In our previous issue Herb Thompson examined the political and social impacts of mining and the land rights struggles o f Aborigines in Western Australia. In this concluding article, he gives some insights into the attitudes o f the mining companies and the impact of the resources boom on Aboriginal communities already struggling to survive.... Herb Thompson Police arrest blockaders at Noonkanbah Station, 1980. 4 A u s t r a l i a n L e f t R e v ie w 86 n the Kimberley region of northwest diversify within the sectors of natural "/ run an oil business and Australia, minerals have, until resources and energy. In 1978, about / recently, played a minor role in the 75 percent of its $3 billion worth of we have never had these region's development. This will property, plant and equipment was problems before — not change dramatically in the 1980s. The less than five years old. Its principal with Indians. We are sick of full weight of mineral development, affiliates include Alumax — 50 percent; construction camps, and all of the Botswana RST Ltd — 30 percent; being given hell by the social chaos that goes with this for Tsumeb Corp. Ltd. in Southwest Africa press and the communists Aboriginal people will be seen over the — 30 percent; Roan Consolidated next decade. The only major projects Minesi n Zambia — 20 percent; and over there (in Australia). If in this region during the 1970s were the O'okiep Copper Co. in Southwest the Aborigines want to talk BHP iron ore mines on Koolan and Africa — 17 percent. In 1975, Standard to me I am in my office any Cockatoo Islands in Yampi Sound, Oil of California (one of the Seven offshore from Derby. These islands are Sisters) purchased 20 percent of time, in Houston accessible only by boat and aircraft AMAX. British Petroleum also holds 7 and have not been a source of percent of the company. After AMAX disruption for Aborigines in the area. had earned record profits of $771 Recently, however, there has been million in 1980, Standard Oil attempted an explosion of interest by a numberof a complete take-over, making the corporations in the entire Kimberley largest single offer in history of $4.3 region. Mining claims and exploration billion. AMAX directors recommended activities are now scattered right a rejection of the offer to shareholders across the Kimberley in the name of and Standard Oil later withdrew it. companies such as CRA, BHP and he company first entered AMAX; and a host of other smaller Australia in 1963 to examine the Australian companies or larger iron ore deposits at Mt. transnational representatives. This T Whaleback in the Pilbara of Western exploration and mining activity Australia. In 1964, AMAX was joined by directly threatens Aboriginal control CSR Ltd., and in 1966 by BHP Pty. Ltd. over the land, their culture and their in order to establish the Mt. Newman self-reliance. Mining Co., the only major project In the northern section of which A M A X . has moved into the Noonkanbah station, more than 30 production stage in Western Australia. companies, among them AMAX, CRA, The Mt. Newman Mining Co. began BHP and MIM have lodged mining producing iron ore in 1969, and claims for diamonds alone. Ellendale between 1972-79, the iron ore station, a few miles to the north, was company contributed a total of $266 the site on which CRA discovered the million to AMAX's total pre-tax first major diamond pipe. Because of earnings, at a yearly average return of the large number of claims and 19 percent.1 companies involved, activity at The major components of success Noonkanbah has sometimes been for AMAX were outlined in an article in frenetic. Also, onshore oil exploration 1976.2 According to this article the permit EP97 covers Noonkanbah and elements of success included: surrounding areas. The permit is held diversification of its natural resource by a consortium led by AMAX base; avoiding environmental conflict; Petroleum. pursuing extensive research' and With reference to Noonkanbah and development programs; investing in the Kimberley, this section will politically stable areas; and using a concentrate on examining the two 'direct hands-on' management style. corporations operating with the To these components Ritchie Howitt highest profiles, AMAX, Inc. of the adds: financial practices; and united States and CRA Ltd., a treatment of indigenous people.3 subsidiary of the Rio Tinto Zinc mining It was two weeks after Ralph Nader empire of England. had visited Australia and warned that AMAX, Inc. began as the American the corporate state was upon us — "the Metal Co. in 1887, changing its name to unholy alliance of government and American Metal Climax after acquiring multinational corporations against the the Climax Molybdenum Co. in 1957. people” — that West Australians were The name was changed again to AMAX provided