Press review: Mining in the South Pacific Vol. 5, No. 5, September – October 2013, 162 pages Compilation: Dr. Roland Seib, Hobrechtstr. 28, 64285 Darmstadt, Germany http://www.roland-seib.de/mining.html Copyright: The material is copyrighted by the media and authors quoted. Abbreviations in common use: BCL: Bougainville Copper Limited LNG: Liquid Natural Gas PIR: Pacific Islands Report PNG: Papua New Guinea Websites: Pacific Islands Report: http://pidp.eastwestcenter.org/pireport/graphics.shtml PNG Post-Courier: http://www.postcourier.com.pg PNG The National. http://www.thenational.com.pg ------------------------------------------------------------------------------------ UN expert body urges action to prevent violation of indigenous rights due to business activities PACNEWS, 31/10/2013 States and corporations need to do more to prevent the violation of indigenous peoples’ rights as a result of business-related activities, a United Nations independent expert body has said. “Indigenous peoples are among the groups most severely affected by the extractive, agro-industrial and energy sectors,” said Pavel Sulyandziga, Chair of the UN Working Group on the issue of human rights and transnational corporations and other business enterprises. “Negative effects range from indigenous peoples’ right to maintain their chosen traditional way of life, with their distinct cultural identity, to discrimination in employment and in accessing goods and services.” Other challenges involved land use and ownership, as well as displacement through forced or economic resettlement Sulyandziga said yesterday in his presentation of the Working Group’s report to the General Assembly’s social, humanitarian and cultural committee (Third Committee) on the adverse effects of business activities on indigenous peoples’ rights. “Such disruption often leads to serious abuses of civil and political rights, with human rights defenders in particular put at risk,” Sulyandziga said. 2 “Indigenous peoples are also often excluded from agreements and decision-making processes that irrevocably affect their lives.” The report highlights how the UN Guiding Principles on Business and Human Rights can clarify the roles and responsibilities of States, business enterprises and indi- genous peoples in addressing these problems. “We call on States and business enterprises to in- crease their efforts to implement the Guiding Principles. This includes the State’s duty to protect in- digenous peoples against business-related human rights abuses and corporate responsibility to respect human rights, and where abuses have occurred, to ensure people can have effective remedy,” said Sulyandziga, while urging interested parties to register for the second annual Forum on Business and Human Rights to be held in Geneva in December. “It will be an opportunity to dis- cuss challenges in implementing the Guiding Principles, in particular sectors, in operational en- vironments and in relation to specific rights and groups, including indigenous peoples. It will also be a chance to identify good practices and opportunities for dialogue and cooperation toward soluti- ons,” he added. SOURCE: UN NEWS CENTRE/PACNEWS Staff Strike At PNG’s Ok Tedi Mine Over Redundancy Mine to make all staff redundant before hiring smaller workforce By Liam Fox MELBOURNE, Australia (Radio Australia, Oct. 31, 2013) – Production at Papua New Guinea's biggest mine has been cut after staff went on strike over concerns about redundancy offers. As part of plans to reduce production by a third, the Ok Tedi mine is making all staff redundant before re- hiring a smaller workforce in 2014. Some of the mine's 6,000 workers - it's not clear how many - went on strike on Wednesday night because of concerns about redundancy packages. Daniel Kom- ba, from the Mine Workers Union, says some people are worried they will get a smaller payout than those who accepted an earlier redundancy offer. The confusion has been heightened by the PNG Government's recent takeover of the mine. The mine's management says all staff receive the same level of redundancy entitlements. Ramu Nico embarks on cost saving measures Post-Courier 31.10.2013 IN LIGHT of the slowdown in global economy and declined price of nickel metal, the only ni- ckel/cobalt exporter in the country, Ramu NiCo is adopting stringent measures to improve its pro- duction while reducing deficit in the second half of this year, according to the company’s recently released newsletter. In the half year work conference for 2013, Chairman of Ramu NiCo Mr Zhao Shimin highlighted that many international mining companies have to close down, layoff or down- size their operation in response to the poor global economy and some mining industries in PNG ha- ve taken that path. “We have to say that we are not born at the perfect timing, since in the first year of operation, we have to confront such severe difficulties and challenges both internally and exter- nally,” Mr Zhao