The story behind the Panguna mine is similar to that of Ok Tedi, in that a large multi-national (in this case Australia's CRA - partially owned by the PNG government as well as some public ownership) devastated the Jaba River in a bid to exploit mineral resources. But the importance of Panguna can only be properly understood as part of the broader story of Bougainville's independence movement.

Bougainville has been colonised by many powers, including Germany and then Japan. It became part of PNG after WWII, and then came under Australian administration. In the in early 1960's Australia authorised mineral exploration of Bougainville and Bougainville Copper Ltd opened in 1969. The local people begun agitating for succession around that time, in part as a response to the inequitable management of Panguna by Australia who made little effort to let the people of Bougainville benefit directly from the mine's enormous copper and gold reserves.

Local representatives in Bougainville tried to negotiate with the PNG authorities, who were more sympathetic than the Australian administrators, but in the end talks broke down, and 2 weeks before PNG was set to declare independence from Australia, Bougainville declared itself the Independent Republic of North Solomon's. After failing to achieve international recognition for their independence, and also failing to win approval for incorporation into the Solomon Islands, Bougainville's government accepted an agreement to become an autonomous region of PNG.

For over 5 years Bougainville and PNG maintained a cordial relationship but in the early 80's tensions flared again over the status of the Panguna mine which would turn violent a few years later. The mine was a key element of the PNG economy and was one of the world's largest copper producers, but local people were still complaining that they saw none of the benefits and had to endure the savage environmental effects caused by the mine. Just like Ok Tedi, Panguna was blamed for poisoning waterways, causing sickness for humans (including birth defects) and extinction for many species of flora and fauna. One of the mines workers, Francis Ona attempted to get CRA to respond to these claims, and when that failed he quit to take up arms against the company and the PNG government - establishing the Bougainville Revolutionary Army (BRA).

The BRA became known around the world for its crippling acts of sabotage against the mine. They stole explosives from the mine's own stores and then used them to destroy equipment, damage roads, cut off the power and other acts of vandalism. Ona became a local hero, evading capture and injury and cultivating an image as a revolutionary leader. The ranks of the BRA swelled with local men and defectors from the PNG military. Eventually the BRA's activities escalated to full-blown terrorism with attacks on mine employees and government officials. This led to the mine being closed in 1989 and it hasn't opened since.

Although both Bougainville Copper and the PNG government denied responsibility for any environmental damage around the mine, they still attempted to negotiate a truce, including a large compensation package. Ona refused, because the BRA had gone beyond simply making demands about Panguna and evolved into a dedicated secessionist movement.

The negotiations were also hampered by PNG's complex native ownership laws (see Ok Tedi Mine) which meant that there was a great deal of dispute over which clans and people were direct titleholders of the land (and so entitled to a share of the profits) and who were beneficiaries and so not entitled to anything (except at the discretion of the titleholders). Ona claimed to be the former, while others including CRA, argued that he was the later.

The violence went on, with both sides claiming human rights abuses. The government called the BRA terrorists, and the BRA claimed the PNG military committed atrocities in retaliation for continued attacks on the mine and government offices. In 1990 CRA agreed to abandon the mine and a peace deal was struck between PNG and BRA. The result was meant to be disarmament and greater autonomy for Bougainville. Ona refused to recognise the deal but the BRA split and one of its former military commanders signed the treaty on behalf of the militants. The defence forces left the island (and the local police fled in fear) so the island became a de facto republic.

By the early 90's PNG was again in a civil war, with the central government blockading Bougainville, and Ona's forces unilaterally declaring independence (with little effect). The political and militant arms of the BRA split further and the PNG government begun arming local militia's to fight the BRA - successfully shrinking the territory under their control. By 1993 PNG had retaken Bougainville's capital Awara. The Foreign Minister wanted a peacekeeping mission to resolve the conflict, but the Prime Minister resisted, wanting instead to crush the rebels. He ordered the army to retake Panguna and was briefly successful. But the PNG government collapsed and a new administration was formed, headed the by former foreign minister - Julias Chan.

Chan tried for over 2 years to negotiate, including a conference hosted by Australia in Cairns, but none of the BRA's factions would sign it. So Chan decided to abandon the talks and fight it out and ordered the army to retake the entire island. Neither Australia nor New Zealand would assist, so Chan tried to bring in a private military company (mercenaries called Sandline International - leading to the so-called "Sandline Affair"). When Australia media broke the story of a secret mercenary plan it brought down Chan's government.

By 1997 there was a peace deal, including UN peacekeepers from Australia, and earlier this year there was an election to form a new autonomous government. Joseph Kabui, a former resistance fighter, turned head of the BRA's political wing, was elected President. An independence referendum will be held in the next 10 years.

The enigmatic Ona still refused to recognise the agreement and appeared to have gone quite mad, declaring himself the King of the Independent Kingdom of Meekamui, a nation whose territories apparently include the highlands of Bougainville and the Panguna mine. The "King's" economic advisor, "Prince Jeffrey" is from the so-called independent sovereign State of Mogilno (which as far as I can tell, only exists on the internet and in Jeff's head). But despite all the crazy promises he made, Ona's men still control the Panguna mine. But at least there is peace, and a clear plan for the future - if the deal holds...

NOTE: after I'd finished writing this, but before I'd sent to Julian to be published on the website, Francis Ona died (July '05) malaria is believed to have been the cause of death. What this will mean for the success of the peace process and for the future of the Panguna mine is anyone's guess. It is however a very major development and something that keen debaters should stay informed about.

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