PRESS RELEASE : GCM AGM Postponed Due To Risk Of Protests

Tuesday, 17 December 2019, London, UK.

  • British mining company GCM Resources has postponed tomorrow’s London AGM due to security risk from protests.
  • In Phulbari, Bangladesh, protests today blocked roads demanding the Bangladesh government take immediate legal action against the company.
  • Phulbari UNO joined rally with community leaders and stated that the resistance movement in Phulbari is democratic and peaceful which demands attention of the government.
  • Bangladesh Deputy Energy Minister confirms that GCM has no valid license or asset in the country, and claims government will be taking legal action against them.

Phulbari Rally outside of UNO’s office in Phulbari on 17 Dec 2019. Photocredit: Biplob River Down

GCM Resources yesterday issued this statement postponing Wednesday’s AGM indefinitely due to the risk of protests threatening the security of the venue:

“The decision to seek to adjourn the AGM follows consultation with the venue over access and security issues, which has resulted in the venue being withdrawn as the location for the AGM.”

Loud protests had been organised by Phulbari Solidarity Group alongside a wide coalition of seven organisations at the AGM of the AIM listed British mining company GCM Resources Plc for the 10th consecutive year. Protesters planned to demand that GCM is de-listed from the London Stock Exchange as it has no viable asset to its name, and has not held a license for coal exploration or mining in Bangladesh since 2006. Inside the AGM, dissident shareholders would again dominate the meeting, accusing the company of misleading shareholders and the London Stock Exchange. Last year activists had glued themselves to the entrance of the AGM preventing some shareholders from entering.

Phulbari Rally outside of UNO’s office is joined by the UNO who came out of office and accepted the memorandum from the community leaders to be delivered to prime minister and energy minister of Bangladesh on 17 Dec 2019 . Photocredit: Biplob River Down

 

Meanwhile in Bangladesh, communities from Phulbari, Barapukuria and Dinajpur, many of whom are threatened with displacement by the planned mine, today demonstrated outside of the UNO (Phulbari District Office) and blocked the Nimtoli roundabout demanding that the Bangladesh government categorically end speculation on whether GCM can obtain a license, remove the GCM Resources office from Phulbari, and take legal action against the company for fraud and harassment of Phulbari residents.  Community leaders have handed a memorandum to Phulbari UNO, who has joined the rally himself and stated that “the protesters are peaceful and the movement is justified and democratic”.

The community memo also demands an immediate withdrawal of all arbitrary cases against 19 community leaders, which Gary Lye has filed in 2014 by claiming that the community leaders must pay him 100 crore Taka, Bangladeshi money (GBP 1 billion), as he felt insulted and faced reputational damage when community activists stopped him from re-entering the township. Protesters maintain that GCM is responsible for the murder of three young boys and 220 injured in a 2006 demonstration. They have handed a memorandum to Prime Minister Sheikh Hasina (who is also Bangladesh’s Minister for Energy and Mineral Resources) via the UNO, asking her to take legal action against GCM immediately.

Professor Anu Muhammad, the leader of the National Committee to Protect Oil, Gas, Mineral Resources, Power and Ports of Bangladesh said:

“People’s resistance against GCM is still strong despite an environment of fear and surveillance. GCM’s fraud and illegal business must be stopped immediately by de-listing it from the London Stock Exchange to stop its continuing manipulation and corrupt attempts at coal mining along with Chinese companies, its harassment of community leaders, and preparations for violent crimes against people and environment in the form of open cast coal mining and displacement.”

Dr Rumana Hashem, Chair of Phulbari Solidarity Group, who organised the London protests says:

“GCM’s postponement of their AGM shows that they are running scared from activists and academics who would expose the fraudulent nature of their London listing and trading on the LSE. People in Phulbari have lived under the threat of displacement, and with the trauma of the Phulbari killings for more than 13 years. Yet the London Stock Exchange has continued to list and generate capital for this company despite its total lack of any viable mining asset in Bangladesh. We are calling on the Bangladeshi government to categorically end the speculation, remove GCM’s office from Phulbari, launch legal action against them, and pressure the London Stock Exchange to finally de-list this criminal and fraudulent company. It is time to end the suffering for the residents of Phulbari.”

