Australian-linked mining companies are continuing to operate in Myanmar, helping to support the military junta and the junta-dominated mining sector, a new report alleges.
The activist group Justice for Myanmar released a report Tuesday detailing the activities of mining companies either linked to Australia or backed by Australian investors, which it alleges have continued their operations in the war-torn nation since the coup almost three years ago.
The violence in Myanmar has led to one-third of the population of Myanmar, or more than 18 million people, requiring humanitarian aid, the United Nations says.
Justice for Myanmar’s report details the activities of “Australian companies, executives and investors [that] are continuing to operate in Myanmar’s junta-dominated mining sector”, despite the violence. It alleges Australian-linked mining companies are either providing the junta with revenue directly, or support the maintenance of a sector that bankrolls junta atrocities.
Yadanar Maung, a spokesperson for the group, alleged that the Australian government was “still failing to take necessary action to block the junta’s sources of funds from mining and other lucrative sectors”.
“The Myanmar military operates as a cartel that is stealing the wealth of the people of Myanmar on a massive scale to fund its war of terror and enrich war criminals,” Maung said.
Muang alleged that “There are Australian companies, executives and investors in the mining sector that are continuing business as usual, financing the illegitimate junta and helping to keep a corrupt and destructive mining sector open for business.
“Australia needs to act now to impose sanctions on the junta, its businesses and [its] cronies and stop Australians from directly and indirectly providing funds and other forms of support to the junta,” Muang said in relation to the allegations.
The report alleges 10 company networks with links to Australia “have remained active in Myanmar”.
The companies have allegedly either continued exploration, had business dealings with junta-controlled militias, maintained licences and paid fees, or continued to mine materials following the coup attempt.
Melissa Chen, a senior lawyer with the Australian Centre for International Justice, said there was “credible information” suggesting a strong link between the financing of the junta – responsible for human rights violations and crimes against humanity – and the mining and resources sector.
“Australians should therefore be concerned about Australian-linked mining companies continuing to operate in Myanmar due to the risk of money and support flowing to the junta, and the harm that this could lead to in respect of the Myanmar people,” Chen said in relation to the allegations. “Australians involved or connected to such companies can take action to cease operations and likewise the Australian government has the ability to halt funding to the junta through imposing targeted sanctions.”
Transparency International Australia’s chief executive, Clancy Moore, said the allegations in the Justice for Myanmar report shined a “bright spotlight on the significant role of Australian-linked mining companies supporting the corrupt military junta”.
“Given the prominent role of Australia-linked companies and the junta’s weakening grip on power, the government has a clear window of opportunity to follow the lead of the US and other partner governments to sanction the Myanmar military’s top brass and important state-owned enterprises, including in the mining sector, that the regime relies on,” he said.
Guardian Australia approached companies named in the report.
PanAust said in a statement that it has “decided to exit Myanmar and is in the process of withdrawing”.
“We expect that this may take several months. In the meantime, our focus is on continuing to ensure the safety and wellbeing of our people on the ground in Myanmar,” the company said.
Valentis Asia described the report as being based on “erroneous and outdated information” and said it had divested from Myanmar since the coup. In a statement, the company said the subsidiaries identified in the Justice for Myanmar report were either no longer linked to Valentis Asia, had already deregistered, or were in the process of being deregistered.
“They insinuate that we are involved in business activities which directly enrich and support the junta in Myanmar,” the company said in a statement. “JFM’s report is false, baseless, and scurrilous.”
