Bougainville: Government almost certain to continue to favour western-aligned investors in natural resources and major industries

On 29 January, the Autonomous Bougainville Government (ABG) confirmed it has rejected a proposed partnership between Bougainville Copper Limited (BCL) and China’s CMOC Group to reopen the Panguna gold and copper mine. The ABG, holding 72.9% of BCL, said it would not allow any plan that reduced its ownership. BCL was instructed to halt talks with CMOC and instead engage Indian company Lloyds Metals and Energy under a contract model that preserves ABG’s ownership and BCL’s license. Bougainville, with a population of 300,000 and aiming for independence by 2027, intends to retain control while developing the mine lawfully and transparently in the long-term interest of its people. 

Assessment: ABG’s rejection of CMOC indicates a continued preference for Western-aligned investors in Bougainville’s natural resources and other major industries. The recently re-elected President and former guerilla leader, Ishmael Toroama, has repeatedly emphasised this preference, with several Australian and Canadian firms being granted exploration licences and other government contracts; these contracts also guarantee rights and other benefits for the local population. Papua New Guinea has made economic independence an issue for ABG to address as part of its negotiations over independence. As ABG moves toward its 2027 independence goal, it will almost certainly continue to maintain these preferences regarding foreign investment.

Sources: “Bougainville government rejects BCL's proposed Panguna deal,” RNZ, 29 January 2026; Kirsty Needham, “Pacific island Bougainville rejects Chinese partner for mine that will fund independence,” Reuters, 30 January 2026; “President Toroama confirms ABG position on Panguna partnering process,” AROB, 30 January 2026; “Numa Numa Resources Inc. Is ‘One to Watch’,” MiningNewsWire, 8 October 2025; “Bougainville open for investment and trade: President,” In-depth Solomons, 11 December 2024; Jesher Tilto, “First 100 days crucial, says Toroama,” The National,  13 October 2025.