In our research project, funded by the Australian Department of Foreign Affairs and Trade, we investigate various socio-economic impacts of mining as a powerful international industry in two countries in Mekong area: Laos and Thailand. The impacts of mining industry are multi faceted. Mining activities might be painted as a collective effort of a bunch of rapacious monsters, keen to simply tear up the land, clear cut forest, extract all the minerals from the earth and runaway. That old picture needs to change when we think of developmental aspects of the industry.

Partnership among stakeholders such as local and international Governments, mining multinational corporations (MNCs), community, and educational institutions can improve technical and vocational aspects as well as research delivered in response to mining industry demands. International mining industry can increase employment opportunities for local people and improve local participation in the industry.

Similar to most international industries, benefits from this industry come with some challenges. Stories of gold mining communities in Pichit Thailand and Vilabouly in Laos may sound like a classic story of a typical rural community that is discovered by a gigantic, powerful mining MNCs. Both community face rapid economic changes where employment opportunities, new infrastructure, and new opportunities in life are created by the advent of international mining MNCs.

However, with economic miracle, members of the community also feel 'the air of economic challenges.' The majority of workers of mining MNCs from our study raised a similar concern on uncertain economic future in the community. What can be done to guarantee this constant income in the future, when the end of mining industry approaches the community? In the Laos context, economic miracle from this international industry has long been supporting on-going development in the community. When the land becomes useless for mining industry, community members question their economic future. What should they and mining MNCs do to mitigate this future economic impact in the host counties?

The second challenge we learn from the project is the importance of relationship among mining stakeholders. If we use ‘stakeholder theory’ by  Ed Freeman to explain international mining industry, we understand that the conventional idea that business is about maximizing profits for shareholders is outdated. It does  not work well in modern economy since  the recent global financial crisis has taught us. The 21st Century is one of “Managing for Stakeholders.” The task of mining executives is to create as much value as possible for stakeholders without resorting to trade-offs.

With the serious (and notorious) circumstance in Thailand where the Thai Government commanded a mining MNC to shut down its operation, due to its potential contribution to public health concerns in the community, we learn that the failure to manage different demands from various stakeholders can be one of the key issues contributing to this problem.

Rural community may benefit from various levels of engagement among mining stakeholders that can potentially bring tremendous economic and technical benefits to community members. However, when various stakeholders involve, most mining MNCs may fail to respond to different demands from all stakeholders. That can potentially lead to management failure as one of the challenges in international mining industry.

In summary, benefits of mining industry can prevail over negative impacts if mining MNCs work very closely with and listen to all stakeholders in the host country. If community development is seen as an important element of international mining industry, it is important that mining MNCs must move beyond the point of being an industry where people engage purely for monetary benefits. The industry must speak out loud as an industry for sustainable development.

Capacity Building at the National University of Laos

ADRAS project is unique from any other research schemes in the sense that we need to focus on the developmental aspect of the project.  In the previous month, our team focused on building research capacity and skills with partners from Rajabhat, Burapha and Thammasat Universities. At this phase of the project, we visited the National University of Laos to work with our team and their students on the capacity building on research and communication of research in developmental studies.

We value the contribution of this project from both developmental and educational perspectives. Hence, our capacity building activities will focus on strategy to use education as a key tool to work with delegates from various developmental agencies in Lao PDR and countries in Mekong region.

                                                                            Patuxai

In early March, our team organised a workshop on research and communication in developmental studies, base on our fieldwork in Vilabouly (Lao PDR) and Pijit (Thailand). The workshop participants are 17 postgraduate students in the master of sciences in community development from National University of Laos (NUOL).

All of them are experienced workers from various international NGOs, Governmental agencies, business owners, and officers form international organisations in Lao PDR and the region. They were interested in conducting an individual community development project and keen to discuss and share their research experiences with our team. In particular, delegates who are currently working on gender, mitigation of natural disasters in Laos, and mining for development were keen to share with us their work and experiences from the fields.

Workshop was conducted by Associate Professor Kabmanivanh Phouxay from NUOL and Associate Professor Natt Pimpa from RMIT University. The key foci of the workshop include methodology for research in community development, how to identify impacts of your research, and communication techniques for researchers in this discipline.

                                                             Activity/Brainstorming

One important discussion among participants at the workshop is how to make the most of modern social media and electronic platforms to create impacts of our research in community development. Issues on modern platform such as open-access journal, linkedin, and webinar concept were debated among participants from NUOL.

