A foreign investor who has ploughed tens of millions of dollars into the mining industry over the years is warning that a slant on Asian investment in this country is sending a wrong message to potential investors.
“I don’t understand why foreign investors like myself are coping criticisms almost on a daily basis even for doing the right thing. For example, we made it our business to ensure that we follow the process set by the Government,” the Chief Executive Officer of Win Win Mining Ltd, Dan Shi told Solomon Star yesterday.
Win Win is engaged in alluvial mining at Turarana in North East Guadalcanal.
Dan was commenting on a frontpage article which appeared in the Island Sun newspaper two days ago.
The report was based on an interview about the reported takeover of a Nickel deposit Tenement once owned jointly by SIRCL and New Asia.
Hangzhou Gowin Mineral Product – a company based in Hong Kong – took over the tenement at Suma on Isabel last month after SIRCL and New Asia decided to offload their shares.
The article criticised the Hangzhou Gowin Mineral Product, saying the Hong Kong Company lacked the expertise and skills as it did not have any experience in the mining industry.
As well, it said an Isabel tribe referred to as the Three Brothers, also objected to Hangzhou Gowin Mineral Product being given the licence to operate in the area.
But Dan said the article is riddled with mischief and does not reflect the true situation on the ground.
“We have made substantial progress since we took over the Suma tenement. For example, the Mining Licence once held by SIRCL, is now ours. We have also taken over the operations side, once owned by New Asia.
“The only thing holding us back is the delay of the final endorsement from the Attorney General’s Chambers,” Dan said.
“Both companies are no longer at Suma. But that’s not all. We have completed 85 per cent of negotiations on two adjoining tenements marked ‘D’ and ‘E’. Negotiations are continuing and we are confident that a mutual outcome is not too far away,” Dan said.
“In fact, what is causing some delays at the present time is that the final paperwork on share transfer and the Mining Licence transfer are with the Attorney General’s Chamber. We just want to ensure we are on the right track,” he said.
Dan said the operation was going well.
“Once the Attorney General’s Chamber has cleared the paperwork, we will be on our way because every other competent authority has signed on the dotted line.
“We have, for example, received the Certificate of Approval from the Foreign Investment Division (FID). We have received approval from the Minister of Mines, Energy and Rural Electrification on the share transfer and Mining Licence, and are awaiting final endorsements by the Attorney General’s Chamber.
“We know he has been busy lately but are confident we will hear some good news shortly because we are keen to start.”
In the meantime, work on the adjoining tenements would be continuing. These include negotiating Surface Access Agreement (SAA), Surface Access Right (SAR) and of course application for Prospecting Licence (PL).
“As indicated, we have already completed up to 85 percent of this work in the two adjourning tenements.”
Dan said Hangzhou Gowin Mineral Product has made a commercial decision and would stay the course.
“I wish to reiterate that the sort of reporting we have seen is not in the best interest of Solomon Islands in the long term. Potential investors would be very wary if such reporting continues, particularly in targeting certain ethnic groupings,” he said.
By Alfred Sasako
Newsroom, Honiara
