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EarthWINS Daily #3.114
3/15/98

Date: Sat, 14 Mar 1998 21:29:47 -0800 (PST)
From: Alice McCombs <amccombs@igc.apc.org>

Contents

1. CANADA: National News: Inco/Voisey's Bay
2. Excerpt, GREENLines Issue #582: Arizona DEQ Issues Draft Permits for
Cyanide Heap-Leach Gold Mine
3. NAMIBIA: Rio Tinto vs. Unions
  a. Rio Tinto Tries To Bust Namibian Union
  b. Rio Tinto Mine Struggle Continues
4. AUSTRALIA: Jabiluka campaign heats up
5. BHP versus Green Left Weekly
6. Montana: Mining: Blackfoot River updates

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1. CANADA: National News: Inco/Voisey's Bay

DEBRA                          hrnet.indigenous           11:00 PM  Mar 12, 1998
(at OLN.comlink.apc.org)                                  (From News system)

Edited/Distributed by HURINet - The Human Rights Information Network
---------------------------------------------------------------------
## author     : innuenv@web.net
## date       : 23.02.98
---------------------------------------------------------------------
 MACLEAN'S MAGAZINE
 :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::
 February  16, 1998                                PAGE: 48
 BYLINE  : Peter C. Newman
 COLUMN  : The Nation's Business
 :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::

         ** REVEALED: A DESPERATE SURVIVAL PLAN FOR INCO: Faced **
         ** by the possibility of a takeover or a huge sell-off **
          ** of shares, CEO Michael Sopko has opted for drastic **
                                ** action **

 Inco is one of Canada's defining institutions. Founded in
 1902, the company has written much of the history of
 Canadian mining, with its large base-metal deposits in
 Sudbury, Ont., Thompson, Man., and, of course, the mega ore
 body at*Voisey's*Bay*in Labrador.

 The world's largest nickel producer, Inco has some 16,000
 employees and operates in 22 countries, including
 Indonesia, Japan, Taiwan and South Korea. Historically, the
 company has been big and successful, operating almost in a
 world of its own, not paying much attention to its critics,
 because it considered itself too big to fail. But in the
 past decade, uninspired management and lower nickel prices
 have driven Inco to the wall. Share prices have plummeted
 to $24.70 at the end of last week from a 1997 high of
 $51.25. Faced by the possibility of a takeover or a massive
 sell-off by frustrated shareholders, CEO Michael Sopko has
 opted for drastic action.

 Due to be announced this week is a series of monumental
 cost-cutting measures that will dramatically transform the
 company. They include:

 - Closing Inco's posh New York City office, which employs
 about 100 people.

 - Major slashes in overhead both at the Toronto head office
 and on the operational end in Sudbury and other operating
 mines. A recent survey revealed that at its Sudbury
 underground operations, Inco has one manager for every
 three miners, way above the industry standard.

 - Most significant, Inco will begin talks with its chief
 competitor, Falconbridge Ltd. of Toronto, to rationalize
 its Canadian operations, particularly in Sudbury, where the
two companies each have processing plants, although one
 unit could handle the output of both.

 This is a startling development, because it could lead to
 further operational mergers and eventually to a takeover by
 Falconbridge - the world's second-largest nickel producer.
 Falconbridge in 1989 was taken over by Noranda Inc., which
 in turn is controlled by Jack Cockwell and his group of
 financial wizards at EdperBrascan Corp. They have for some
 time had their beady eyes on Inco, dreaming about all the
 economies of scale that a merger of the two mining giants
 would produce. Falconbridge is not doing too well either,
 with its 1997 profit of $137 million half of the previous
 year's earnings. (Inco's 1997 profit was $108 million, down
 from $260 million the year before.) Unlike Inco,
 Falconbridge, which is bringing two large developments
 onstream - in northern Chile and northern Quebec - has
 already completed most of the capital spending involved,
 and does not have to try and finance a mammoth project like
 *Voisey's*Bay*at a time when nickel prices are at a
 four-year low. The metal is now selling for about $2.37
 (U.S.) a pound, down from $3.50 a year ago.

