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EMR Capital’s other coking coal mine – Kestrel, Queensland

EMR Capital, the company that owns 81% of the proposed West Cumbria Coal mine, is currently operating another coking coal mine – Kestrel.

The Kestrel mine is an underground mine located in the Bowen Basin in central Queensland. The Bowen Basin contains the largest coal reserves in Australia.

The mine produces twice the annual output proposed for West Cumbria, at 5.56 million tonnes a year. The Kestrel coal mine is not without controversy, which could occur in West Cumbria if the mines started. See below for recent issues for workers, subsidence and with polluted water discharge which at Kestrel could affect the Great Barrier Reef or the coast at Cumbria.

There is not a strong campaign focus against Kestrel coal mine specifically, as in 2021, Australia had 94 operational coal mines, coal and a much lower population density than in the UK. The mine has operated since 1992.

Like the proposed West Cumbria Coal mine, Kestrel is not owned and operated by just one company.

“Both EMR and Adaro are keen investors in Metallurgical Coal.”[1]

Kestrel mine is owned by Kestrel Coal Resources (80%) and Mitsui Investments (20%). Kestrel Coal Resources is made up of 52% EMR Capital, with Adaro Capital Ltd owning the other 48%.

Location of Kestrel coal mine

Key facts

  • Coal type: coking coal
  • Location: central Queensland
  • Traditional owners of the land: Western Kangoulu [2]
  • Area: 17,000 hectares
  • Depth: 350m to 400m [3]
  • Seem depth: 3m [3]
  • Annual coal sales: 5.56 Mt (2021) [4]
  • Main markets: India, South Korea, and Japan [4]
  • Mining started: 1992 [5]
  • Expected closure: 2032 [5]
  • Reserves available until: 2046 [6]
  • Further expansion?: Likely [7]
  • Employees: approximately 660 [2]
  • Mine’s direct annual emission position in Australia (2019-2020) 9th [9] out of approx 94 mines [8]
  • Previous owner: Mitsui Investments (20%) and Rio Tinto (80%) share sold to EMR Capital and Adaro Energy in 2018.
Kestrel coal mine from https://www.mining-outlook.com/commodities/coal-mining-sector/kestrel-coal-resources-mining-for-a-legacy-worth-leaving/4

Controversy

Protests and disputes

There were workers disputes at the mine in 2022 over job contracts, including redundancy policies, health insurance policies and our incentive bonus policy. The Mining and Energy Union vice president criticized Kestrel over the ongoing saga. [10]

The mine was for sale in 2022. It does not seem to have found a buyer.

Threat at a local level

The traditional owners of the land are the Western Kangoulu people who co-operate to some extent with the miners, but say “the sectors activities also present a large threat to the protection of cultural heritage and values with extensive and irreparable damage being done to the land resources of the Western Kangoulu area.” [11]

Environmental issues

Lock the Gate has highlighted that “Central Queensland coal mines are releasing billions of litres of polluted water many times saltier than the receiving rivers in the catchment of the Great Barrier Reef, prompting concerns about the ecological health of impacted waterways.”

According to the Environment Department’s figures, Kestrel, in Jan 2023 was releasing the equivalent of an Olympic-sized swimming pool of water every eight seconds into Crinum Creek.

The Environmental Advocacy in Central Queensland director said, “It’s particularly galling that even coal mines that publicly claim to be ‘zero-discharge’, such as Kestrel, are releasing thousands of litres into Central [Queensland] creeks every second which will be carrying sediment to the Reef.” [12]

Subsidence

There has been subsidence at the Kestrel mine, this was likely planned. The area over the mines is mainly agricultural. Subsidence is where the ground sinks after coal mining has cleared an underground void and the rock roof is allowed to fall in, causing disruption at ground level.

At the Kestrel mine there is recorded subsidence of 1.6m to 2 m down the centre of the 250 m wide panels. These panels are approximately 4km long.” At the Kestrel site this affects the hydrology of the area. Similar subsidence, were it to take place, at the currently proposed West Cumbria coal mine, would cause disruption on the sea bed. If this is expected a license for the mine is required from the Marine Management Organisation. As “subsidence increase[s] permeability and porosity”. [13]

References

1 https://kestrelcoal.com/stakeholders/

2 https://www.mining-outlook.com/commodities/coal-mining-sector/kestrel-coal-resources-mining-for-a-legacy-worth-leaving/3

3 https://www.mining-outlook.com/commodities/coal-mining-sector/kestrel-coal-resources-mining-for-a-legacy-worth-leaving

4 https://www.adaro.com/pages/read/7/22/mining

5 https://www.gem.wiki/Kestrel_mine

6 https://www.mining-outlook.com/commodities/coal-mining-sector/kestrel-coal-resources-mining-for-a-legacy-worth-leaving#small-but-mighty