with a striking example of Inc. in 1974. AMAX is an integrated theory in action. The state government producer of base and specialty metals. of Sir Charles Court went to It is the world's largest supplier of extraordinary lengths to help AMAX molybdenum and a major supplier of Petroleum to fulfil its contract to drill Tungsten. In addition to its interests in for oil on the Noonkanbah Aboriginal non-ferrous metals, AMAX is the third cattle station 1,400 miles north of largest coal company in the U.S. and Perth. AMAX was acting as the owns 50 percent of Alumax Inc., a large managing component of a joint aluminium company. venture which also included AMAX continues to invest heavily to Whitestone Petroleum International — ALR Su m m er 83 5 Michael Gallagher • Protesters at Noonkanbah, 1980. 32 percent; Pennzoil Aust. — 29 19, 1979. This action claims damages population must accommodate itself percent; Australian Consolidated of $10 million for personal injury or to contemporary conditions.5 Minerals — 5 percent; Yom Oil — 5 wrongful death resulting from The agreement with the Colville percent; and AMAX held 29 percent. employment in certain underground Tribes is reminiscent of the situation mines on the Navajo Reservation with the Ashton Joint Ventre in the uring this confrontation the which were operated by the Climax Kimberley. AMAX offered members of president of AMAX Petroleum Uranium Corporation (merged into the Colville Confederated Tribes was contacted by reporters at AMAX in 1961) between 1950-65. $6,000 each per year, plus money for his office in Houston, Texas, U.S.A. ANAMAX, a 50 percent subsidiary of tribal development programs in return The response to questions by Mr. AMAX in Arizona, U.S.A., has been a for the right to turn Mt. Tolman into a Lloyd Parks was very revealing. He defendant in a legal action sicne 1969, 1,200 foot deep pit two miles long and made the point that "the State brought by the Papago Indians. The one mile wide. In the words of the Government was telling AMAX what to action seeks to restrain the company Indians themselves: do at Noonkanbah". He then went on and other water users in the Santa Cruz further to say: "I run an oil business River Basin from using excessive water .... land is the only certainty. This is and we have never had these problems and interfering with the water rights of what impels persistent opposition to before — not with Indians. We are sick the Indians. mining despite the promises of of being given hell by the press and AMAX successfully negotiated a payments from AMAX. Money is tempting said one tribal member.... but communists over there. If the mining agreement with the Colville the future of our children is at stake Aborigines want to talk to me, I am in Confederated Indian Tribes of my office any time, in Houston."4 here. I'd rather leave them a homeland Washington, U.S.A., to mine a than buy them a motor bike.6 If we take only part of the above mountain of low-grade molybdenum statement that "we have never had on the Reservation. The problem is that An interesting difference in these problems before" and subject it the mountain, Mt. Tolman, is sacred to sentiments was elicited by Ritchie to closer analysis, we find that, in fact, traditional Indians in the area. As one Howitt in an interview with AMAX's nothing could be further from the truth. observer of the negotiations argued: Western Australian Regional According to Howitt the following Exploration Manager in May 1980: information is pertinent since "AMAX This mining project has been the focus faces legal challenges from Indians all of serious divisions in the tribal .... the prooiem (at Noonkanban) was over the United States". population with many of the older at least partly caused by do-gooders members opposing further develop­ such as teachers and university people AMAX has been named as a ment and modernisation and the going up to places like Noonkanbah defendant in an action brought by a younger, more educated members and telling people they should stand group of Navajo Indians in the U.S. favouring economic development up for their rights. There is, of course, District Court in Arizona on December believing that the reservation nothing wrong with that, but the same 6 A u s t r a l i a n L e f t R e v ie w 86 people are very strongly opposed to basis as any other labour. Since most apartheid in South Africa, and yet recruitment is in Perth such a policy "Patriotism " and "nation­ they are saying that Aborigines in would seem to exclude Aborigines alism" are used to deflect Australia should, for example, get from their work force, and our own royalties from mining on leasehold respondents believed that the the discussion away from land — a riqht which no European has company policy was not to employ Aboriginal land rights, or ...