 The most touchy issue in any merger would be the location
 of the smelter to handle the 270 million pounds of nickel a
 year that will be mined at *Voisey's*Bay.*Sopko has pledged
 to build a new $1-billion smelter and refinery at the
 former U.S. military base at Argentia, about 100 km west of
 St. John's, Nfld. Last week, however, Sopko said he wanted
 to discuss the 'scope and timing' of the promised refinery
 in light of low nickel prices. But Newfoundland's mines
 minister, Charles Furey, said the refinery was not
 negotiable, except for details about power rates and taxes.
 He wasn't kidding. 'If that's not acceptable, they can pack
 their bags and leave,' he announced, meaning 'leave'
 without a shovelful of the rich*Voisey's*Bay*ore.

 Newfoundland Premier Brian Tobin adds that construction of
 the expensive processing facilities is not only a condition
 of mining at*Voisey's*Bay,* but that every pound of ore
 must be refined in his province. Were a merged
 Falconbridge-Inco entity renegotiating the deal, it might
 insist on relocating the Labrador mine's output to
 Nikkelverk in Norway, where Falconbridge operates one of
 the world's largest refinery smelters.

 Despite its treasure house,*Voisey's*Bay*has become a
 double-edged sword. At full capacity, the open-pit
 operation would grant Inco a long and prosperous run. But
 even if the impasse over building the Argentia smelter is
 resolved, deep and complex negotiations are continuing with
 the local population. At the moment, these talks have
 become a bit of a three-ring circus. Tobin is negotiating
 with Labrador's natives and Inco is negotiating with Tobin,
 while the natives are negotiating land-claims issues with
 Ottawa.

 The root of the problem is that when it paid $4.3 billion
 for the *Voisey's*Bay*deposit in 1996, Inco based its plans
 on the price of nickel at the time - $4 a pound. Start-up
 for mining the Labrador deposit has already been delayed
 from 1999 to 2001, mainly for environmental reasons - yet
 another problem in an area covered by impenetrable ice for
 part of the year. Most observers agree that even with its
 new cost-cutting, Inco will have to write down the value on
 its books of the*Voisey's*Bay*deposit. A decrease of as
 much as $1.5 billion is being suggested.

 Critics of Inco management, which include just about every
 analyst on Bay Street, are puzzled why the company has
 achieved so little - basically nothing - during the two
 years it has owned*Voisey's*Bay.*At stake is the fate of
 one of Canada's rare megaprojects. If Inco goes ahead as
 planned, it will spend close to $1.5 billion to bring the
 project to market, creating thousands of construction and
 permanent jobs in a part of the country that desperately
 needs them. But if the various parties, whether it includes
 Inco or its successor, can't agree on development terms,
 they will be killing the goose that lays the nickel egg.

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+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

2. Excerpt, GREENLines Issue #582: Arizona DEQ Issues Draft Permits for
Cyanide Heap-Leach Gold Mine

rfeather                        list.actgreen             10:17 PM  Mar 12, 1998
(at defenders.org)

GREENLines, Friday, March 13, 1998 from GREEN,
the GrassRoots Environmental Effectiveness Network,
A project of Defenders of Wildlife
(505) 277-8302 or email rfeather@defenders.org

SPITTING DISTANCE:  A 3/11 Mineral Policy Center action alert reported
the Arizona Department of Environmental Quality recently issued draft
air quality and aquifer permits allowing an open pit cyanide heap-leach
gold mine to be sited "within spitting distance" of the citizens of
Yarnell, AZ.  The proposed mine is on BLM land and a draft EIS has yet
to be issued.  The alert says the issuance of draft permits is
"premature in the extreme...."

