Attack on K92 ‘bad’ for investor confidence

Business

THE damage done to the K92 mine in Eastern Highlands by angry landowners recently will have a “damaging impact” on investor confidence especially in the mining sector, an official says.
Mineral Resources Authority managing director Philip Samar said there were proper channels of communication available to landowners rather than people resorting to violence to show their grievance.
“The company is new. They never were around and never had experience to deal with this,” Samar said.
“They came in, saw an excellent asset, and true to their words, between 2015 and this year, they turned the mine around which previous companies never wanted.
“They (company) are assisting landowners, the people, government. They made their first shipment in July to bring money into this country and create employment. But now we all have to deal with these issues.
“It is discouraging. No excuses. It has happened and now we have to deal with it.
“Law and order issues have to be dealt with separately. I have to pick up from where it is and the company needs to do its own due diligence, assess the risks but more so, in terms of return to mining.
“I am supporting the mine to return to mining and I am also supporting the landowners to sort out their issues.
“For me it’s a balancing act.  But for investor confidence, people will be sitting and watching to see what’s going to happen next. There is a way to solve issues. The leaders did the right thing.
“They put a petition, with the petition they demanded a time-frame. But you have to allow the other party to respond to your petition.
“But if they respond and you don’t see a favourable response, that doesn’t mean you take the law into your own hands.”

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