The Ministry of Mines and Energy has issued a formal response to the allegations raised by the Leader of the Opposition, Hon. Matthew Wale, regarding the proposed granting of a mining license to Far East Resources Company Ltd for nickel mining operations on San Jorge.
The Opposition Leader alleged, tribal leaders and landowners raised concerns that the company failed to meet minimum operational standards and disregarded labour laws during prospecting activities, calling on the Minister of Mines & Energy to halt the proposed granting of a mining license to Far East Resources Company Ltd for nickel mining on San Jorge.
In its response, the Ministry of Mines and Energy strongly rejected the Opposition Leader’s allegations of procedural breaches or ministerial overreach.
It assured the public that the regulatory framework governing the mining sector is being strictly adhered to, and that all mining projects are subject to rigorous legal scrutiny.
The Ministry remains committed to ensuring compliance with both national laws and international best practices.
The Ministry explained, that in accordance with the Mines and Minerals Act and other relevant legislation, no mining license application can be processed without fulfilling the requisite statutory conditions.
The conditions include Commercial Discovery Report: The application must include a comprehensive report, which is evaluated by the Directorate Office of the Mines Division to determine its validity.
Environmental Impact Statement (EIS) and Development Consent: The Ministry clarified that the Director of Environment, as per the Environment Act, is responsible for reviewing and approving the Environmental Impact Statement. This responsibility lies outside the purview of the Mines and Minerals Board or the Minister of Mines.
The Ministry firmly stated that, contrary to the claims made by the Opposition Leader, NO mining license is issued unless these legal requirements are met in full compliance with the established legal framework.
The Ministry further clarified the roles of the Mines and Minerals Board and the Minister of Mines and Energy in the licensing process- while the Mines and Minerals Board provides advisory input, the final decision on issuing a mining license rests solely with the Minister, contingent on compliance with all regulatory and statutory obligations.
The Ministry affirmed that there is no evidence to suggest that the Minister has exceeded his legal authority as alleged. In fact, the Ministry is strict on mining companies following the law.
This is why several companies had their Mineral Leases canceled, which included Axiom when it was operating in San Jorge in 2019. Hon. Wale should know this since he attended Axiom groundbreaking ceremony on 18 March 2019 just a few days before the National General Election on 3 April 2019.
On issues relating to Labor and Jurisdictional matters, the Ministry noted that such matters fall outside the jurisdiction of the Mines and Minerals Act.
These issues are governed by the Ministry of Labor, and any allegations related to non-compliance with labor laws should be directed to the Director of Labor, the appropriate authority for investigation.
The Ministry of Mines and Energy reiterated its commitment to addressing the concerns of the local communities, including tribal leaders and landowners, in San Jorge.
The Ministry highlighted its ongoing review of the Community Development Agreement (CDA) and the Surface Access Rights Agreement (SARA), demonstrating its commitment to ensuring that mining activities bring benefits to local communities while adhering to principles of sustainability, transparency, and good governance.
The Ministry welcomes constructive engagement with all stakeholders, including the opposition, to address any legitimate concerns.
However, it emphasized the importance of ensuring that public statements on mining issues are grounded in facts and proper legal interpretation, and not politicized to avoid unnecessary alarm, within the industry and local communities.
– GCU
