What the papers say

What the papers say

Insurers Abandon Koidu Holdings (Concord Times, March 26, 2004)

Weeks after sustained press attacks on Koidu Holdings' kimberlite mining methods in Kono spearheaded by Network Movement for Justice and Development (NMJD), the company's risk insurers, Multilateral Investment Guarantee Agency (MIGA), have suspended their involvement with the Kimberlite mining project.

A jubilant environmental activist told Concord Times that the insurers, an affiliate of the World Bank, decided to suspend all collaboration with Koidu Holdings mining activities in Kono until certain key issues raised by environmentalists and stakeholders are properly addressed.

Sources close to NMJD confirmed that they have raised a number of issues relating to the activities of Koidu Holdings and some of these concerns have reached MIGA, who in turn took the decision to suspend business with Koidu Holdings. Independent sources reveal that the main issues include: the evacuation and relocation of residents within the 200m blasting zone of the rocks before the environmental impact assessment, no consultation with those affected by mining activities and the destructive methods employed by the company.

The poor relationship between community and the company is being cited as another serious concern.

Investigations by Concord Times paint a very ugly picture about the company's activities as each time Koidu Holdings is about to commence blasting, residents in the blasting zone are hurriedly asked to leave their homes until such a time when the blasting is over.

Residents view this as 'irresponsible' in that it poses a great danger to the people in the blasting zone, as it is evident by the damage done to 12 homes so far. Apart from damage to houses dislodged by fragments, the loud noise and pollution pose a serious health hazard.

Meanwhile, senior managers of Koidu Holdings have dismissed concerns raised by NMJD and others as unsubstantiated.