 2 weeks ago, the government sought to Peg the Kina (K) against the USD at 0.4130 which is about 30% higher than what the commercial banks were selling it for (~0.32). This is again a rash decision and shows politically PNG is in a real mess. Banks are now (ANZ, BSP, Westpac) restricting foreign exchange withdrawals. I can assure you everyone will be seeking foreign currency at these prices and there will be a shortage in the market where importers cannot transact out of Kina and will have to wait til funds area available. Importers will love it, but exporters will hate it. And with $2bn a year soon to come in from LNG project, the kina will likely rise further over the next few years hurting even more the miners and agricultural exporters.

I also have very good word that the UBS, Oil Search and petromin deal (+$1bn) is being done to line coffers of certain people. Thats the main reason why Don Polye (fmr treasurer) blocked the deal. He was subsequently removed from office by O'Neill. Make no mistake, PNG has a new dictator in town. He wont care about about ensure BCL maintain their tenement.

I hope those not listening to me in the past on this BCL forum are realising I have merrit. I come on here to spread my knowledge of the country and to be very careful with investment into this company



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