Australian mining company to sue PNG government
Updated
A Perth-based mining company is preparing to sue the Australian and Papua New Guinea governments for loss of potential earnings from a proposed copper deposit near the Kokoda Track.
Our PNG correspondent, Steve Marshall, says three months ago the two governments agreed to protect the historic war path, which effectively shut the door on mining in the area.
The bi-lateral agreement meant Perth company, Frontier Resources, could not start a copper mine near the southern end of the Kokoda Track.
Frontier boss Peter McNeil says he will sue the PNG government for loss of potential earnings of around $US7.6 billion.
Mr McNeil is also threatening to take the Australian government to court.
He says Canberra pressured PNG to not renew his company's exploration licence.
The Kokoda track runs for nearly 100 kilometres through the Owen Stanley Mountain Range in Papua New Guinea.
It is renowned as the location of the World War II battle between Japanese and Australian forces in 1942.