 

Phulbari Rally against GCM attended by Phulbari Labours and Indigenous Workers’ leader, Hamidul, on 17 Dec 2019.  Hamidul is a victim of two arbitrary cases filed by Gary Lye in 2016. One of these charges claim that Hamidul must pay 1 billion$ for Lye’s reputational damage in 2014.  Photocredit: Sanjit Prasad Gupta.

 

GCM Resources (then ‘Asia Energy’) listed on the Alternative Investment Market (AIM) of the London Stock Exchange in 2004, following the granting of a two year permit (license) from the Bangladesh Energy Department’s Bureau of Mineral Resource Development on 27 January 2004 for exploration and surveying of a 572 million tonne open cast coal mine at Phulbari in Dinajpur, Northwest Bangladesh. A Scheme of Development was submitted to the Government of Bangladesh in 2005 but has never received approval. The permit expired on 27 January 2006 and has not been renewed, yet the company has continued to sell shares and raise capital in London based on claims that a contract will be forthcoming. GCM Resources has no other assets or projects in its portfolio.

 

On 26 August 2006 three teenage boys were shot dead, and more than two hundred injured by paramilitary forces in a peaceful demonstration of 80,000 people against the mine. Annual ‘Phulbari Day’ rallies have been held every year in the community and across Bangladesh, commemorating the deaths and protesting the company’s continued plans. Recently, GCM’s CEO Gary Lye has filed multiple cases against 19 community organisers in Phulbari and Dinajpur claiming he has felt ‘harassed’ when he visited the area in an attempt to continue coal mining plans in 2014.

In August 2019 the Deputy State Minister for Power, Energy and Mineral Resources, Nasrul Hamid, made this statement to the daily Prothom Alo newspaper:

“Even in the absence of an agreement, GCM or Asia Energy is trading shares in London by providing information that coal would be extracted from Phulbari, which is false. The government has taken this into notice. The government is proceeding to take legal action against them .”

He stated that the Prime Minister Sheikh Hasina’s clear instructions are that the government has no plans to extract coal from Phulbari, and the future extraction of coal would only be considered if any advanced and environmental mining or coal burning technology emerged.

According to GCM’s 2019 annual report and its Regulatory New Service submissions to the London Stock Exchange, the company signed an MOU with Power Construction Corporation of China (PowerChina) in November 2018 to develop a 4,000MW power plant at Phulbari as part of the One Belt, One Road Initiative of the People’s Republic of China. In January 2019, the Power entered into a Joint Venture Agreement with the GCM for the first stage of development, leading to a hike in its share price, despite the lack of government approvals for the project.

      Phulbari Rally outside of UNO’s office on 17 Dec 2019. Photocredit: Sanjit Prasad Gupta.

GCM is not only selling shares on Phulbari’s name in London, the company is one of a string of London listed mining companies linked to the murder and ‘massacre’ of protesters, including Lonmin, Glencore, Kazakhmys, ENRC, Essar, Vedanta, Anglo Gold Ashanti, African Barrick Gold and Monterrico Metals. They have recently announced three new strategic partnerships with two Chinese firms – China Nonferrous Metal Industry’s Foreign Engineering and Construction Company (NFC) and Power Construction Corporation of China (PowerChina), and a Bangladesh based company DG Infratech Pte Ltd. to develop the mine and conspiring in Bangladesh.

Wednesday’s London protests were to be co-hosted by the UK Committee to Protect the Natural Resources of Bangladesh, Foil Vedanta, London Mining Network, Global Justice Rebellion, Extinction Rebellion International Solidarity Network, Christian Climate Action and Reclaim the Power.

