The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.

Less Ads, More Data, More Tools Register for FREE

Rio Tinto to assess shut mine over environment, human rights concerns

Wed, 21st Jul 2021 09:39

(Alliance News) - Rio Tinto PLC on Wednesday outlined plans to assess the environmental and human rights impacts of its former Panguna copper mine in Bougainville, Papua New Guinea.

The mine was once one of the world's largest copper and gold mines before ceasing operations in 1989.

The substantial pollution caused at the mine led to Rio being accused of violating human rights for not cleaning up Panguna. The mine led to a rise in birth defects and respiratory problems on the island, the Human Rights Law Centre said in a 2020 report.

The Anglo-Australian mining giant said it has reached an agreement to "identify and assess legacy impacts" of Panguna mine and is working with Bougainville community members, represented by the Human Rights Law Centre, and the autonomous Bougainville government.

"Stakeholders have raised concerns about impacts to water, land and health and this process will provide all parties with a clearer understanding of these important matters, so that together we can consider the right way forward," Rio Tinto said in a statement.

"We take this seriously and are committed to identifying and assessing any involvement we may have had in adverse impacts in line with our external human rights and environmental commitments and internal policies and standards."

A joint committee of stakeholders will be formed to oversee the study, which will examine the environmental and human rights impacts of the mine.

The study comes after a group representing 156 residents of villages near the the mine filed a complaint against Rio Tinto relating to past and ongoing environmental and human rights impacts at Panguna.

The move by Rio follows on from the events of last year, when the miner destroyed a 46,000-year-old Aboriginal heritage site - the Juukan Gorge caves - to expand the Pilbara iron ore mine in Western Australia, attracting public outrage and regulatory scrutiny.

The cave explosion led Rio's former chief executive, Jean-Sebastien Jacques, to resign. The company's chair previously stated that he will stand down in 2022.

Separately, Rio announced on Wednesday that its Richards Bay Minerals operation in South Africa will shut one of its four furnaces due to the depletion of available feedstock at the plant following an escalation in the security situation at the site which hampered the mine's ability to operate safely.

Shares in Rio Tinto were trading up 1.3% at 5,911.00 pence each in London on Wednesday morning.

By Will Paige; willpaige@alliancenews.com

Copyright 2021 Alliance News Limited. All Rights Reserved.

Related Shares

More News
23 May 2024 16:52

Activist fund Palliser urges Rio Tinto to ditch London listing

(Sharecast News) - Activist hedge fund Palliser Capital urged Rio Tinto to shift its primary stock market listing from London to Sydney, it emerged on...

22 May 2024 21:46

First Quantum seeks to speed up Peru projects after Panama debacle

LIMA, May 22 (Reuters) - Canadian miner First Quantum Minerals, which lost the right to operate its copper mine in Panama last year following protes...

20 May 2024 08:49

Citi downgrades Rio Tinto on rising China concerns

(Sharecast News) - Citi has cut its rating for Rio Tinto from 'buy' to 'neutral', saying that macro headwinds are rising for the mining group followin...

17 May 2024 16:55

LONDON MARKET CLOSE: FTSE 100 slips in tepid trade at end of week

(Alliance News) - Stock prices in London closed lower on Friday in quiet trade, though gold and base metal miners surged on stronger commodity prices....

17 May 2024 15:52

London close: Stocks recoup some earlier losses

(Sharecast News) - London stocks remained in negative territory by Friday's close, although they managed to recoup some of the losses seen earlier in ...

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.