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Roger Featherstone, GREEN Director
PO Box 40046, Albuquerque, NM 87196-0046
(505) 277-8302  fax, (505) 277-5483 rfeather@defenders.org
http://www.defenders.org/grnhome.html

GREEN DC Office
1101 14th St., NW, Ste. 1400, Washington,  DC 20005 (202) 682-9400

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3. NAMIBIA: Rio Tinto vs. Unions

a. Rio Tinto Tries To Bust Namibian Union

labornews                        labr.global              12:35 PM  Mar 13, 1998

ICEM UPDATE

No. 13/1998

5 March 1998

The following is from the International Federation of Chemical, Energy,
Mine and General Workers' Unions (ICEM):

RIO TINTO TRIES TO BUST NAMIBIAN UNION

Global mining giant Rio Tinto is out to bust the union at its Rossing
uranium mine in Namibia. Now under attack by the world's biggest mining
company is the Rossing Branch of the Mineworkers Union of Namibia (MUN).

Rossing management's anti-union campaign has been strongly condemned by
the 20-million-strong International Federation of Chemical, Energy, Mine
and General Workers' Unions (ICEM), to which the MUN is affiliated. Rio
Tinto's anti-union stance in many part s of the world has made it a
priority target for ICEM action. At a world conference in Johannesburg
last month, the ICEM launched a worldwide network of unions organising
in Rio Tinto (see ICEM UPDATE 8/1998).

Rio Tinto is the biggest global minerals company. It employs some 51,000
people directly worldwide, and many more through subcontractors. The
Rossing mine has long been one of its big money-spinners. During the
illegal South African occupation of Namibia in the apartheid era,
Rossing supplied uranium to the world, including to British civil and
military nuclear programmes.

The current dispute centres on the MUN's Rossing Branch Executive
Committee chairperson, Petrus Tjipute. The union says Rossing management
has deliberately singled him out for victimisation. Notably, he has been
banned from using the phone - a move that m akes it virtually impossible
for him to do his union work effectively. His job supervisors have also
told him that his union activities are damaging his promotion prospects.
The company currently assigns Tjipute to tasks that do not match his
qualificatio ns, and has ensured that nobody else takes on his workload
while he is attending to union business.

Rio Tinto have "stepped up their dirty tactics to erode and eventually
kill the Union," said the MUN in a statement issued this Tuesday 3
March. Management had been informed that if the victimisation did not
cease, the union's local branch would have to " inform their members
that they have been rendered incapable to represent them."

Despite great reluctance on the management side, one union-management
meeting on the victimisation issue was finally held, but ended in
deadlock. The branch has suspended all official dealings with the
management and is taking the company to court.

"We know that the MUN has the strength and the determination to resist
these attacks," commented ICEM General Secretary Vic Thorpe today. "The
ICEM and its affiliated unions worldwide will give full support to the
Namibian miners. We are determined to mak e Rio Tinto a good global
citizen. Rio Tinto's job is to mine the world's resources - not
undermine the world's unions."

In fact, this is not the first recent union-management conflict at
Rossing. When the MUN tried to hold an ICEM-backed health and safety
workshop there last month, management suddenly refused special leave for
22 workers to attend the safety event.

The official reason? According to a note circulated by General Manager
Werner Haymann, the health and safety workshop was an ICEM bid to
involve Rossing workers in an "Australian-led" campaign to discredit Rio
Tinto, thereby putting Rossing jobs at risk.

As the MUN points out, Haymann "happens to have joined the Company about
a year ago from Australia." Rio Tinto is engaged in a major
union-busting drive in Australia, where another of its company
executives helped to frame anti-union legislation brought i n by the
Australian federal government.

MUN officers at Rossing angrily rejected the claims in Haymann's memo,
and exposed the many inaccuracies that it contains. ICEM Mines Officer
Damien Roland, who happened to be in Namibia at the time, was in fact
asked to give the workshop a brief overview
 of the Johannesburg conference. But, as MUN branch executive Alphens
Muhuea told The Namibian newspaper, "the health and safety workshop was
planned long before the Johannesburg meeting and dealt with legitimate
issues."

To be fair, the Rossing management did later meet with the MUN to clear
up the whole mess. Quizzed by the media, embarrassed managers issued a
statement regretting the "misunderstandings" caused by the original
memo. And in a bid to salvage relations with
 the union, the statement went on to emphasise the need for "good
employee relations and constructive dialogue with the MUN."