 

For further information, contact:

Lydia James: <contact@londonminingnetwork.org>

Phulbari Rally outside of UNO’s office on 17 Dec 2019. Photocredit: Sanjit Prasad Gupta

#ExposeGCM  #ProtestCoalMining  #PhulbariResistance

 

 

Expose GCM: Protest Coal-Mining

Picket at Global Coal Management’s AGM

Global Coal Management (GCM) Resources Plc. is a London-based AIM-listed extractive company that wants to build a massive open-pit coal mine by forcibly displacing 130,000 families of farmers in Phulbari. They do not hold a valid contract with Bangladesh but they are selling shares on Phulbari coal project’s name. The company, previously known as Asia Energy, has been hotly resisted by locals for its fatal business policy in northwest Bangladesh. Three young people, Amin, Salekin and Tariqul, were shot dead and over two hundred injured when paramilitary force opened fire in a demonstration of 80,000 people who marched against destructive plans by GCM in 2006 in Phulbari. Following a peoples’ verdict, Bangladeshi government has declined contracts with GCM.

Bangladesh government has reiterated that the Phulbari project is unlikely to go ahead and that GCM will not be given permission to return to Phulbari or northwest Bangladesh for coal extraction. Bangladesh government has overturned their right to mine in Bangladesh more than a decade ago.

Despite no valid license, GCM continues to sell shares on London Stock Exchange.  GCM recently announced three new strategic partnerships with two Chinese firms – China Nonferrous Metal Industry’s Foreign Engineering and Construction Company (NFC) and Power Construction Corporation of China (PowerChina), and a Bangladesh based company DG Infratech Pte Ltd. to develop the mine and conspiring in Bangladesh. If the mine is built, it would destroy 14,600 hectares of highly cultivable land in northwest Bangladesh. It would pose threats to clean water resources for as many as 220,000 people, and would leave devastative impact on one of the world’s largest mangrove forests and UNESCO heritage site, the Sundarbans. Why does the British government allow this?

Bangladesh’s Deputy-State Minister for Power, Energy and Mineral Resources , Nasrul Hamid, has recently stated that the government is considering legal action against GCM because “the company is selling shares on the basis of false information. There is no contract between the government and GCM for mining in Bangladesh”.

GCM will hold their AGM in London on 18 December during the month of the climate summit #COP25.

                              We said: WE WILL EXPOSE THEM & STOP DESTRUCTION.

WE WILL PICKET AT GCM’s AGM! JOIN US.

When? 9:30AM-12:30PM, Wednesday 18 December

Where? 4 Hamilton Place, London W1J 7BQ.

Come along with your friends, and bring along jolly carols and lots of noisy instruments. Confirm your participation here: https://www.facebook.com/events/533400950849952/

 

Further information:

Global Coal Management is not only selling shares on Phulbari’s name in London, the company is one of a string of London listed mining companies linked to the murder and ‘massacre’ of protesters, including Lonmin, Glencore, Kazakhmys, ENRC, Essar, Vedanta, Anglo Gold Ashanti, African Barrick Gold and Monterrico Metals.  GCM has been allegedly involved in abuse and harassment of opponents of the proposed Phulbari mine. Media reports on the death of Nasrin Huq, the former executive director of Action Aid, revealed that Huq was killed brutally in her car park because of her strong opposition to the project.[i] GCM’s CEO, Gary Lye, has continued to abuse local opponents of the project. Lye has filed multiple arbitrary cases against 26 frontline local leaders who spoke against mining. This cannot go on.

We must stop them. We will picket outside of GCM’s AGM.

Inside the AGM, dissident shareholders will dominate the meeting, accusing the company of misleading shareholders and the London Stock Exchange. We demand that GCM is de-listed from the London Stock Exchange as it has no viable asset to its name, and has not held a contract for coal exploration or mining in Bangladesh since 2006.

Meanwhile, communities in Phulbari will demonstrate outside of the UNO – the Phulbari sub-District Office- on Tuesday 17 December. Communities will follow on from their October rally, demanding the government in Bangladesh must remove GCM’s office in Phulbari and take legal action against GCM immediately.

In London PSG protesters will move from the AGM to the Bangladesh High Commission, where we will submit a memorandum to the Ambassador, Ms Saida Muna Tasneem, echoing the demands of the Phulbari community that government categorically end speculation on whether GCM can obtain a license, remove the GCM Resources office from Phulbari, and take legal action against the company for harassment of Phulbari residents.

We will march together after the AGM at 4 Hamilton Place to Bangladesh High Commission at: 28 Queen’s Gate, South Kensington, London SW7 5JA.

 

#ExposeGCM #ProtestCoalMining