7 https://www.mining-outlook.com/commodities/coal-mining-sector/kestrel-coal-resources-mining-for-a-legacy-worth-leaving/7

8 https://www.ga.gov.au/digital-publication/aecr2023/coal

9 https://www.lockthegate.org.au/flatulent_narrabri_underground_expansion_would_be_most_polluting_thermal_coal_mine_in_australia_for_direct_greenhouse_emissions

10 https://www.couriermail.com.au/news/queensland/central-queensland/business/kestrel-coal-mine-dispute-over-employee-agreement-between-emerald-miners-and-kestrel-coal-resources/news-story/51458de7ad16d0214fc17426a2b9a1cf

11 https://lumburrabimbi.com.au/western-kangoulu/

12 https://lumburrabimbi.com.au/western-kangoulu/

13 file:///home/anne/Lechner2014Theimpactofundergroundlongwallminingonprimeagriculturalland.pdf Referencing Gullo D. 2006. Kestrel coal mine: subsidence and agriculture. Central Queensland Mining Forum. 18 October 2006. Fitzroy Basin Association, Emerald, Queensland, Australia., Booth & Spande, 1992; Potentiometric and aquifer property change above subsiding longwall mine panels, Illinois basin coalfield. Ground Water 30: 362–368., and Booth, 1998, Impacts of mine subsidence on groundwater. In Proceedings of Prime, Farmland Interactive Forum, Hooks CL, Vories KC, Throgmorton D (eds). Department of Agronomy, Illinois Agricultural Experiment Station, University of Illinois at Urbana-Champaign, University of Southern Indiana: Evansville; 143–148.).

 

Welsh position on a coal ban needs to change

A response from the Welsh Climate Change Minister

Open letter to the Welsh Climate Change Minister... and their reply in full

(Click for PDF)

Open letter

Minister's reply

Background

On 23 October 2023, over 30 Wales-based NGOs, businesses, and community groups signed an open letter to Wales’ Climate Change Minister, Julie James, calling for the Welsh Government to ban coal mining once and for all (sent by Climate Cymru). On 10th January 2024, Julie James wrote back—but claims a ban isn’t needed, even though 1.6 million tonnes of CO2 could have been prevented since 2022 if the Welsh Government had adopted a ban. That failure has caused 362 additional deaths from climate change related causes. Julie James’ claims just don’t stack up against those lives lost. Here’s why:

What the Minister didn’t respond to

The open letter to Julie James highlighted that an issue with the current policy is that it is riddled with caveats and exceptions. Carmarthenshire County Council’s Planning Officer even wrote in September 2023 that it was “difficult to know for certain how to interpret the coal policy”. Julie James failed to respond to this point entirely. A clear ban would remove the existing ambiguity that makes the current policy challenging to apply.

Julie James also did not respond to our point that Merthyr (South Wales) Ltd would not have been able to mine 500,000 tonnes of coal from Ffos-y-fran over the past 1.5 years if there was a clear ban on coal mining. The mining company exploited the exceptions in existing policies to secure a de facto extension. To protect against this climate assault recurring by closing the loopholes, a clear coal ban is needed now.

In the open letter to Julie James, it’s stated “A coal mine ban can be drafted is such a way that allows for the safe winding down of existing coal mines, and Coal Authority access to fulfil its regulatory duties”. That didn’t stop Julie James trying to use that against a ban anyway: “we also have a duty to manage the safe closure and restoration of existing and historic mining infrastructure”. Julie James accompanies this with a reason that’s even more bizarre: “The incidental extraction of limited coal may also be required during the construction of infrastructure projects”. Those wouldn’t be coal mines so wouldn’t fall under a ban—the Coal Authority even licences this differently as an ‘incidental coal agreement’. The burden and hazards of historic mines across Wales would diminish under a coal ban, rather than risk being added to—a very real risk in light of Ffos-y-fran.

The Minister's presumptions against a coal mine ban

Julie James says “…coal licences may be needed in wholly exceptional circumstances and each application will be decided on its own merits”. But this creates exactly the problem that Julie James lamented in her letter in October 2011 to then Minister for BEIS Kwasi Kwarteng: "both the developer and the Coal Authority committing significant resources respectively to preparing and determining applications... before Welsh policy can properly be applied”. A coal ban would end the pipeline of applications, and the private and public funds they waste.

Julie James twice hails “the presumption being against extraction” in current policies. We hope it’s not presumptuous to argue for a commitment stronger than a ‘presumption’ in the face of catastrophic climate change. What justification could opening a new coal mine have in the face of the 362 lives that’ll be cut short due to the Welsh Government’s refusal to ban coal mines up until now? Climate vandalism over the past year shows nothing short of a ban on coal mining can protect the lives and ecosystems at stake.

