Irian tribal chief loses legal battle against Freeport

JAKARTA (JP): A U.S. district court rejected yesterday a US$6 billion action suit by an Irian tribal chief against PT Freeport Indonesia and Freeport-McMoRan Copper & Gold Inc., charging the American mining giant with environmental and cultural destruction.

"This ruling confirms that the lawsuit, filed by a New Orleans attorney on behalf of Tom Beanal had no basis in law," PT Freeport Indonesia said in a statement.

On March 12, a Lousiana state court had dismissed an identical lawsuit filed on behalf of another Irian Jaya tribal leader Yosefa Alomang.

"Both companies intend to continue its work with the local people and the government of Indonesia to implement the government's Integrated Timika Development Plan to meet the needs of local people in Irian Jaya," the statement said.

Beanal is leader of the Amungme Tribal Council, located near the company's Irian Jaya mining site in Timika, and an outspoken critic of the company. Yosefa is also from the same tribe.

With support from the Indonesian Institute for Policy Research and Advocacy (ELSAM), they filed the lawsuits last year.

The suit claims Freeport was engaged in "eco-terrorism", "cultural genocide" and corporate policies that led to human rights violations against tribal people, as well as the environmental destruction of resources.

The Freeport mine, some 3,000 km (1,870 miles) east of Jakarta, sits on one of the largest known gold and copper reserves in the world.

PT Freeport's operations have been plagued by allegations of human rights violations.

The complaint was filed against Freeport under a federal law that allows foreigners to sue for violations of international law in U.S. courts.

The suit alleged that Freeport's security guards "engaged in summary execution, arbitrary arrest and detention, torture, disappearances, surveillance and the destruction of property".

PT Freeport Indonesia is 82 percent owned by Freeport-McMoRan Cooper and Gold Inc., an affiliate of Freeport-McMoRan. The Indonesian government and a private company, PT Nusamba, own 9 percent each.

The companies promised to remain committed to "working with all groups and parties for the benefit of the indigenous people through education, health care, job creation, job training and infrastructure".

The firms are engaged in mineral exploration and development, the mining and milling of copper, gold and silver in Irian Jaya.

PT Freeport Indonesia and Freeport-McMoRan plan to build and operate a smelter and refinery plant in East Java. Currently, the smelting and refinery are done in Spain. (pan)