said. However Mr Zhao is confident Ramu NiCo will reverse the company’s diffi- cult situation and with determination and dedication from all staff and management will reduce de- ficit in the second half while improving production. He also assured the employees and stakeholders that with the support from MCC Group with tech- nology and capital will see in the second half some improvements in the production to reach this year’s production target of 50%. Meanwhile, the chairman appealed to all technical staff at Basa- muk Refinery and Kurumbukari mine to coordinate and communicate closely to overcome technical bottlenecks and invent new idea to build a strong foundation for the prosperous production in the years to come. Mr Zhao also took the opportunity to thank all Ramu NiCo staff for their commit- ment in the Project and further encouraged them to take cost cutting measures while using their wisdom to propose ideas to improve production. Ramu NiCo Project was officially launched in De- 3 cember 6, 2012, after its construction completion and the maiden export shipment made at the end of 2012. Ramu NiCo is currently targeting at 50% of the design capacity this year and 80% next year with the full 100% production capacity in 2015. Simberi gives NIP K350,000 Post-Courier 31.10.2013 GOVERNOR of New Ireland Sir Julius Chan has announced that Simberi gold mine operator St Barbara has given K350,000 for infrastructure in the Central New Ireland Local Level Government. In a small ceremony attended by the Governor, provincial administrator, chief executive officer for economics, chief provincial adviser in Kavieng for chief executive officer for St Barbara Ltd, Mr Tim Lehany said during the presentation “We value the support of the NIPG and it is pleasing to see the Government stimulating and encouraging economic activity. “This contribution by St Barbara is a strong indication of the excellent working relationship between the company and the New Ireland Provincial Government.” “It is particularly impressive you have fulfilled your pledge at a time when the price of gold has slumped somewhat and before St. Barbara have even been able to decla- re a profit from the Simberi Mine.” Sir Julius said that the K350,000 would be used to fund the repair and upgrading of the Lambuso – Ugana Trans-Island crossing in Sentral Niu Ailan LLG. Sir Julius said, “This is a critical crossing for the people of both the east and west coast, and making it accessible again will dramatically im- prove the lives of the people of Sentral Niu Ailan and I can now confirm that upgrading will com- mence within a fortnight”. Sir Julius noted that since St Barbara took over the Simberi in mid-2012 from the former operator, Allied Gold Limited, the relationship between the provincial government and the operator had improved dramatically. “For the first time in many years we feel we have a genuine dialogue and relationship with the operators of the Simberi Mine” he said. “I think the un- encumbered approach to this “Signature Funding” sets an example other companies operating in New Ireland could usefully emulate”. Canada: Current Issues In Seabed Mining Article by Wylie Spicer, mondaq.com October 30, 2013 When the International Regime for Seabed Mining was introduced at the United Nations in 1994, as an amendment to the Law of the Sea Treaty (the Treaty) the then Secretary General of the Internati- onal Seabed Authority (ISA) Ambassador Satya Nandan described the proposed regime as provi- ding for: "a stable environment for investors in deep - seabed minerals under a market - oriented re- gime; it guarantees access to the resources of the seabed to all qualified investors; it provides for the establishment of system of taxation which is fair to the seabed miner and from which the internatio- nal community as a whole may benefit;" As of 2013 it is fair to ask what progress has been made towards these goals. The Regime described to the United Nations by Ambassador Nandan con- cerned the development of a Seabed Mining Regime in respect of the ocean floor beyond the territo- rial limits of coastal states (the Area). A mining regime within the limits of the jurisdiction of a country does not involve the ISA; consequently the development of the necessary relationships to pursue mining are between the miner and the government of the coastal state. However, many of the issues are relevant to both mining areas. Activity in coastal waters has been concentrated in the Southern Pacific. A number of Pacific Island countries have granted either exploration or exploitation leases and the Secretariat of the Pacific Community has identified seabed mineral potential in Papua New Guinea, Fiji, Federated States of Micronesia, Kiribati, Tuvalu, the Solomon Islands, Vanuatu, the Cook Islands, Samoa and Niue. In the Area, the ISA has granted seventeen contracts either directly to countries or to companies 4 sponsored by a country (this is a requirement of the ISA).