The Pacific island of Bougainville has rejected a partnership with Chinese miner CMOC to reopen the Panguna gold-copper mine, instead opting to deal with Indian company Lloyds Metals & Energy, reported Reuters.
Panguna, formerly operated by Rio Tinto, was once a major export earner for Papua New Guinea but closed in 1989 due to civil war. According to the news agency, Bougainville has set a deadline of 2027 to achieve independence from Papua New Guinea and sees reopening Panguna as essential to rebuilding its economy.
Bougainville President Ishmael Toroama said in a statement that he had rejected a proposed partnership between Bougainville Copper and CMOC and directed the company to engage with Lloyds Metals & Energy for a mining or services partnership contract model.
The Bougainville government became the largest shareholder in Bougainville Copper, with a 72.9% stake, after Papua New Guinea transferred its shares to the autonomous region on January 14. This follows the full departure of its former majority owner, Rio Tinto, back in 2016.
Source: Reuters