What price "constructive dialogue" now?

This sorry tale sheds some interesting light on the Rio Tinto hierarchy.
Like many global operators, Rio Tinto often hides behind "local
management's right to manage." Labour issues, its argument goes, are
local issues. On industrial relations, global cor porate headquarters
conveniently has "no right" to second-guess local managers.

Why, then, were the Rossing managers fed misinformation from London
about the health and safety workshop? Why did they get their marching
orders from Rio Tinto headquarters? And why, when things went so
drastically wrong, was local management left to pick
 up the pieces?

_________________

Individual ICEM UPDATE items can be supplied in other languages on request.

Our print magazines ICEM INFO and ICEM GLOBAL are available in Arabic, English,
French, German, Russian, Scandinavian and Spanish.

Visit us on the Web at http://www.icem.org

ICEM
avenue Emile de Beco 109, B-1050 Brussels, Belgium.
tel.+32.2.6262020   fax +32.2.6484316
Internet: icem@geo2.poptel.org.uk

Editor: Ian Graham, Information Officer

Publisher: Vic Thorpe, General Secretary.

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--------------------------------------------

b. Rio Tinto Mine Struggle Continues

labornews                        labr.global               9:56 PM  Mar  2, 1998

>  Rio Tinto
>  the struggle continues
> By Robyn Hohl
>
> As we go to press, nearly 400 striking mineworkers from Rio Tinto's
> Hunter Valley No 1 mine near Singleton in NSW remain locked in a
> long-running dispute, the outcome of which could affect workers from
> all industries throughout the country. A Womens' Support Group has
> been set up and a Christmas tree has even been planted at the main
> picket camp as the miners settle in for what they are sure will be a
> long haul.
>
> Despite the fact that the miners are still in the bargaining period
> during which they are legally entitled to picket under 'protected
> action', anti-union legislation is being used by the company in an
> attempt to stop the pickets from having any real effect. Members of
> the Public Transport Union have consistently refused to endanger lives
> by driving trains through the picket lines to pick up scab coal. The
> court injunctions currently being sought to stop picketers from
> blocking the rail lines mean union officials could face contempt of
> court proceedings, and possibly jail, if members defy them.
>
> Reith gloating
>
> Meanwhile Federal Industrial Relations Minister Peter Reith has been
> gloating about the curtailing of a support strike by thousands of
> other Hunter Valley miners at the beginning of October. He claimed the
> early return to work as a victory for his government's revamped
> Workplace Relations Act secondary boycott provisions.
>
> United fight needed
>
> These provisions were put in place to prevent workers taking
> solidarity action by making unions liable to millions of dollars in
> damages claims and even sequestration of union assets for
> 'unauthorised industrial action'.
>
> At some stage soon these laws, which were designed to break the power
> of organised workers to protect our rights, jobs and conditions, will
> have to be taken on and defeated. This cannot be the struggle of any
> one union alone. It will require the combined strength of the labour
> movement; from miners and wharfies to office workers and shop
> assistants. Unions throughout the country need to start preparing
> their members (and in some cases, members need to start preparing
> their union officials) for the battles that inevitably loom ahead.
> ----------------------------------------------------------------------
>
> Striking miners talk to Militant
>
> An interview with Brian Sproule, Jim Cassidy, Steve Diesel and Ray
> Lambert
>
> Militant: What's the background to the dispute?
>
>      Their plan is just to bust the union and that's all there is
>      to it. We've all signed a document, twice now, that we want
>      the union to represent us in the collective bargaining for
>      an enterprise agreement but the company wants us to sign
>      these individual contracts - workplace agreements. We've got
>      no access to them, can't get a legal opinion on them - when
>      we do have access to them, we've got to sign them. They say
>      they'll give us a $170 rise, but the money was never an
>      issue, it was the giving away of our collective bargaining.
>
>      Job security is the other thing. With these contracts, we
>      can sign a contract tomorrow, but how about the younger
>      blokes with young families who want to go and buy a house.
>      The bank would say, 'Where do you work?' and they'd answer,
>      'Rio Tinto in the Hunter Valley, we're on a contract.' When
>      they ask about the conditions of the contract, you'd have to
