Business license ‘pending’ as province demands key docs from new mining company on Rennell

The Rennell and Bellona Provincial Government says an application by a new mining company for business licence on Rennell remains pending until the miners fulfill three key requirements.

Nickel Enterprise Solomon Islands (NESI), has been granted Prospecting License by the Minister of Mines and have already landed on Rennell this week.

Though they have already obtained the PL from the minister of mines to do bauxite prospecting, they still need approval from the province for a business license.

Premier of Rennell and Bellona Derek Pongi confirms his government has already received an application from NESI for a business license following the granting of the PL by the minister.

He exclusively told SBMOnline that usually the PL comes with very important documents which they have not sighted.

The premier explains that, firstly, they have not seen the recommendation from the Minerals Board for the minister to issue the PL to NESI.

“Usually, the board recommends to the minister to grant the PL but in this case, we have not seen the board’s decision with the application for business license,” he said.

Secondly, Pongi states that: “We have not seen the Surface Access Agreement (SAA) document where in this case the commissioner of land should grant.”

When contacted, the Commissioner of Lands Allan McNeil confirms that he has not signed any SAA granting for the company to carry out prospecting. I can confirm I have not signed any Surface Access Agreements.”

The Commissioner holds the title to the West Rennell land where the proposed mining will happen.

Thirdly, the premier Pongi states: “We have not seen the sub-lease document of the West Rennell land to NESI as the land in West Rennell is under the Commissioner of Lands.”

McNeil further confirms that neither the board nor him have granted sub-lease for West Rennell land where the prospecting will take place.

Premier Pongi said: “Based on these, the application of NESI remains pending. We never reject neither approve it.”

“I call on Investors who are interested in doing operations in Rennell Bellona Province and their local partners to respect and adhere to the legal processes,” he adds.

He further confirms that his executive has already met and agreed that the application remains pending whilst they sought legal advice from the Attorney General’s Chamber.

Pongi said based on the AG’s advice they would communicate their decision to the company.

However, the premier said: “Whilst we are still waiting, they have already landed in Rennell.” 

NESI explains their story

When asked for their side of story, a spokesperson for NESI told SBMOnline confirmed today that their workers are already on the ground—setting up on Rennell.

The company spokesperson states that prospect would go ahead as they have already received the acknowledgement from the province on their application for a business license.

He claims that based on the advice they were given—as long as the application for license is acknowledged work would go ahead and they would pay the required fees once they are invoiced by the province.

On the Surface Access Agreement, the spokesperson said that the company had already signed with the landowners.

He states that based on their understanding that is sufficient to press ahead with the prospect. The province argues that because it is a registered land, the commissioner of lands should sign the SAA.

As to the sub-lease of the land from the commissioner of lands, the spokesperson says that is only applicable in the later stage when the actual mining takes place, not in the prospecting phase.

A spokesman for the Landowners and the West Rennel Council of Chiefs John Maueha confirms that they had already signed the SAA with the landowners.

He asserts that under the Mines Act, the SAA is between the landowners and the investor and in this case that has been done.

He claims that they have gone ahead with the SAA because of the case of the acquisition officer (West Rennell land) as had been the ruling by the court against him on the registration of the land. He also alleges that there is already an ordinance that governs businesses in the province, including mining.

However, the premier admits that as a mining province, Rennell and Bellona does not have a mining ordinance or even a policy on mining so all they could do is to request those three documents.

In that regard, the premier says if they provide those necessary documents then surely, they’ll grant them the business license.

Following on from there, the premier states that they are currently consulting with the AG’s Chamber, the ministry of lands and ministry of mining to do a joint consultation in the province.

Pongi states that the joint consultation is to seek the minds of his people on three areas. First, on the registration of the West Rennell land, which is now in the hands of the commissioner of lands. Secondly, the claims that the PL was given by the minister based on popular demand by the people.

“We want to seek the views of the women and the youths to see if they really supported the ML as claimed by some of the people in the province. And thirdly, we want to work on a mining policy and ordinance but first we must seek the views of our people. The policy will depend on the people,” he said.

The premier said unlike other islands in the country, Rennell land is made up of pockets of soil. The rest is rock and limestone.

Pongi said as a responsible leader he wants to follow what his government is doing and to do the right thing for the future generations.

“We don’t want to be accused by our future generations for the bad decisions we make today,” he told SBMOnline.

Meanwhile, the premier said even though the company now comes under a new name, they were the same under BMC which caused the oil spill at Kangava Bay.

Besides this, they are yet to pay outstanding dues of up to 33 shipments to the landowners on Rennell.

Maueha agrees with the premier on that matter and explains why they have decided to partner with NESI.

He explains that they only signed after NESI agreed to the conditions they put forward.

“The conditions are: they agreed to settle our outstanding arrears (33 shipments), continue with rehabilitation programme and also profit sharing,” Maueha told SBMOnline.

He said another major reason they agreed to allow NESI is because they have agreed to partner with them in the business undertaking.

Maueha said they have registered a company to partner with NESI in the mining operations. SBMOnline understands they hold 10% share in the new mining company.

According to the spokesperson for NESI they would work together with the landowners and the province. The spokesperson acknowledges that they would also work together with the province to address any arrears that the company may have with the province.

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