EARTH Thailand

Gold mine ban ‘not final’

The Nation 15 December 2016 | Pratch Rujivanarom

Experts believe junta order allows room for amendment later; Akara Resources says 1,000 workers will lose jobs.

ENVIRONMENTAL EXPERTS believe that the junta’s order on Tuesday to suspend gold mining operations is not final and there is room to reverse the decision or amend the order, even as Akara Resources pledged to comply with the diktat and stop mining operations.

About 1,000 workers at the Chatree gold mine in Phichit province will likely to lose their jobs due to the order, according to a source at the company.

The order issued under Article 44 on Tuesday by the National Council for Peace and Order (NCPO) called for the cessation of all gold mining operations with effect from January 1. The NCPO ordered relevant state agencies not to issue or renew gold mine exploration or mining concessions or metallurgy permits, because of conflicts over gold-mining operations in the country. 

However, experts urged the public to closely monitor implementation of the order.

Currently there are two gold-mining operators in Thailand: Akara Resources, which owns the Chatree gold mine in Phichit, and Thung Kham, which owns a gold mine in Loei province. However, Akara’s mine is the only one in operation currently. and this NCPO order mainly intended to tackle the problems and conflict according to Chatree gold mine.

The secretary-general of the environmental law watchdog EnLAW Thai Foundation, Surachai Throngngam, said yesterday the order to suspend gold mining after the New Year was not aimed at permanently shutting gold mines. He said the order left space for amendment and changes in policy.

“Section 8 of the order clear states that in the right situation, the prime minister or relevant agencies could ask the NCPO to revise the order. We have to monitor the implementation of the order in the long term,” Surachai said. “This includes the environmental rehabilitation programme because, while the order requires the mining companies to restore the mining areas, the penalties for not doing so are too little – only a fine of up to Bt20,000 – which cannot compare with the rehabilitation costs of millions of baht.”

Contamination of environment

Akara Resources was accused of contaminating the nearby environment with heavy metals and cyanide from its gold mining operations. Protesters said many people in the vicinity of the gold mine were getting sick and some had died due to continuous exposure to dangerous substances leaking from the gold mine. A conflict ensued between protesters and supporters of the mine.

Maha Sarakham University lecturer Chainarong Sretthachau expressed concerns that the mining operators might not properly rehabilitate the environment because it would be a costly and complicated task.

“I am worried that the gold-mine restoration operation carried out by the mining company will not be enough to restore the healthy environment. This mission needs close supervision by academics and it will be very expensive, especially if there is heavy metal contamination to deal with,” Chainarong said. 

He added that an investigation on heavy metal contamination was still under way.

Commenting on the NCPO action, Surachai said he dis-|agreed with issuing the order using the NCPO’s absolute power because the exercise of such power was unjust and could not be checked.

“Public participation was excluded from monitoring the mine restoration. Instead of using this special power to solve the problem case by case, the government should draft a law to protect the environment and set a proper mine-restoration procedure, as |it will become a legal tool for |everyone to use to protect the environment and people’s rights,” he said.

Meanwhile, Akara Resources said in a statement yesterday that company executives were extremely surprised by the NCPO order and as a result would have to lay off all of the company’s employees.

A source at Akara Resources said about 1,000 workers at Chatree gold mine would lose their jobs. The company statement said that dismissed employees who had worked at the company for more than 10 years would receive a compensation package of 300 days’ salary.

The Labour Ministry has already set up a plan to train workers affected by the mine closure, give them advice and find them new jobs.

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