>      tell them it could be terminated with two weeks notice from
>      either party - that's straight termination, no debate at
>      all, straight termination. Well the answer would be, 'Sorry
>      son, that isn't good enough for a house loan.'
>
> Militant: Has the company been planning for this dispute?
>
>      They've had this planned for two years at least here. They
>      came into this mine and destroyed it for the sole reason of
>      getting this implemented -to give them an excuse. They
>      orchestrated it that way and run it down and we've had to
>      stand by and watch it happen.
>
>      They go on about work practices, but the truth is you can
>      only drive a truck so fast, you can only load a truck so
>      fast, you can't perform miracles, you know. We already
>      changed work practices here and gave them virtually
>      everything they wanted about twelve or eighteen months ago,
>      and that's still not good enough. Weimproved our
>      productivity at least 60% and that's still not good enough.
>
>      They don't want arbitration because they might not get the
>      things they want - like taking away seniority. If they got
>      rid of seniority they could get rid of anybody that doesn't
>      fit in with their type of thinking. So they don't want to
>      take the risk on arbitration, they'd rather try and starve
>      everyone out.
>
>      This 'level playing field' they want, instead of workers in
>      Asia or anywhere else coming up to our level, these
>      multinationals want our wages and conditions to be the same
>      as what they've got in Third World countries.
>
>      Rio Tinto's agenda has always been to go in and rape any
>      country they've ever been in. Of the $12.9 billion Rio Tinto
>      make worldwide in a year, 4.9% comes from Australia. The
>      only money that stays in this country from this company is
>      the wages that we get here and the tax we pay here.
>
> Militant: How are the laws aimed at preventing solidarity action
> affecting you?
>
>      Presently they're making the thing go longer aren't they,
>      because if they weren't there, this dispute would be over,
>      it would've been over in the first fortnight. The government
>      is trying to make things like in America - there's been a
>      dispute over there been going for five years. In my opinion,
>      quite honestly, I think when push comes to shove, the laws
>      just won't exist as far as the people of Australia are
>      concerned because we are just about pissed off with all
>      this. Reith is supposed to be an Australian member of
>      parliament yet he's making these laws to suit the multi
>      nationals so they can sue Australian workers and at the same
>      time dig up our resources and take the money out of
>      Australia. Some people might be doing OK out of it but it
>      certainly isn't the workers - the working man is the loser
>      all around.
>
> Militant: Are you individually facing fines over all this?
>
>      Not at this stage we're not 'cause we're under protected
>      action. Some of our delegates and the union executive are
>      because of the picketing - $5 million each I think they're
>      facing.
>
> Militant: Has it been officially decided if these or other fines will
> be paid, if it comes to that?
>
>      No that hasn't been officially decided yet not officially
>      unofficially I'd say it's been well and truly decided! They
>      can shove it. Where would we get it [laughter] we might have
>      to apply for a bank loan and on our present pay, I don't
>      think we'd get a real big one!!
>
>      The whole of the union movement is behind us. I don't think
>      at this stage that any union will be prepared to pay fines
>      or anything to anybody and I can't see any reason why we
>      should. The law is not right, the law is wrong, it's an
>      unjust law, so why should we pay fines? The law won't be
>      changed unless people say, 'No we don't agree with it'.
>
> Militant: So how long are you prepared to sit it out?
>
>      As long as it takes! (in unison). We've got a yard stick to
>      Christmas and we go from there. Put it this way, I haven't
>      put in for Christmas holidays!
http://werple.net.au/~militant/oct97/4miners.htm

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4. AUSTRALIA: Jabiluka campaign heats up

Topic 23                Green Left #309 March 11, 1998     Response 16 of 50
peg:greenleft                 Green Left Weekly            9:55 AM  Mar 10, 1998

By Wendy Robertson

The campaign by the Mirrar traditional owners and other land
rights and environmental activists nationwide to stop Energy
Resources Australia from opening the Jabiluka uranium mine in the
World Heritage-listed Kakadu National Park is hotting up.

