Bougainville Copper Limited Secures Land Access for Panguna Project
BOC (BOC) Share Update November 2024 Wednesday 6th
Bougainville Copper Signs Landmark Land Access Agreement
Bougainville Copper Limited has announced a significant milestone with the signing of a Land Access and Compensation Agreement for its Panguna project, marking a crucial step forward in its exploration efforts.
Instant Summary:
- Land Access and Compensation Agreement signed with customary landowners.
- Agreement covers 510 blocks, approximately 37.74 square kilometers.
- Enables exploration activities under Bougainville Mining Act 2015.
- Follows extensive consultations with stakeholders including landowners and the ABG.
- Five-year exploration license granted in January 2024.
Agreement Details
Bougainville Copper Limited (BOC) has successfully negotiated a Land Access and Compensation Agreement (LACA) with customary landowners, a pivotal step for the company's exploration activities at the Panguna project area. This agreement, signed on 6 November, covers 510 blocks of land, equating to approximately 37.74 square kilometers.
The LACA provides BOC with consensual access to the land, allowing them to conduct necessary pre-feasibility and feasibility studies as stipulated by the Bougainville Mining Act 2015. This legal framework ensures that landowners' rights are respected while facilitating the exploration process.
Background and Stakeholder Engagement
The signing of this agreement follows the Autonomous Bougainville Government's (ABG) decision to grant BOC a five-year exploration license in January 2024. BOC has engaged in extensive consultations with a broad range of stakeholders, including landowners, the ABG, community leaders, veterans, and women's groups, to ensure a collaborative approach.
This inclusive process has been crucial in gaining the trust and cooperation of the local communities, which is essential for the project's success. The agreement represents a harmonious balance between economic development and community interests.
The signing of the LACA is likely to have a positive impact on Bougainville Copper's stock as it clears a major hurdle in the exploration phase. This agreement not only secures land access but also demonstrates the company's commitment to working collaboratively with local stakeholders, which could enhance investor confidence.
Investor Reaction:
Analysts are likely to view this development positively, as it indicates progress in the Panguna project and reflects BOC's ability to navigate complex stakeholder environments. The agreement could be seen as a de-risking event, potentially leading to increased investor interest.
Conclusion:
With the Land Access and Compensation Agreement in place, Bougainville Copper is well-positioned to advance its exploration activities at Panguna. Investors should watch for further developments as the company moves into pre-feasibility and feasibility studies, which will be crucial in shaping the project's future.