PROJECT STATUS

Key current activities and issues that will interest stakeholders

The company has formulated a staged re-development plan for the Panguna project which it believes presents a viable development pathway.

The plan has four key stages, including:

  • Overcoming immediate challenges to development.
  • Demonstrating project viability as well as strong and sustained stakeholder support to secure feasibility funding.
  • Undertaking bankable feasibility study, obtain necessary permits and approvals and funding to build and operate.
  • Building the mine.

After initial progress, the company’s task has been made more challenging with a decision in January 2018 by the ABG not to grant an extension of the company’s exploration licence (EL1) – which Bougainville Copper believes was legally and procedurally flawed. This decision is subject to an ongoing Judicial Review in the PNG National Court.

Regardless, the company believes BCL presents the best value proposition to redevelop Panguna – particularly given the strong majority ownership stake that the people of PNG and Bougainville have in the Company – and continues to work towards this eventuality.

It is for example embarking on a critical review to update the Panguna project economics and is also exploring opportunities with prospective development partners and investors which best align with our redevelopment proposal.

The company remains committed to respectful and ethical engagement with stakeholders in Bougainville and retains strong levels of support among customary heads and landowners in the project area.