Australian ambassador meets minister over mining in Thailand

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Envoy meets minister over mining
Tanpisit Lerdbamrungchai,
Pratch Rujivanarom
The Nation



Industry ministry 'working on clear policy'; Aust firm denies graft claims

BANGKOK: -- AUSTRALIAN AMBASSADOR to Thailand Paul Robilliard met with Industry Minister Atchaka Sibunruang to inquire about the government's industry-promotion policy, special economic zones and the mineral-mining industry, especially gold mining.

After the meeting, Atchaka told reporters that she had explained to the envoy that her ministry was working on a clear policy and deciding on the technology to be used for mineral survey so that it ensures environment conservation.

They also discussed the Chatree gold mine, whose operation has allegedly affected people's health. The minister told Robilliard that an investigative committee would be set up to look into this case as the Department of Primary Industries and Mines continues gathering facts.

Atchaka said the prime minister had tasked her office, the Science Ministry and other agencies to look into the matter and determine how to treat those affected and prevent a recurrence before considering policies for the mining of gold and other minerals.

Asked about the National Anti-Corruption Commission (NACC)'s recent probe into an Australian company's role in alleged corruption behind gold-mining concessions, Atchaka said she did not discuss this case as it was not related to her ministry. She said the NACC would inform her if any of her officials were involved, but she has heard nothing yet.

"The talk today was more about the big picture of Thai-Australian cooperation, and we explained that some people disagreed with the mineral-mining policy," she said.

The Australian company has denied allegations that it paid bribes to get permission for the Chatree gold mine to operate, saying that its 100-per-cent shareholding in Akara Resources, as indicated in the annual report, had been misinterpreted by the Thai media.

In an interview with The Nation yesterday, Kingsgate Consolidated chief executive officer Greg Foulis said his company had a transparent information-disclosure policy and that it was working closely with Thai and Australian officials to address the corruption allegation.

As for the NACC setting up a subcommittee to investigate claims that the Australian Securities and Investments Commission is questioning some of Kingsgate's money transfers to Thailand, Foulis said he was not too concerned about this issue, but admitted that it was important for his company to protect its innocence.

"We are absolutely not involved in [and do not] support any corrupt activity. We have regular inspections of the company's accounts and we are registered in the Australian stock market, so the financial information has to be open to the public," he said.

He said Kingsgate fully complied with the regulations of every country it invested in. In Thailand, he said, Kingsgate's subsidiaries are following Thai law in every aspect - not just the environment and healthcare but also in terms of finances.

As for Kingsgate's 100-per-cent share in its Thai subsidiaries, which is against Thai law on foreign investment, he said the Thai media had misunderstood, as the figure shown in the company's annual report stood for the percentage of ordinary shares in Thai subsidiaries and not the overall share structure.

"I confirm that our shareholdings in Akara Resources are 48 per cent which are common shares, while the other 52 per cent of shares are preferred shares held by the Thai investor. Therefore it is not against Thai foreign-investment law," he said.

Source: http://www.nationmultimedia.com/national/Envoy-meets-minister-over-mining-30270416.html


-- The Nation 2015-10-08

[oneday]

but admitted that it was important for his company to protect its innocence cover up its guilt.

[Time Traveller]

but admitted that it was important for his company to protect its innocence cover up its guilt.

Is that just a dumba$$ opinion or do you actually have real information this company has done something wrong?

Kingsgate operate in 3 different countries. So far, only Thailand is having an issue with this company. Yes the only country of the three known for corruption.

Considering the fact that no other foreign gold mining companies operate in thailand,

Which sounds most plausible? A case of opportunistic Thais trying to shake down a well established foreign company on made up accusations for get rich quick riches. Or a western company deciding to find the most difficult country to do business in and then attempting to break the regulations there after they had already been granted licenses and environmental permits?

[chainarong]

When the Chatree gold mine first started it was solely run by Kingsgate Australian management without any problems , then after a settling in period and under normal commercial agreements with the Thai government , a Thai company was formed that being parent company Akara and this is the point at which problems started to arise , the ACCC in Australia has hauled in Kingsgate but that is not where the problem lies , the problem is with the Thai managed company Akara not Kingsgate.

[Time Traveller]

When the Chatree gold mine first started it was solely run by Kingsgate Australian management without any problems , then after a settling in period and under normal commercial agreements with the Thai government , a Thai company was formed that being parent company Akara and this is the point at which problems started to arise , the ACCC in Australia has hauled in Kingsgate but that is not where the problem lies , the problem is with the Thai managed company Akara not Kingsgate.

I think techinically it's thai, but the reality is it's still Kingsagte run.

I beleive the 51% thai shares of Akara is actually another thai registered 49% Kingsgate / 51% thai company. So effectively the Australian shareholders are close to 75% or higher. while the mix of thai shareholders would ensure that no thai is in control.