                                               Photo with some delegates from NUOL

At the end of the training session, the delegates reflected upon their experiences at the workshop. For them, the most important learning aspect was their comprehension on communication strategies and techniques for research. It is commonly known that research in community development or economic development tend not to be well and strategically communicated, due to lack of skills and proper understanding of communication concept. It is our hope that this capacity building program, funded by DFAT, will be useful for all participants from Laos.

Our Project Article in 'The Conversation'

Kingsgate’s Thai mine a lesson in failed community management

In mid January, the Thai Government’s Department of Primary Industries and Mines ordered the 30-day suspension of activities of Akara Resources, a Thai gold mining subsidiary of Australia’s Kingsgate Consolidated Limited.

The suspension followed a protracted dispute between Akara and local villagers. The locals claimed – and this was voiced predominantly by women – they had been adversely affected by the mine’s activities.

Despite the concerns raised by villagers, Akara continued to issue environmental impact studies that failed to address the concerns.

But when the Thai government assessed the mine’s impacts on the environment and health, arsenic and manganese were found to exceed acceptable levels in 282 villagers living near Kingsgate’s Chatree gold mine in Pijit Province.

Kingsgate responded by arguing that “arsenic and manganese are not used or stored at the Chatree Mining operation now or at any time in its history". Indeed, it is cyanide rather than arsenic or manganese which is used to leach gold from ore.

Following a public hearing of key community stakeholders in February, the Department of Primary Industries and Mines announced it would lift the suspension order if Akara Resources were to prove its operations do not pose a threat to health. Apparently this did not happen to the government’s satisfaction, as an additional 45 days suspension has been applied.

How could things have gone so wrong?

Read full article at: https://theconversation.com/kingsgates-thai-mine-a-lesson-in-failed-community-management-37588

Mining and Development: Story from our fieldwork in Pijit (Part 2)

In the previous post, we examined a few photographs from the mining community in Pijit. We presented different pictures of relationship among key stakeholders in the community. We also argue that, since social environment plays a critical role in corporate survival, Akara (mining MNC in Thailand) need to satisfy (and sometimes even exceed) their stakeholders' expectations. We also address that mining MNC's success and community prosperity are intertwined. We need to present another three photographs from the field to confirm our arguments on the current situation in Thailand.

                                                 
                                                      Picture 1: Sewing Group

Like most mining MNCs in developing countries, Akara contribute to various income generation schemes in the host community. This is the picture from the sewing group which members are predominantly women. The project sounds interesting from the economic empowerment perspectives. When we discussed how this scheme change life of the members, some women obviously mentioned benefits from stable incomes from sewing. The decision-making of Akara to create the sewing group  is connected to economic empowerment in the community. In our opinion, this little sample is significant because the company include views and ideas from women from various groups and backgrounds prior to the establishment of this program. Mining MNCs need to understand the fundamental needs of the community, from the community perspectives, not the company's perspectives.

                                                     Picture 2: Road to the Mining Area

One of the strongest claims from the villagers in this study is concerns on noise and water pollution. While we were listening to stories from the villagers, we frequently heard the noise from the production and trucks from the production site. The company used to operate 24 hours!! After several attempts from the local villagers to bring this case to the authority, the company stopped the night operation. In terms of air and water pollution, since we look at the gender perspectives from this study, we found women tend to worry about this issue more than their male counterparts. Men from the villages tend to focus on how to 'earn a living'. Most women whose husbands work for the company stay home and look after their families.

                                              Pictures 3 and 4: The Way Women Lead

We traveled to Moo 9 (the picture of the road) and met with the lady in a picture, Khun Suekanya. Her picture is not from my camera but it was taken by the media on the public hearing day on 11 February 2015.  She is one of the leaders who campaigned against the company. Again, we are trying to focus on gender issues here so we learn from the interviews that most people who protest against Akara's issue on environmental impacts are women. Women are encouraged to deal with the movement and the political aspects of mining industry. Most women mentioned their roles as the carer for the next generation, protectors of the community, and the guardian. Interestingly, they admitted that level of violence can be different when women campaigned against the company. Men tend to end up with violent attack if they stood up and protested.

I would like to finish this post by a news report from Thai PBS on the actions from the community and the government on this important issue.