Finally, Julie James concludes her letter by claiming the “Welsh Government has adopted and implemented the strongest policy opposition to coal extraction across the UK Governments”. Even if that were true, the Welsh Government clearly needs to go further given current policies have failed to prevent 1.6 million tonnes of avoidable CO2 in the past 1.5 years. But it’s also not true. Julie James’ claim to be leading on a progressive coal policy is based on her comparison to a similar one set out in the Scottish Parliament back in November 2021. She ignores the de facto ban that the Scottish Government more recently introduced in October 2022—as referenced in the open letter to Julie James. If Julie James actually wants the Welsh Government to boast the strongest policy opposition to coal mining, she’ll have to be bolder by committing to a ban on coal mining in Wales.

Proposed Whitehaven coal mine campaign timeline

Main events

2014 Company directors buy Riverside Energy and change the name to West Cumbria Mining Ltd ( West Cumbria Mining Ltd).

2015 Cumbria County Council and  West Cumbria Mining Ltd hold internal discussions.

2016 Environmental Impact Assessment Scoping Report is finalised.

2017 Initial planning application is submitted.

2017 September. First demonstration against the coal mine - organised by Radiation Free Lakeland

2018 Major changes to the application are made and a new Environmental Statement submitted.

2019 March. Cumbria County Council planning committee holds hearing for the Whitehaven coal mine application, and approves it “subject to S106 legal agreement".

2019 April. Call in Request to Rt Hon James Brokenshire Secretary of State from Keep Cumbrian Coal in the Hole (a Radiation Free Lakeland campaign) around potential nuclear impacts of the proposal.

2019 June. A call-in request by SLACC is refused by Secretary of State (Secretary of State).

2019 October. Cumbria County Council planning committee holds second hearing and again approves the Whitehaven coal mine application “subject to S106 legal agreement".

2019 Judicial review launched by Leigh Day solicitors on behalf of Radiation Free Lakeland.

2020 May. Cumbria County Council planning committee sets aside (withdraws) previous “consent subject to S106”.

2020 June.  West Cumbria Mining Ltd submits revised application (claiming to no longer mine and sell the high sulphur “middlings” coal in the area).

2020 October. Cumbria County Council planning committee holds third hearing for the Whitehaven coal mine application, and again approves it “approval subject to S106 legal agreement".

2021 January. SLACC issue second request for the Secretary of State to call-in  West Cumbria Mining Ltd’s application.

2021 February. Cumbria County Council suspended approval decision because Climate Change Committee recommended the end of coking coal use by 2035.

2021 February. CAN petition with 110,000+ signatures is submitted to the UK Government for the Secretary of State to call in the mining application.

2021 March. SLACC launches judicial review against the Secretary of State’s failure to call in  West Cumbria Mining Ltd’s application.

2021 March.  West Cumbria Mining Ltd launches judicial review against Cumbria County Council and in opposition to SLACC’s judicial review of the Secretary of State.

2021 Secretary of State finally agrees to call in  West Cumbria Mining Ltd’s application and to hold a Public Inquiry into it.

2021 September. 11 groups commit to taking direct action to stop the West Cumbria coal mine if government approves it.

2021 September.  West Cumbria Mining Ltd make major change just ahead of Public Inquiry - tunnelling under the ancient woodlands.

2021 September. Public Inquiry is held.

2021 September. On the first day of the Public Inquiry, around 70 people gather outside the site of the prospective Whitehaven coal mine, and outside the Secretary of State’s office, Ministry of Housing, Communities, and Local Government.

2022 December. Michael Gove publishes decision to grant planning permission to the Whitehaven coal mine.

2022 December. Twitter storm erupts with the message “We reject the Whitehaven coal mine, #StopCoal @luhc @CoalActionUK”.

2022 December. Protests at the site and in other parts of Cumbria against the approval. At the site they continue monthly throughout 2023.

2022 December. 5 Santas deliver sacks of dirty ‘coal’ to the Secretary of State at the Department of Levelling Up, Housing, and Communities as he is on the (very) naughty list for approving the Whitehaven coal mine.

2023 Jan. SLACC and FOE request permission to legally challenge the Secretary of State’s decision in a Statutory Review.

2023 April. High Court refuse permission to appeal.

2023 April. FOE and SLACC apply for ‘Renewal’—similar to an appeal, which is granted.

2023 May. Legal challenges against the governmental decision are approved for SLACC and Friends of the Earth for a combined hearing. Originally due to be heard in October 2023, but delayed to await the outcome of a linked case, relating to oil extraction in Surrey.

2023 August. 25 large banners opposing the proposed new coal mine near Whitehaven with the words ‘NO TIME for a COAL MINE’ were unveiled along all the roads entering Cumbria on the same day.

2023 August. Earth First! Gathering occupied the site of the proposed Whitehaven coal mine for 5 days, with around 150 attendees, ran workshops on all things environmental and engaged with many local residents over the days.

