An Australian company is facing challenges in the Government’s efforts to award the prospecting license for the Mount Kasi Gold Mine in Vanua Levu. It has surfaced that the company, favored by local landowners for excavation, did not adhere to the necessary procedures.
“This Special Prospecting License (SPL) was advertised back in 2010, making it a process that has taken over a decade,” stated Filimoni Vosarogo, the Minister for Land and Mineral Resources.
“We inherited this file when we assumed office in December 2022, and by that point, the licensing process was approximately 80% complete,” he added.
Vosarogo explained that extensive consultations had been conducted. Before the Coalition Government took power, the acting director of mines and mineral resources had met with landowners no fewer than 11 times. Since taking office, Vosarogo has also met with them at least five times to explain the current status of the licensing process, which they have largely understood.
The prior government’s selection of Vatukoula Gold Mine was rejected by landowners who have expressed a preference for Aquilo Gold, an Australian junior miner founded in 2019, which lists Mount Kasi as its sole project despite the SPL still being unawarded.
“Eight companies applied for the SPL, and the Australian company that was in discussions with the landowners did not rank among the top five,” Vosarogo noted.
He emphasized the complexity of the process, stating that mining operations are highly technical and costly. For example, before its opening, the Lion One company in Tuvatu had already invested over $165 million. Therefore, the SPL should be awarded to companies that possess the necessary technical expertise and financial capability to manage such operations.
The announcement of the awarded SPL for Mount Kasi is expected next week.