News 01.2010

11.01.2010

An expected sensation ?

Within the last two years there was no exchange Bougainville Copper like that: More 500 thousand shares in Sydney and nearly 100 thousand shares in Frankfurt. Is this the beginning of the expected  new super-hype in BOC due to ADR emitting banks in the US who are desperately short in ordinary shares eleven days before the unsponsored ADR program will be suspended?

Eine erwartete Sensation ?

Zu keinem Zeitpunkt der vergangenen zwei Jahre wechselten an einem Tag so viele Bougainville Copper Aktien den Besitzer wie heute! 500 Tausend Stück in Sydney und knapp 100 Tausend Stück in Frankfurt. Ist das der Beginn der erwarteten neue Megahausse, verursacht durch verzweifelte Eindeckungskäufe der ADR emittierenden Banken in den USA  -  elf Tage vor Ende des ADR Programms?

ASX Sydney:

Course of Sales for BOC
as at 11/01/2010 3:50:50 PM

07.01.2001

ASX replies to ESBC query!  PDF file here!

ASX beantwortet ESBC Anfrage!  PDF Dokument hier!

07.01.2010

Radio New Dawn on Bougainville :

Tanis says continuity is important for government

Bougainville President James Tanis yesterday celebrated his first full year in office. Mr Tanis was sworn in at Arawa after a by-election caused by the sudden death of the first ABG President Joseph Canisius Kabu in June 2008.

The first anniversary passed quietly, unnoticed by members of the executive government and the public.

Immediately after his inauguration, the President went to Port Moresby to assure Prime Minister, Sir Michael Somare, of his commitment and loyalty to PNG.

Upon his return to Bougainville, he met with Panguna landowners who agreed to hold an election for a new executive to replace three different groups.

He also established dialogue with commanders of the various factions in the south and central regions of Bougainville.

The president is satisfied that his government has achieved what it aimed to do in a short period of time. He said that the government’s vision for 2009 was to build and strengthen relationships and the government will now focus on establishing systems to deliver services to the people and to ensure that they work.

Mr Tanis said it is up to the people to decide who their next representatives in government will be when the coming ABG election is held. He stressed, however, the importance of continuity in government.

He said time was against him because he became president in a by-election and did not have the privilege of a full five years in office, adding that his government and leadership can be judged by how much has been delivered and accomplished during that short period of time.

Mr Tanis said the people of Bougainville will see more progress under his leadership if he is given the opportunity to lead the next ABG government after the election.

06.01.2010

ESBC searches for information on strange market activities on ASX. Please read our mail as PDF here!

ESBC fordert die ASX auf, auffällige Marktaktivitäten zu überprüfen. Bitte lesen Sie unsere Mail hier als PDF!

06.01.2010

Radio New Dawn Bougainville :

Momis will lead new Bougainville political party

BY TAPO TOVILU

The formation of the New Bougainville Party has been announced at a gathering at the Kuri Village Resort in Buka.

The President of the New Bougainville Party, Linus Sahoto, confirmed that the party has been revived in anticipation of the 2010 ABG general elections which will commence in March.

Mr Sahoto said the party has been reorganised after it suffered some confusion of leadership that led to political setbacks.

M. Sahoto confirmed that the New Bougainville Party will be led by PNG’s ambassador to China, John Momis, who will be contesting the presidency of the ABG in the elections.

“Ambassador Momis will defiantly contest the presidency of the ABG with the party contesting all seats in Bougainville,” Mr. Sahoto said.

He also confirmed the members of the council of the Party and said other representatives were still to be selected.

“The Party, under the leadership of John Momis, if elected to power will pursue the development of Bougainville bringing about changes to the current stagnation,” Mr Sahoto said.

He stressed that the New Bougainville Party will pursuer a government of unity to bring about permanent peace and development.

Mr Sahoto said Bougainville must move forward and be counted amongst the developed regions of the Pacific.

“We have no reason to remain divided and underdeveloped, for we have the capacity and resources to develop Bougainville the way we want at our own pace,” he said.

Bougainville needs to reappraise: leader

BY TAPO TOVILU

A prominent Bougainvillean has called on the leaders of Bougainville to evaluate the growth of the autonomous province and to see how it is situated today.

Patrick Heromate says Bougainville’s journey towards autonomy is unclear and that there are big question for the people and the government to answer.

He says funds worth millions of kina pumped into Bougainville’s economy have disappeared leaving many development projects incomplete.

“Millions have been lost and Bougainville must change in the way it is dealing with the spending of funds so that it better benefits our region,” Mr. Heromate said.

He challenged the leaders, asking what they were doing to help solve the problem.

“We have just turned the page into another new year and if our leaders continue to spend money and resources like this, the people will suffer,” he said.

Mr Eromate also said that law and order issues were on the rise and that law enforcement officers needed to step up their efforts in fighting crime.

He also called on leaders to address weapons disposal, saying that guns are still being used in some parts of Bougainville.

He said that the people and leaders must not turn a blind eye on the problems that face Bougainville and that Bougainville has a long way to go before it is ready for a referendum on independence.

Post-Courier :

Momis to lead party

By FABIAN HAKALITS

AFTER going through leadership and political setbacks caused by some of its members within the Autonomous Bougainville Government regime, the New Bougainville Party has appointed former Bougainville Governor John Momis as leader in a bid to revive it.
The party president Linus Sahoto confirmed that the party has been boosted by the appointment and it would help its preparations for the ABG election in March.
The party has been re-organised and says it is poised to play an important role in the development of Bougainville.
The party has Mr Sahoto as president, Junius Kidoro as deputy president, Chris Bengko as secretary and Jerry Tunjio as the treasurer.
Other members will represent youths, the churches, women and business houses who will be selected at the next party council meeting.
Mr Momis resigned as the Bougainville Governor to contest the 2005 ABG presidential seat but lost to the late Joseph Kabui.
The party under Mr Momis, if elected to power, will pursue major policy initiatives to develop and pursue a government of unity in Bougainville.
The party will also pursue other major policy initiatives like good governance to fight corruption, revisit the peace process with particular reference to guns disposal, involvement of youths, women, churches and business houses in the development of Bougainville and its people, give priority to the Council of Elders as the basis for peace building, law and order and development of the people, and re-assessment of the ABG administration.

