BHP Billiton / Rio Tinto

ESBC Welcomes Resumption of Talks

A deadline imposed by British authorities urges BHP Billiton to decide if they want to make a new take-over bid for Rio Tinto or not until February 6 th . This caused rumours that came up in Asia on Monday. Sources said that BHP Billiton and Rio Tinto were back in talks again.

“A merger between these two big companies may be an intelligent step to solve also the actual problems in Bougainville ,” said the president of the European Shareholders of Bougainville Copper Ltd. (ESBC), Mr. Axel G. Sturm , on Thursday in Andorra . With 53%, Rio Tinto is the major shareholder of Bougainville Copper Ltd. (BCL).  This fact seems to represent still a hindrance for some people on the island that belongs to Papua New Guinea and to its autonomous government ABG. Some people still believe that Rio Tinto was the only responsible for the environmental impact by mining and the unrest that cost the lives of thousands of Bougainvilleans. A new leadership by BHP Billiton might it make easier to resume mining in the world’s third biggest copper-, gold- and silver mine in the next years.

“Until now our board of directors did a very good job,” said Mr. Sturm, “but a take-over by BHP might have a positive impact on their excellent work. As most of Bougainvilleans know very well that their prosperity in the future depends on mining, a BHP leadership may be a right step for resuming of mining activities in Bougainville . A take-over of Rio Tinto by Chinese investors would be fatal for Bougainville ,” said Mr. Sturm, “Chinese companies are well-known in the world for non-respect of their employees and environmental matters as well. We think that a merger between these two companies that share the same ideals is a benefit for all.”

Bougainville Copper Ltd.

Bougainville Copper Emerging from the Ashes

The stock markets all over the world were extremely down on Monday while the stocks of Bougainville Copper (BCL) impressed by soaring more than 8 percent at the Frankfurt (Germany) stock exchange. Background: Swen Lorenz , a well-known European analyst, had surprised the investor’s public with a detailed in-depth-report (http://undervalued-shares.com) on the Rio-Tinto subsidiary that, until now, remained closed for nearly 20 years due to severe local unrest in the concerned Panguna district of the tropical island Bougainville (Papua New Guinea). The so-called Panguna mine and seven other leases are owned by BCL (Rio Tinto 53.8%) and is supposed to be re-opened within the next three years after enduring intensive negotiations. The Andorra based President of the European Shareholders of Bougainville Copper (ESBC), Mr. Axel G. Sturm , pointed out that Mr. Lorenz’ analyses are very correct: “BCL is like a Phoenix reborn from the ashes! The fair value of BCL shares is round about 30 AU$ once the mining is producing again.” The ESBC-members expect the BCL shares rising up to five AU$ in a first step within the next six months. And Swen Lorenz compares BCL with Katanga Mining Limited in his report. Those shares rose in Toronto from 4 CA$ in April 2006 to 26 CA$ in August 2007.

European BCL Shareholders Support Women’s Claim in Bougainville

The European Shareholders of Bougainville Copper (ESBC) declared their solidarity with the women’s claim that had been expressed in a meeting the women had with representatives of the World Bank in Bougainville last week. “For us there is no question, that the women must be included in decision-making on Bougainville ”, said ESBC President Axel G. Sturm on Thursday 8 th in Andorra , “We consider the role of these wise women as a pole of peace on the island. We agree totally that the actual problems in transportation, telecommunication, health service and education have to be resolved as soon as possible.” Mr Sturm underlined that it is very important to destroy all guns on the island. “But remember that there is also one other major weapon that has not been mentioned”, said Mr Sturm, “The name of this weapon is corruption! Only if the people of Bougainville will learn that they must stand together and work together without taking profit for one person or one family only, they will be able to overcome the actual economic and social crisis. The re-opening of the Panguna mine by BCL would be a great step forward to a better future for all. All Bougainvilleans have to be realistic: Only agriculture will not pay the enormous amounts of money that are needed to bring a better future and work to the people of Bougainville .” In fact: new roads, hospitals, schools, public transport, telecommunication and a lot of other things that are needed only can be paid with the income generated by Bougainville Copper Limited. Remember: Twenty years ago most of PNG’s state revenue came from the Panguna mine in the heart of Bougainville . Mr Sturm: “We are working hard to find a just solution for all. All parties concerned have to be satisfied”.

03.09.2007

ESBC Lauds Positive News from Bougainville

The president of the European Shareholders of Bougainville Copper (ESBC), Mr Axel G. Sturm, declared on Wednesday in France: “We are very surprised about the positive news from Bougainville and we appreciate very much that now the time has come to start serious discussions on future mining in the Panguna area. We are also glad that President Joseph Kabui wants to meet Mr Albanese from Rio Tinto. Congratulations to him too that he visited the No-Go-Zone. We hope that Panguna now will become a Welcome-Zone and that our experts can visit the mine in the near future.”

Mr Sturm represents the third biggest group of investors in BCL in Europe. The ESBC claim for fairness between all parties involved in the Panguna copper project and fights for mining that has only minimal environmental impact. “Since the Panguna mine was closed,” said Mr. Sturm, “mining technology made a giant step forward. Severe damage of nature can be avoided today. In our discussions with the BCL board of directors we always point out that the latest and most modern techniques must be used in Bougainville. That is why the reopening of the Paguna mine is estimated round about 1.2 billion US Dollars (K3,54 billion). This is a very important investment in the future of Bougainville and the Bougainvillean people.” Addressing to Chief David Sisito Mr Sturm said: “The ESBC is open to every fair discussion with our partners. But we remember too that the ‘coin Panguna’ has two sides like every coin. One side is fulfilled with mistakes of Rio Tinto and others in the past, but the other side is represents the struggle of the Bougainvilleans for their independence from PNG. We should not forget this either. We agree to talks with Mr. Sisito to discuss all his claims of compensation as published today. But Mr. Sisito, are you ready too to talk with us about compensation of financial losses for the shareholders of BCL within the last 18 years when the mine staid closed?” Mr. Sturm: “I mean we are a new generation of people who is acting now and who have to shoulder a big task. That means that we all have to work together to build up a better future for Bougainville. The European Shareholders of BCL are ready to face their responsibility in fairness and good will.”

Bougainville : K30 million thieves must be brought to justice.

The European Shareholders of Bougainville Copper (ESBC) declared that they were absolutely not amused to read about the robbery of 500 kilograms of gold from Bougainville resources. “We demand an unreserved investigation of that scandal,” said ESBC-Spokesman Axel G. Sturm on Friday in Andorra . “We expect that President Joseph Kabui, hopefully in cooperation with the police officers just arriving from Australia and New Zealand , will soon shed light on this shameful incident. We are very much upset because we imagine the good that could have been done for the Bougainvillean people with such the enormous amount of K30 million instead of filling the pockets of a few. For that we demand that those criminals are brought to justice where they should face a severe penalty!”

The ESBC would also like to know if there were indications that the recently implanted Canadian Invincible Resources is involved in that affair. Further the European Shareholders pointed out in their statement that only the fast re-opening of the Panguna mine by a big and experienced company like BCL can guarantee regular and controlled mining: “Uncontrolled mining,” said Mr Sturm, “always involves a danger to nature and may cause environmental damage that could not be repaired. We hope that all parties concerned in mining in Bougainville are aware of the seriousness of the actual situation and that they will soon get together and work on a solution for Bougainville that will avoid criminal activities like this in the future.”