SMLOLA Press Release 17/6/19 -- ABG Exec Council Mislead and Deceived over Caballus/McGlinn

PRESS RELEASE

17 JUNE 2019

BOUGAINVILLE EXECUTIVE COUNCIL

MISLEAD AND DECEIVED OVER CABALLUS PROPOSAL

The Autonomous Bougainville Government (“ABG”) Executive Council (“BEC”) was profoundly mislead and deceived at the time it resolved to support the McGlinn/Caballus proposal and consequential mass amendments demanded to the Bougainville Mining Act (“BMA”).

The Explanatory Memorandum that has emerged, long after the fact, claims in its first two principal reasons, that McGlinn has developed the largest mines in the world and has also operated the largest mines in the world.

It now turns out that neither reason advanced was correct. The truth is starkly different - McGlinn has never financed, developed or operated a large mine, to say nothing of the largest mines in the world. He ran a contracting company now nearly a decade ago, which provided limited services to real mining companies.

Had the amending legislation passed, Bougainville would have given away a 40% interest in Panguna and a monopoly over all large scale mining projects in Bougainville, to a person who does not have the relevant skills to finance, build and operate a mine like Panguna or help the ABG.

The third reason advanced was even more false and misleading - it claimed that McGlinn had also raised billions of dollars and so will raise all the money for Panguna for the ABG. McGlinn obviously has not raised billions of dollars as claimed, in fact he has only ever done one public company capital raising of a very modest US$30m, again more than a decade ago.

“So the three key reasons the BEC resolved to support McGlinn - that he had financed, developed and operated the largest mines in the world, and put forward the proposed changes to the BMA, which have now been rejected by the Legislative Review Committee were all grossly false and designed to deceive all of us here in Bougainville.”Mr Philip Miriori the Chairman of SMLOLA said.

Mr Daveona said “What that suggests to us is that we all need to sit down collectively and find a workable solution this time which can actually be delivered and will allow us to finally move forward with a redevelopment of Panguna which will see all of Bougainville prosper.”