PNG mines to benefit from high copper price

By ERIC TAPAKAU

PAPUA New Guinea’s copper producing mines are in for a big time as the price of the precious metal rises to over K19,000 ($US7500) per tonne mark.
With the country being one of the major exporters of copper, this will also have a positive impact on the national revenue.
While most mining companies in the country are gold focused, the world class Ok Tedi mine in the Western Province is the major producer of copper concentrate in the country.
With reports of prices of copper skyrocketing, the company will be in for another bonanza in 2010.
In 2008, OTML continued to be the foremost contributor to the economy of Papua New Guinea, paying $US350 million in dividends to shareholders (K927 million), 82 per cent of which ultimately benefited the people of PNG through shareholders PNG Sustainable Development Program Limited (52 per cent) and the National Government (30 per cent).
Net revenue from the sale of concentrates accounted for more than 20 per cent of PNG’s export earnings and 17 per cent of gross domestic product.
In 2008, total taxes and dividends of K950 million was received by the National Government with a further K350 million distributed to the Western Province Government, communities and employees.
Goods and services procured in PNG amounted to more than K850 million. According to news agency AAP, copper soared past $US7500 per tonne on Monday, hitting its highest level for 17 months on the back of industrial action in key producer, Chile.
In trading on the London Metal Exchange, copper for delivery in three months time soared to $US7 536 a tonne, reaching the highest point since August 2008. At the close of trade last week, copper for delivery in three months had jumped to $US7408 a tonne from $US7070 the previous week.
Workers at two mines owned by Chile’s Codelco company, the world’s biggest copper mining company, went on strike on Monday demanding higher pay and better benefits.
Miners at the Chuquicamata and Mina Sur mines, which together account for 4 per cent of the world’s copper production, are calling for a 7.5 per cent pay rise as copper prices soar.
Both mines belong to the state-owned Chilean group Codelco, which produces around 1.6 million tonnes of copper per year and employs 5600 workers.

04.01.2010

UpgrowingTensions.

End of July last year the ADR emitting companies announced to stop the unsponsored ADR program in Bougainville Copper shares. Consequently the trade in these ADRs was halted. Investors were given six months to change their ADRs to ordinary shares. In 18 days on January 22^nd this period will be over. As the ESBC was informed, J.P. Morgan, one of the companies that emitted Bougainville Copper ADRs, sold for example round about the double of ADRs compared to those they were really holding. That means they are 50 percent (still) short (estimated about 5 to 10 million shares). So, if they are obliged to convert all their emitted ADRs to ordinary shares they need to buy Bougainville Copper shares on the market or to pay out the ADR holders in cash. But, as there are only 25 percent of Bougainville Copper shares in free float (estimated about 100 m shares) strong buying might cause extreme soaring share prices as seen in Volkswagen about one year ago. Within a few hours VW shares rose some 500 percent due to strong demand. Such bull market in Bougainville Copper is not expected to happen on one day only. It may last one week or more. All depends on how many ADR holders want to get their ADRs changed to ordinary shares. The bigger the amount of shares to change, the bigger the chance to see an unprecedented super hype!

Die Spannung steigt.

Ende Juli vergangenen Jahres kündigten die ADR emittierenden Banken in den USA an, das ungesponsorte ADR Programm einzustellen. Daraufhin wurde der Börsenhandel  eingestellt. Nach weiteren 6 Monaten, in den ADR Besitzer ihre Papiere gegen Original Bougainville Copper Limited (BCL) Aktien eintauschen konnten, soll das Programm jetzt komplett liquidiert werden. In 18 Tagen ist es so weit. Zumindest eine dieser Banken, J.P. Morgan, hatte nach ESBC Informationen indes doppelt so viele ADRs ausgegeben wie sie in ihren Tresoren hatte. Die ESBC gehen davon aus, dass allein J.P.M. mindestens fünf bis zehn Millionen Aktien „short“ sein müsste. Das heißt: Bis zum 22.1.2010 muss J.P.M. entweder die verbleibenden ADR Halter in bar auszahlen oder aber eine entsprechende Menge an Aktien eindecken.  Bis dato zeigt der Markt dennoch keine Anzeichen hektischer Eindeckungskäufe. Die nächsten Tage werden zeigen, ob es dazu kommt. Sollte das der Fall sein, kann die Bougainville Copper Aktie mit Leichtigkeit ein Kursfeuerwerk wie bei Volkswagen vor etwas mehr als einem Jahr erleben und sich binnen weniger Stunden vervielfachen. Bei VW waren es damals annähernd 500 Prozent. Diese Rekordhausse könnte von Bougainville Copper übertroffen werden, da der Markt extrem eng ist, da nur etwa ein Viertel der Aktien (ca. 100 Millionen) im Freefloat sind und sich auch erst langsam rumsprechen dürfte, wenn die BCL Kurse massiv steigen. Demzufolge dürfte eine solche Rally auch keine Eintagsfliege wie im Falle VW sein, sondern sich über eine Wochen oder mehr hinziehen. Alles hängt jedoch davon ab, wie viele  Aktionäre letztlich ihr Recht wahrnehmen und ihre ADRs in Originalpapiere eintauschen lassen. Je größer die Anzahl der getauschten ADRs, je höher die Chance auf einen beispiellosen Superhype!