Pacific / Solomon Islands

Miner's withdrawal from Solomons prompts call for better regulation

12:28 pm on 16 August 2017

The chair of Solomon Islands' Chamber of Commerce has expressed regret over the withdrawal of Japanese mining giant Sumitomo.

The chair of the SICCI, Jay Bartlett Photo: SI Chamber of Commerce

The miner announced its departure earlier this month cited the slumping nickel price and the loss of a legal dispute over mining rights.

Sumitomo began exploring in Solomons Islands in 2005 but became embroiled in a six-year legal battle with Australia's Axiom Mining.

The battle ended this year with neither company being granted the right to a nickel deposit in Isabel Province.

The chair of the Solomons Chamber of Commerce Jay Bartlett said it's unfortunate that a major international investor has left the country having spent most of its time and resources in the courts.

He said the withdrawal stressed the importance of developing a transparent regulatory framework for all investors and businesses in the Solomons to avoid future withdrawals.