Opposition mounts against potash mining in Thailand
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Opponents of potash mining in Nakhon Ratchasima are urging the energy group Bangchak Plc to adhere to good governance practices. Bangchak, listed on the Stock Exchange of Thailand, is the majority owner of the mining company with the concession rights.
Representatives from the Dan Khun Thot Conservation Group convened at the Ministry of Industry yesterday, urging the Department of Primary Industries and Mines to revoke the licence granted to Thai Kali Co. The mining site is in close proximity to local communities.
Thai Kali holds a 25-year concession for potash mining on 9,005 rai of land in Dan Khun Thot district, a part of northeastern Thailand. Last September, the department issued a licence for mining at Nong Don Pho, near the company’s initial site. Approximately 300 households are anticipated to be affected by this new project.
Potash, a term used for nutrient forms of potassium, is essential for plant growth and a key component of fertilisers.
Previously, operations by Thai Kali were halted due to intense protests from local communities. However, with Bangchak becoming the largest shareholder last month, the company is preparing to resume operations.
Bangchak stated that this investment is aligned with its business diversification strategy, focusing on upstream activities. The acquisition of a 65% stake in Thai Kali was executed through its subsidiary, BCV Energy.
Bangchak’s major shareholders include the government’s Vayupak Fund 1, with 19.84%, the Social Security Office holding 15.78%, and the Ministry of Finance owning 4.76%.
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The potash mining activities by Thai Kali have significantly impacted local livelihoods, with high salt levels in paddy fields rendering rice cultivation impossible, according to Buaphan Srithong, a spokesperson for the Dan Khun Thot Conservation Group.
Locals are seeking compensation for environmental damage. A committee has been established by the Department of Primary Industries and Mines to investigate these concerns, but a conclusion has yet to be reached.
Residents express concern that the new potash mining site may cause similar damages experienced by other communities.
Chutamas Srihatapadungkit, a protester, expressed dissatisfaction with the department’s response. She believes that no new mining licences should be granted until the investigative committee’s report is finalised.
“People have a basic human right to live in a good environment and should be eligible for rehabilitation if that right has been violated. But it seems that the new licence has been awarded without any consideration of our request. In that case, we will keep fighting until our demand is translated into action.”
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The group later proceeded to the Social Security Office headquarters in Nonthaburi province. Protesters urged the Office, as a significant shareholder in Bangchak, to ensure the company adheres to human rights, good governance, and sustainability principles.
Highlighting Bangchak’s frequent claims of green credentials, they urged the company to divest from Thai Kali to prevent negative impacts.
Today, the group gathered at Bangchak’s headquarters to protest against its involvement in non-sustainable business practices. They requested the Stock Exchange of Thailand to investigate the company’s activities, reported Bangkok Post.