2 Jul 2008

PNG to vet Bougainville deal with Invincible of Canada

3:02 pm on 2 July 2008

The Papua New Guinea Parliamentary Referral Committee on Minerals and Energy is considering whether to let a controversial deal made by the autonomous Bougainville Government with the Canadian company, Invincible Resources, stand.

In the deal, Invincible got 70 percent of the province's resource developer, the Bogenvil Resource Development Corporation.

The agreement angered many in the province and it was reported that the late President Joseph Kabui was about to face a vote of no confidence, but he died before parliament met.

Meanwhile, the Post Courier newspaper reveals that a delegation of Bougainville ministers and leaders, led by the Invincible CEO, is in Europe seeking to secure more funds for the Bogenvil Resource Development Corporation.

According to the paper, national government officials say the delegation will have to explain the reasons for the trip when it gets back on Friday.

They say officials also want to know why several legal documents advising against involvement with Invincible were apparently ignored by the Bougainville leaders.