Pacific / Papua New Guinea

Rio Tinto announces MOU to address Panguna mine legacy issues

07:06 am on 21 November 2024

Panguna open pit copper mine in Bougainville. S Photo: 123RF

Mining giant Rio Tinto and the government in the autonomous Papua New Guinea region of Bougainville are set to form a roundtable to address the findings of the Panguna mine Legacy Impact Assessment (PLMIA).

That report is due out in a few days, but a preliminary report showed that the mine, which has lain idle for 35 years, remains the source of major environmental and human rights threats.

The assessment was funded by Rio Tinto, and initiated by the community in Panguna with the aid of the Australian Human Rights Law Centre.

Under the MOU, the roundtable parties, which also include Bougainville Copper Ltd [which has been Rio Tinto's subsidiary until the company gave the shares to the PNG and Bougainville Governments], will work together, consult with impacted communities, and establish a process to agree on how to remedy actual and potential impacts identified.

In a statement Rio Tinto, which has never committed to paying for the damage caused by the mine it once owned, said the MOU will include setting up a remedy mechanism that fits with the United Nations Guiding Principles on Business and Human Rights.

It said the roundtable parties will also continue working on ageing infrastructure and other priorities already identified through the PMLIA process.

Bougainville President Ishmael Toroama said: "The PMLIA has been an important initiative for the ABG and for impacted communities. Rio Tinto and BCL should be commended for stepping up and supporting the assessment, as well as the clan representatives on the Oversight Committee who have been a vital bridge to their communities throughout the process.

Rio Tinto's Australia chief executive Kellie Parker said: "Our focus in Bougainville is on meaningful engagement and long-term solutions. Since 2021, we've committed to the independent Legacy Impact Assessment process with local stakeholders, which for the first time in decades will provide objective data on environmental and associated human rights impacts from the Panguna mine since it ceased operations due to civil war.

"We will work with the Roundtable parties and consult with local communities on a response plan to address identified impacts. Rio Tinto's support for this MOU reinforces our genuine commitment to working respectfully and collaboratively on this important issue."