by Charles Piringi
Central Guadalcanal MP Peter Shanel Agovaka recently raised concerns in Parliament over ongoing illegal mining practices at the Gold Ridge mine site, accusing both the investor and government ministries of failing landowners.
Shanel, talking on behalf of communities directly affected by mining, claimed illegal gold panning at the pits is only a symptom of deeper problems created by Gold Ridge Mining Ltd (GRML) and its partners.
“The problem arises because the company has failed to fulfill its obligations to landowners,” he told Parliament.
“No royalties, no rental dues, no regular payments. If they had played their part, we wouldn’t see people risking their lives in the pits today.”
The MP accused GRML of allegedly breaking labour, mining and environmental laws, saying the company has even infringed into prospecting areas without proper approvals.
“There’s no Environmental Impact Assessment in the new areas infringed into. This infringement is illegal, there’s land acquisition first. Industrial waste is spilling into our rivers. This is disastrous for communities downstream, including the Metapona River,” he said.
Shanel said the Gold Ridge Community Investment Limited (GCIL), the landowner company with a 10 percent stake in the project, claimed it has failed to deliver benefits to landowners.
“GCIL has been operating for 10 years but not a single annual general meeting has been held. No dividends, no transparency. Where is the 10 percent equity revenue that belongs to the tribes of Gold Ridge?” Shanel asked.
But Paramount Chief Walton Naezon, who chairs GCIL, rejected the allegations, saying Angovaka was confusing the current company with the defunct Gold Ridge Investment Ltd, which collapsed years ago.
“All his allegations are baseless,” Naezon said.
“He was Chair of the former entity GRIL and should know better.”
The dispute comes as the government pushes forward with a SBD$648 million processing plant expansion project, which is expected to boost national revenue.
Mines Minister Derick Manuari acknowledged the seriousness of illegal panning and confirmed that the mining agreement is under review.
“We are working with all stakeholders to find a long-term solution, including the humanitarian aspects of the issue,” Manuari said.
He said a high level taskforce involving police, finance, and landowning tribes has been set up to deal with the issues in Gold Ridge.
But Shanel warned that relying on police crackdowns is not the answer.
“During the Ross Mining days, landowners protected the mine because they were respected and fairly treated. Today, people feel neglected. Pointing guns at women and children is not a solution,” he said.
The Gold Ridge mine remains one of the Solomon Islands’ most strategic resource projects, but disagreements between landowners, government, and investors continue to threaten its progress.
Gold Ridge Mining Ltd started its operations in 1996 by Ross Mining Group, an Australian company.
It is currently operated by the Chinese investor Wanguo Gold Group, which holds 70 percent of the shares.
The other 30 per cent is being held by AXF Resources (20%) and GCIL (10%).