The West Rennell Land and Resource Owners Association (WRL&ROA) has raised serious concerns over Nickel Enterprise SI Ltd (NESI) and its recent investment announcements for Rennell.
In an article published by the Solomon Star on Wednesday, August 4th, NESI claimed to have secured new backing from Singapore and flew workers to Rennell on a charter flight on Monday, August 2nd, to begin bauxite mining prospecting.
The company also announced a series of initiatives, including the hiring of a Chief Geologist and a Chief Environmentalist to ensure compliance with government regulations.
Additionally, NESI planned to bring in a medical team led by a doctor to provide free healthcare services to the local community.
NESI further stated its intention to establish a boat service between Rennell, Bellona, and Honiara, addressing the inadequate transport services that often leave cargo stranded in Honiara without access to Rennell and Bellona.
Having obtained two prospecting licenses for Areas A and B, NESI began prospecting operations. A survey team, led by the Chief Geologist, is actively working on the land, compiling quarterly reports for the Ministry of Mines. Meanwhile, NESI’s Chief Environmentalist is overseeing environmental protection measures.
The company plans to submit its environmental compliance documentation to the Ministry of Environment as part of the process to obtain Development Consent, a prerequisite for applying for a mining lease.
NESI also announced plans to assess the needs of the local community during the prospecting phase, with an aim to address those needs in the future.
However, WRL&ROA remains deeply skeptical of these claims, citing NESI’s links to Bintan Mining Solomon Islands Ltd (BMSI), a company infamous for unfulfilled promises and unpaid debts. BMSI, which operated under APID’s mining lease from 2014 to 2019, failed to deliver key infrastructure projects that were promised under the Mines and Minerals Act of 1990, such as a hospital, an international airport, and a seaport. WRL&ROA also noted the failure to provide scholarships for Rennell students, as well as unpaid royalties, land rental fees, and taxes left unpaid.
The association questioned NESI’s assertion that the people of Rennell support mining, and specifically distanced itself from any association with another mining company, Florida Mine Co. Ltd. WRL&ROA reaffirmed its dedication to advocating for the rights of marginalized groups in West Rennell, particularly women and children.
In addition, WRL&ROA raised concerns about NESI’s ongoing operations, despite being subject to a High Court order restraining them in civil case no. 481 of 2023, the outcome of which is still pending.
This case also involves the Minister of Mines, who controversially granted NESI’s prospecting licenses, as well as the Registrar of Titles, who is being called to address irregularities in the land acquisition process for West Rennell.
WRL&ROA also pointed to case no. 371 of 2017, which challenges the registered land title of West Rennell, noting that land was included in the title without the consent of the landowners.
Furthermore, the association revealed that many landowners had formally withdrawn their land from NESI’s tenement and had submitted withdrawal letters to the Director of Mines, requesting that their land be excluded from the company’s operations.
“NESI began its work without addressing these demands,” WRL&ROA stated. “They cannot claim ignorance, as they should have received letters from Renbel Province, court documents regarding the ongoing cases, and withdrawal letters from the Director of Mines.”
WRL&ROA commended Renbel Premier Derek Pongi and his executive team for their strong stance against NESI.
Premier Pongi confirmed that NESI’s business license application remains pending due to the company’s failure to meet key requirements, including:
- A copy of the Mines and Minerals Board’s approval of NESI’s prospecting license application.
- A signed Surface Access Agreement (SAA) by the Commissioner of Lands for the areas covered by NESI’s license.
- A sub-lease for the land granted by the Commissioner of Lands to NESI.
In addition to these requirements, NESI still owes rent for land leases in West Rennell and has yet to pay royalties from 33 previous shipments, environmental damages, and other outstanding payments from BMSI’s previous operations.
Despite these unresolved issues, NESI insisted that its prospecting work would continue, claiming that it had received acknowledgment from Renbel Province regarding its business license application.
The company also stated that it had signed SAAs with landowners, but acknowledged that sub-leases for the land would only become relevant at the mining stage, not during prospecting.
WRL&ROA, however, disputed NESI’s claims, pointing out that no proper verification of landowners was conducted before signing the SAAs. According to the association, many signatories were not legitimate landowners, and some falsely claimed to represent tribes, which could create significant challenges for NESI when attempting to access the land.
“Can NESI provide the names of the chiefs who signed on behalf of the company, and who authorized these chiefs to sign on behalf of others’ land?” WRL&ROA asked. “Why were different tribal groups not consulted? Land tenure in Rennell is owned by tribes, families and individual.
WRL&ROA also accused NESI, formerly BMSI, of owing the Renbel Provincial Government $3 million in license fees from 2014 to 2017. They claimed that BMSI’s owner, Fred Teng, requested a letter of support from the previous provincial executive, promising to transfer the $3 million once the letter was received. However, WRL&ROA stated that after receiving the letter in 2021, Teng failed to transfer the money and instead pursued his own agenda.
Former Mines Director Nicholas Biliki criticized BMSI, now NESI, for failing to comply with mining regulations and called for a thorough review of the company’s operations. Biliki also questioned why elected officials continue to support foreign companies that fail to benefit local landowners or the country as a whole.
He further criticized the 2023 Mineral Resources Bill for giving excessive power to the Minister of Mines.
In summary, WRL&ROA urged the people of West Rennell to remain cautious and vigilant, warning of NESI’s history of deceptive practices and broken promises despite the company’s attempts to present an optimistic future for its operations.
