A huge gold and copper mine that sparked a catastrophic civil war in Bougainville appears to be on a rapid path to reopening, despite concerns raised by landowners.
The Panguna mine contains one of the world's largest copper reserves but has sat dormant since tensions within the community forced its closure 33 years ago.
An estimated 10,000 to 15,000 people were killed in the bloody civil war that ensued until a peace agreement was finally reached in 2001.
Now, rapid steps are being taken to reopen the controversial mine after the Autonomous Bougainville Government (ABG) inked a secretive deal with Indian mining company Lloyds Metals and Energy Limited (LMEL).
If re-established, Panguna is expected to generate nearly $40 billion over its life span.
Bougainville, an autonomous region within Papua New Guinea, plans to declare independence next year and needs the mine to bankroll the new country.
Without the mine, Bougainville's economy is heavily reliant on Papua New Guinea, only generating between 5 and 6 per cent of its current revenue internally.
But locals and analysts have raised concerns the government is "moving too quickly" and has sacrificed transparency in its determination to get the project off the ground.
"We don't exactly know what actually is going on," said Philip Miriori, a senior landowner from Guava village in the Panguna area.
"Though we are on the ground, there is no proper information coming to landowners."
The government is also at loggerheads with Bougainville Copper Limited (BCL), the company that currently holds the exploration licence for Panguna.
Two long-serving directors resigned from the BCL board this week.
Oliver Nobetau, project director of the Australia-Papua New Guinea Network at the Lowy Institute, said it showed the parties had "irreconcilable differences".
A secret agreement
Tensions over Panguna have been simmering since November last year, when the ABG signed a memorandum of understanding (MOU) with LMEL without BCL's knowledge.
The non-binding agreement, seen by the ABC, outlined plans to partner with the Indian company on a range of development projects, including the Panguna mine.
It also referenced plans to build a gold refinery, copper plant, a new hospital, government offices and establish commercial banking in Bougainville.
The MOU appeared to sidestep a separate process that BCL was undertaking to identify an international mining partner to reopen Panguna.
LMEL was initially engaged in that process but, in a statement, BCL said the company ceased contact in April last year.
BCL said it was not consulted over the government MOU.
"Progress of the Panguna project will rely on active support from ABG, as the regulator of all mining activities in Bougainville," the BCL statement read.
"The MOU casts doubt on [BCL's] ability to enter into a meaningful strategic partnering arrangement."
BCL had chosen Chinese minerals company CMOC as its preferred development partner.
Indian firm preferred partner
On January 29, the Bougainville government announced it had rejected the CMOC partnership and instructed BCL to pursue engagement with LMEL.
"This decision follows careful consideration and reflects the ABG's position as the majority shareholder with a combined 72.9 per cent ownership in BCL," Bougainville president Ishmael Toroama said in a statement.
Local media reported that Mr Toroama told government staff the mine was preparing to reopen in June this year.
Oliver Nobetau from the Lowy Institute said the issues raised broader questions about governance and transparency within a region seeking independence.
"The question now, which arises for a lot of people … as to how is it that Lloyd's Metals became the preferred partner for the reopening of Panguna mine?" Mr Nobetau asked.
"This should be a question for Bougainvilleans as well, more so when we're talking about good governance and transparency as to how this decision was made."
Lack of consultation
The moves have also concerned some Panguna landowners, who said they were not consulted over the government's decisions.
Raphael Evinu, a landowner from Kokore village, supported the mine's reopening, but said it must be handled extremely carefully, given past tensions.
In the lead-up to the Bougainville crisis, locals felt there was a lack of consultation and there were tensions over the influx of foreign workers into Panguna.
A young man during the conflict, Mr Evinu remembers being jailed by the Papua New Guinea Defence Force.
"It was horrible, awful. [They] took our rights away and everything," he said.
He wanted to ensure past mistakes were not repeated.
"We want to help the [Bougainville] government. But at the same time, on the same token, we must be consulted," he said.
Philip Miriori from Guava village said people in the community were still living with trauma from the conflict and the mine's past operations.
"People see those scars … so people are scared," he said.
He also wanted the mine to reopen, but cautioned against moving too quickly.
"Yes, absolutely. But do it [the] right way. Do it [the] correct way, you know. We should not be rushing things."
Geopolitical consequences
The recent developments are being closely tracked by the Australian government and other countries in the region.
If Bougainville gains independence, it will change the geopolitical makeup of the Pacific.
Oliver Nobetau from the Lowy Institute said Australia would likely be relieved to see Bougainville move away from partnering with Chinese company CMOC.
"If a Chinese company was coming in to open up this mine, I think it would be viewed by Australia and other partners that this is something that can lead to sort of greater regional instability and the security alarms will start going off," he said.
But questions have been raised about LMEL's presence in the region and the company's capacity to manage such a large project.
LMEL has historically dealt primarily in iron ore and steel projects, with limited experience in gold and copper mining.
LMEL, the Bougainville government and BCL did not respond to the ABC's requests for comment.
