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Mineral Resources Minister Filimoni Vosarogo.
The Fiji Labour Party is calling on Mineral Resources Minister Filimoni Vosarogo to explain why, for the first time in Fiji’s mining history, gold ore concentrates need to be exported to China for final processing.
In a statement this afternoon, the FLP questioned who authorized the removal of 600-700 tonnes of gold ore from the mine to Lautoka without the approval of the Director of Mines.
However, Mineral Resources Minister Filimoni Vosarogo clarified yesterday that there is no unlawful export of gold concentrates to China or elsewhere, as claimed by the FLP.
Vosarogo stated that no exports of gold concentrates can take place without the final seal of customs approval.
He urged the FLP to exercise the highest degree of responsibility when addressing matters of national interest.
Despite this, FLP Leader Mahendra Chaudhry has called on the Minister to explain how, without the Director of Mines’ approval, Vatukoula Gold Mines Limited (VGML) has already removed approximately 700 tonnes of gold ore concentrates from the mines. These are now in containers awaiting shipment to China.
Chaudhry continues to question who authorized the removal of container loads of gold ore concentrate from Vatukoula Gold Mines to Lautoka for shipment.
In response, Vosarogo stated that exporting gold concentrates is legally permissible and is a common practice in the global mining industry, often yielding higher revenues for exporting businesses during favorable global market conditions.
He added that while the Ministry has been informed of VGML’s intention to export gold concentrates (not ores), the application and its supporting documentation have yet to be submitted to the Director of Mines.
Vosarogo confirmed that the consignment of gold concentrates earmarked for export is currently in Lautoka, awaiting a joint inspection by qualified personnel, biosecurity officers, and customs officials.
If the application is deemed valid, he stated that royalties will be assessed and paid in accordance with the law before the gold concentrates are exported.
Once processed by a third-party international smelting company, a certificate will be issued.If the quantity and quality of gold exceed initial estimates, VGML will pay additional royalties. If the grade is lower, the company absorbs the loss, as the royalty already paid remains unchanged.
Vosarogo emphasized that all procedures are monitored by civil servants, not Cabinet Ministers.
The Ministry has assured that the export permit process is strictly regulated by law, and a permit will only be granted once all legal requirements are met.
Furthermore, the export permit process for concentrates is transparent and verified by customs before any exporter is permitted to proceed.