SHARES in moribund Rio Tinto-controlled mining company Bougainville Copper (BOC) vaulted another 36.4 per cent yesterday amid continued speculation that its abandoned Panguna copper mine may be reopened.
News of a meeting of Rio Tinto executives and Papua New Guinea Mine Minister Sam Akoitai in London this week helped push the stock up another 28¢ to an 11-month high of $1.05 after a 16¢ rise on Tuesday.
But London-based Rio official Maria Darby-Walker said the meeting was about a "general update" on PNG's mining sector. "No specific project was discussed."
Rio owns 53.6 per cent of BOC. It had to abandon Panguna in 1989 following armed attacks by rebel independence fighters on the mine, which remains the company's only asset in PNG.
The mine was capable of producing 180,000 tonnes of copper and more than 400,000 ounces of gold a year, and sits within seven exploration leases on the island.
Soaring commodity prices and Bougainville Island independence movement leader Francis Ona's death last July have helped breathe new life into BOC's share price. However, Rio Tinto chief executive Leigh Clifford has said there were many other issues than the copper price to consider in determining the mine's future.
Mr Akoitai's meeting with Rio executives reportedly focused on lifting an exploration moratorium on Bougainville at the very least.
BOC Price at posting:
0.0¢ Sentiment: ST Buy Disclosure: Held
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