SPECIAL MINING LEASE OSIKAIYANG LANDOWNERS ASSOCIATION INC (5-4832)
Level 2, Karoona House
Panguna Town, Panguna District
Autonomous Region of Bougainville, Papua New Guinea
PRESS RELEASE
10 FEBRUARY 2019
FINALLY THE FIRST CONSULTATION WITH LANDOWNERS AT PANGUNA, THE IMMEDIATE TARGET OF THE ABG AND McGLINN/CABALLUS – ONLY HOURS BEFORE THEY WILL TRY AND RAM IT THROUGH PARLIAMENT
THERE WERE NO ANSWERS THAT COULD EXPLAIN THE OUTRAGEOUS PROPOSAL – SO IT WAS MET WITH A STRONG NO!
The proposed Amendment of the Bougainville Mining Act (“BMA”) was rejected outright by the Panguna Landowners, Ex-Combatants, No Mining Groups, Core Team, the eight Association Chairmen of the Mining-Affected Areas including the Special Mining Lease Osikaiyang Landowner Association (“SMLOLA”) members and the general public in Arawa who were present at the first attempt to consult on the new Bills – the ‘ABG Consultation with Panguna Mine Affected Landowners’ meeting, held at the Arawa Youth Centre yesterday. There were no answers that could explain or rationalise the attempt to steal our minerals and deny us all our rights under the BMA.
The Autonomous Bougainville Government (“ABG”) Bougainville Executive Council (“BEC”) presentation was done by the instigators of the plan, ABG Finance and Treasury Minister, Mr Robin Wilson and the Mining Department, headed by the Mining Minister, Mr Raymond Masono. Why is that - the Bills have been referred to the Legislative Review Committee as it is supposed to be subjected to independent reviews and consultations but there is nothing independent here: only the sales men on behalf of Mr Jeffrey McGlinn, pushing the plan he has developed to go around the Landowners and to steal our minerals and deny us our rights.
They now seem to be trying to go even further, making it very clear Landowners will never have any interest in the mining company, the Government will be entitled to hold all the shares (something like Kumul Holding or MRDC in Papua New Guinea (“PNG”)). But our law was very carefully drafted (with 7 years of consultation) to be different from PNG to reflect the particular needs and history of Bougainville and its Landowners. Prime Minister O’Neill himself has already said he would give us directly, the 17.4% in Bougainville Copper Limited that Rio Tinto handed to the National Government – even PNG wants to treat us better.
It has also been suggested that the draft Bill is improved to better compensate Landowners at some point in time – it turns out it is really no different, one company, controlled by our Government (initially only) is given ownership of our minerals, without our consent, they are automatically granted a special mining lease without having to satisfy any pre-qualifying conditions and once they have a monopoly on all mining: that is – they have all the power, they must negotiate with us before mining activities start. It is too late by then, we will have no say and simply be price takers. We already have a deal that is double the minimum under the current BMA. They are not saying they will even match that.
Mr Wilson said ‘I believe Bougainvilleans can own a company which they own majority and they can control majority.” No explanations how – they do not have a free carry and will dilute to a minority position so quickly as they have no money. Caballus/McGlinn don’t even say that – they make it clear the interest is diluting. Bougainvilleans don’t own it – they made that very clear at the beginning of the meeting – the ABG and foreigners will. We are already seeing now how we will be treated in the process – it will only get worse from here as if they succeed in stealing our minerals and our rights – we will never have any power or say ever again.
Mr Wilson also said that the entity the ABG is going to create through the amendment of the Mining Law is going to hold all contributions by landowners or mining companies on behalf of the landowners and the people of Bougainville – well Bougainville Advance Mining was actually incorporated in the British Virgin Islands back in August. Well finally some real facts – but that just demonstrates the ABG doesn’t get the money to fund the Referendum and other ABG business so it doesn’t solve the “emergency” funding crisis which was touted as one of the key reasons why this is being done.
He said the entity would be a separate body which the Government would not be able to tamper with or misuse the monies that are parked in the entity. So it is the mining companies’ money (if it ever arrives), not funding for the Referendum, not funding for the ABG – again the proposal solves nothing but creates severe disharmony and distrust.
Mr Wilson finally acknowledged that the SMLOLA’s proposal to the ABG is good but said the Government needs to create this entity through the amendment of the BMA to cater for money going into Government. This makes no sense – the SMLOLA proposal allows the Government to set up a new company and negotiate the deal terms, providing funding directly for the ABG and immediate funding for the Referendum in advance of finalsing documentation. There is absolutely no need to push this offensive legislation as the ABG is already being offered a priority position – better than the Landowners. We understand the issues and the importance of Panguna to the future of Bougainville and offered Panguna as compensation to ABG however under our terms and conditions and we call upon ABG to respect this important decision made by the land owner
SMLOLA Chairman, Mr Philip Miriori challenged the BEC to demonstrate why Landowners should support their plans when it denies them every right that was fundamental to the Peace Agreement, the Constitution and our very autonomy. Being told we will give up all their rights with no say and not even one kina of compensation, just a vague promise in the future of something in “one form or another” as the Bill actually says. They are suggesting we should just take whatever we are given.
Given the BEC was not able to provide any answers to these very important questions, a resolution by the SMLOLA and Panguna Mine Affected Landowner Associations was then presented to the ABG by Mr Miriori clearly stating the proposed Bills are unfair, unreasonable, unconscionable and unconstitutional. If passed they will be challenged and Panguna is delayed indefinitely. Nobody wins – infact we all lose.
The general feeling about the amendment, from the 500 people who attended, was that no one agreed with it and those present were asking the ABG members to do away with the amendment immediately, before this does even more damage. The general feeling was that we have already forgotten our history and now just repeating the past – showing absolute disrespect for Landowners.
Philip Miriori
Chairman
Lawrence Daveona
Former Chairman - Special Advisor