A blockade of the mine is to begin on March 23, and a national
day of action incorporating meetings, rallies and films is
planned for April 5.

Strategies for the campaign were discussed at a meeting in
Melbourne on February 23-24. Participants included Dave Sweeney
from the Australian Conservation Foundation, Chris Doran from the
Wilderness Society, Jayne Weepers from the NT Environment Centre,
Wendy Robertson from Resistance and a number members of Friends
of the Earth in Melbourne.

Resistance proposed the April 5 actions. While the blockade will
help delay the construction of the mine, and will give the
campaign more time to organise against the mine, it will only be
successful if it is supported by popular opinion around the
country. That requires a strong public campaign in the major
cities.

In Sydney, the campaign is planning a rally and concert on April
5 (venue to be announced). Support has come from the Sydney
University Student Representative Council and Koori Department,
the NSW Greens, Resistance and the Democratic Socialist Party.
The National Union of Students is donating funds for posters,
leaflets, music and media publicity.

Speakers confirmed include Jacqui Katona, spokesperson for the
Mirrar people; Robert Stringer, national coordinator of the
Uniting Church's peace and social justice network; and Bob Brown
from the Australian Greens. Other speakers will highlight the
health and safety aspects of mining uranium, trade union support
for the campaign and the stand of various political parties on
the Jabiluka mine.

Jabiluka Action Group meetings are held on Wednesdays, 6pm, at
the University of Technology, Sydney. Everyone is welcome.

[Wendy Robertson is a convener of the Jabiluka Alliance and a
Sydney organiser of Resistance.]
First posted on the Pegasus conference greenleft.news by
Green Left Weekly. Correspondence and hard copy subsciption
inquiries: greenleft@peg.apc.org

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5. BHP versus Green Left Weekly

Topic 23                Green Left #309 March 11, 1998     Response 19 of 50
peg:greenleft                 Green Left Weekly            9:55 AM  Mar 10, 1998

Title:

News broke last week of the resignation of John Prescott, chief
executive officer and managing director of BHP. Between his
multi-million dollar package and his large shareholdings in the
company, Prescott is leaving BHP even wealthier than when he
commenced there on an annual salary of $2.24 million.

Perhaps Prescott has had a change of heart and is regretting the
bloodshed and environmental devastation surrounding BHP's Ok Tedi
gold mine in PNG.

Perhaps he now regrets the thousands of lay-offs at BHP plants in
Newcastle and Wollongong, leaving many in despair and poverty.

Perhaps he will make a substantial, ongoing donation to Green
Left Weekly to relieve the immense pressure of trying to operate
in today's economic conditions and help it to continue reporting
on the profits before people activities of the corporate giants.

The day Prescott resigned the BHP share price shot up 8%, with
the share movements resulting in a 21 point rise on the All
Ordinaries Index. Perhaps he will celebrate his ``good fortune''
by buying a subscription to Green Left Weekly for all his mates.

But perhaps not.

Green Left Weekly still has to rely on the thousands of
supporters who contribute in many ways to the paper each week,
not least of all financially. Each of those generous people are
an essential part of the process of getting the news and
progressive analysis out to the paper's many readers every week.

You too probably didn't benefit from BHP share price rises this
week. And you too can play a crucial role in challenging the
system that enables companies like BHP to not only get away with
but benefit from environmental and social atrocities. Please make
a donation to the Green Left Weekly Fighting Fund. Green Left
Weekly - it's your paper.
First posted on the Pegasus conference greenleft.news by
Green Left Weekly. Correspondence and hard copy subsciption
inquiries: greenleft@peg.apc.org

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6. Montana: Mining: Blackfoot River updates

Date: Thu, 12 Mar 98 23:40:19 CST
From: Bill Leachman <leachman@crosslink.net>
Organization: CrossLink Internet Services

With the Montana Land Board meeting next week about the proposed
McDonald Mine on the Blackfoot river....The Bull Trout Foundation
has posted the history of the mine controversy on their web page.

http://www.bulltrout.org/pages/black.html

Interesting reading !

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