Extension of Akara closure looking likely : Report from Bangkok Post

Akara Resources Plc's gold mine in Phichit province may be closed longer after the company's appeal against the government's suspension order was turned down.  

The government has asked the company to provide more information and plans to hold a week-long public hearing for villagers living near the mine, signaling that the mining operation might face further suspension.

"But Akara reiterated that the toxic metals found in the blood tests were caused not by the mining operation but by the villagers' use of insecticides on their own farmland" 

Credit and read more at: http://www.bangkokpost.com/business/news/461993/extension-of-akara-closure-looking-likely. 

Mining and Development: Story from our fieldwork in Pijit (Part 1)

With the order from Thai authorities to suspense an Australian gold mine in the north of Thailand, this causes a number of concerns from the community and industrial perspectives. Issues on health risks and political influence were reported in the Thai media. This is truly one of the critical issues of mining and development in Thailand.

Our project deals directly with mining community in Tab Klor, Pijit, the location for Akara resources. We have been working closely with the community and we talked  to stakeholders from the villages and industry. We, therefore, need to share some reflections from the field as part of our research project.

Our team visited Pijit in October-November 2014. After the publicity in regards to the situation in Pijit, we look at our research evidences and would like to share some 'photos' and 'stories' from the research fieldwork. Note that our project is not politically involving with any parties. We are interested in gender aspect of mining and mining MNCs in Pijit and Petchaboon. Hence, we like to tell our story from the picture (as key evidence) we collected from the fieldwork in November 2014.

                                                         Picture 1: The Village

The community comprises approximately 13 villages. Most of them are not as rural as one may imagine. Roads link all villages very well and it takes approximately 20 minutes to the main road that links this mining community to Pijit and Petchaboon. A few villages that are close to the company have been receiving the village funds (approx. 1 million bath per year per village) to manage their own needs. However, issues on fairness (as mentioned from further villages) have been one of the major concerns in the community. We have learnt two completely different ideas: development or detrimental from various groups in different villages. Obviously, infrastructure has been developed here and we can find the relationship with mining industry. However, some societal issues are raised by some villagers.

                                           Picture 2: Public Board from the Company

One aspect that has been done professionally from the company is public communication. In all villages where we visited and observed, we noticed this similar public board in the centre of the village. You may question the purposes of this board. Obviously, the communication and public relations aspects are outstanding. Akara uses this space to communicate with all villages,distribute their magazine, discussing benefit they have raised to the community, promotion of their sponsorship for the Buddhist temple or school, other health and finance issues etc. From the communication perspectives, this is one of best strategies to inform the community. However, some concerns from the villagers include the type and quality of information, opportuities to use this space beyond PR activities, and other essential information that can be promoted in the community.

                                                   Picture 3: Head of the Villages

Heads of all villages play significant roles in the mining community. They liaise with the governor, mining MNC and the villagers. We visited five heads of the village and had wonderful conversation regarding the history of mining community and gender issues. All village heads agree that the industry was historically designed for most men. However, women can now play different roles in the mining community. Most of them also agreed that the repatriation of women and men from Bangkok to Tab Klor is one of the major contributions of the industry. Women can do more work at home and at work. They can return to the hometown and live with their parents/family.

Village heads can also play various political roles in the community. They are the economic and political mechanisms for mining MNCs, the Government and villagers. Their relationship with various groups in the community is incredibly powerful.

The consequences of Mining

What are the consequences of mining in the global and local communities? When we started this project we asked ourselves this broad question and we hope that we will find some interesting facts to learn from the project.  At this stage, we have seen and witnessed various societal and community factors.  It is. Not the intention to discuss all of them here. We would like to share some points while we are analyzing the data.

The primary influence is on economic development which is prominent in all communities we explored in this project. Economic contributions come in many forms such as tax, job creation, microfinance, working with local suppliers, and improvement of basic infrastructure in the local areas. 

In Laos, for instance, most women are employed in various sectors and departments in the mining industry. Economic impacts last in the community and seem to have various impacts on the community. Status of women in the community can also be changed because of the economic empowerment. Roles they play in the community have recently changed from the receipients of income to the contributors to family's well-being.

An interesting issues also include fairness in employment and equity in the workplace. Although women have been employed by mining companies, some complained about (lack of) opportunities to participate in the recruitment and selection process. Having their voices reflected in the public arena is important and they hope to be more proactive in the community in this regard.