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The Supreme Court on Wednesday summoned former and current chief secretaries of Balochistan along with record of the licenses issued to a foreign company for exploration of gold and copper deposits in the province.
The former and incumbent officials have been summoned during a hearing of petitions challenging the award of contract to Tethyan Copper Company (TCC) - a Canadian consortium of Barrick Gold and Antofagasta Minerals - for exploring gold and copper in Reko Diq, a small desert town in Chagai district of Balochistan.
The court also issued notices to the concerned parties on a miscellaneous application of 26 Senators, which was accepted on Tuesday, for becoming party to the pending petitions against leasing of Reko-Diq copper and gold mines in Balochistan worth over $260 billion to foreign exploration and mining companies by the federal government in violation of law.
A four-member bench of the apex court headed by Chief Justice Iftikhar Mohammad Chaudhry comprising Justice Mohammad Sair Ali, Justice Ghulam Rabbani and Justice Khalilur Rehman Ramday was hearing a number of petitions challenging the award of the contract to a foreign company. During the course of proceedings, the chief justice expected that the case would be decided till February 19, as the federal and provincial governments were waiting for the decision.
Raza Kazim, a counsel for late Maulana Abdul Haq Baloch told the court that Balochistan government had not produced the application of BHP exploration and mining company, which it filed for getting contract of Reko-Diq project, along with its reply. He said under the law, the ownership of Reko-Diq project could not be leased or sold out. He said the BHP made a contract for exploration of natural reserves at Reko-Diq in 1996 and in 2006, it (BHP) sold out the contract to Tethyan Copper Company (Pvt) Ltd (TCC) at $260 million.
The court then directed Advocate General Balochistan Salahuddin Mengal to present original application of BHP for Reko-Diq contract and the record of license given to it by the government. Mengal then told the court that he had asked the Mineral Director to provide these details.
Raza Kazim said the Reko-Diq reserves were national wealth, which could not be given to foreign companies. He said if these reserves would be given to the foreign companies, they would take 75 percent share. He said the company holding the project was insisting that the Reko-Diq reserves were explored by it, despite that he said the reserves were known in 1992. Besides, he said a study conducted in 1961 had also revealed about these reserves.
He said that in this case the government was realising its responsibility as 75 per cent share of the profit is given to TCC and only 25 percent to the Balochistan, which was against the interests of the country. TCC''s counsel Khalid Anwar sought adjournment of the case for a week, which the court declined. The Chief Justice said if the parties give undertaking of not extending the contract, the adjournment could be granted. Khalid Anwar submitted that TCC was bound to get valid license by February 19. The Chief Justice observed that the court would try its best to complete the proceedings in the case before February 19. The court adjourned the hearing till today (Thursday).

Copyright Business Recorder, 2011

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