T. Rousselin – MinesParisTech – GEO212 - France
As an introduction to economic "geointelligence", the OK Tedi Mine Project is a good example of decision making on a large mining copper and gold project and its human and environmental consequences. It is also one of the few well documented cases in the mining industry. And because time has passed, we know the end of the story (while in our Central African Use Case, the story is still going on).
Starting from a classical mining investment case, a large and underestimated environmental disaster occured in 1984. The evolution of the different partners (lenders, mining industry, Government of Papua New Guinea, NGOs, medias, local populations, ...) over the years show how a "rational" investment decision becomes a political-social-environmental-industrial-public relations nightmare for the parties involved.
The OK Tedi mine project financing structure, a show case of the 80s!... learn more ...
The OK Tedi story is not over yet as even if the mine closure is still planned for 2013 (after 30 years of exploitation) a new project still to be approved calls for an extension until 2020 by the creation of two underground mines and a new open pit.
Another good exemple can be found with Nauru Island case where greed, bad management and lack of consideration on environmental issues led to the global collapse of the country.
As a complement to the documents available on our course site, other useful links are proposed (links have been verified on October 30th, 2010)
OK Tedi official documents:
Alternative information on OK Tedi:
2004 German University project:
Medias on OK Tedi:
After The Gold Rush video (Australian ABC TV 2000)
Information on Nauru:
Nauru, une ile à la dérive (french film - all interviews in english)
Nauru l'ile dévastée (book in French)
Nauru as a detention center for Australia (Australian TV October 2011)
Last Updated ( Sunday, 30 October 2011 )