2023 September. Global Day of Action against Fossil Fuels includes demonstrations against Lloyds of London Insurance companies which fail to rule out insuring the project.

Published: 28. 12. 2023

Unite to fight for a just steel transition

Background

Port Talbot Steelworks in South Wales is the largest producer of virgin steel in the UK. Along with British Steel steelworks in Scunthorpe, Port Talbot steelworks is expected to shut down its blast furnaces in 2024 and build a 3 million tonne (MT) electric arc furnace (EAF) to recycle scrap steel. This is a measure to reduce the steelworks CO2 footprint by cutting out coal used in traditional blast furnaces in virgin steelmaking.

Workers' Plan

In A workers’ plan for Port Talbot, the UNITE workers’ union points out “The government's current proposal is to give a handout to Tata [Port Talbot Steelworks], without asking for any conditions to protect jobs.” On 15th September 2023, this handout was confirmed at £500 million with expected job losses up to 3,000. The deal was reached without meaningful union or worker involvement, despite those workers facing the biggest upheaval at the steelworks.

No steel transition without justice transition

We share the Unite union’s conviction that the low-carbon transition at Port Talbot Steelworks can, and must, be a just transition. In its workers’ plan, Unite point out that only 60% of UK steel demand is met by domestic production, and that the UK imports 10 out of 17 main steel products. By 2035 demand for green steel could rise as high as 19.4MT, according to Unite. In 2022, the UK produced 6MT of steel. These figures underpin Unite’s case for expanding EAFs at Port Talbot to 6MT-9MT, beyond the current conversion plans of a 3MT EAF.

Unite’s proposed expansion—together with scrap steel processing jobs to improve scrap input quality—would retain, or increase, jobs at the site of Port Talbot steelworks. Unite states that diverting the amount of scrap the UK exports each year would provide sufficient quantities of scrap steel to expand the EAF capacity for Britain’s green steel sector.

Beyond EAFs... for a £billion less than the Track and Trace app

Beyond EAFs, Unite is pushing the UK Government to invest in, and develop, emerging technologies like Hydrogen Direct Reduced Iron (HDRI) to produce virgin steel. The large amounts of electricity needed to support that could, according to Unite, be produced sustainably by constructing a floating windfarm just off the coast of Port Talbot, which it claims has suitable topography. This could safeguard more jobs and contribute to reducing the carbon footprint of other carbon intensive industries, such as cement and ammonia production.

Unite estimates that HDRI roll-out would require a public investment of around £1 billion per year over the next 12 years. That may sound like a lot but, in total, that amounts to a billion less than the widely derided Test and Trace app cost in its first year alone.

Our position

CAN advocates for a variety of strategies to meet UK steel demand into the future, including efficiency, recycling, technology, and more selective production. But where there remains a demand gap, production should be coal-free and utilise a circular economy based on safer, desirable, and dignified jobs within the UK. We also believe it’s vital that the impacts of steel production are not just considered at the point where iron or scrap arrives at steelworks.

Upstream extractive industries and scrap steel sorting and processing underpin, and are impacted by, changes at steelworks. The environmental and economic consequences for these upstream sectors means mine workers and community members living on the frontlines of iron and coal extraction, and the consequences of climate change, also need to be part of the conversation, as stakeholders, for a truly just transition.

CAN agrees with the Unite union on the following demands:

  1. Change procurement rules to let UK public contracts use 100% UK steel. This alone can create 8,000 jobs.
  2. Public investment for a Steelworkers’ Transition Plan with NO loss of jobs. Phased workers' transition to green steel. The investment needed is £1 billion per year over 12 years and it will pay for itself with increased revenue.
  3. Tackle energy prices. Bring in electricity price caps and public ownership of the grid to make our steel even more competitive.
  4. Take a stake. No more money for nothing. Public investment for steel must come with solid job guarantees.
This link takes you to an external website

Published: 18. 12. 2023

Finite: the Climate of change – watch from home

We’re excited to let you know that you can finally watch FINITE online now on Vimeo On Demand, by renting or buying the film.

FINITE: The Climate of Change is an inspiring insider’s view of communities in the UK and Germany putting their bodies on the line to fight back against coal mining. Featuring Coal Action Network alongside local people in the Pont Valley, Durham. FINITE is an authentic and emotional insight into the David and Goliath battle between frontline communities and activists on one side, and coal mining corporations on the other.

A masterpiece: powerful, inspiring, uplifting. Please watch it.”

GEORGE MONBIOT

Currently the COP28 climate summit is taking place in Dubai. December 7th, marks a year since the UK Government approved a new underground coking coal mine in Cumbria. Since then, the Government has encouraged new oil and gas extraction. Action against fossil fuels remains a necessity.

The wider story of the Pont Valley can be found here.

In the words of an activist in FINITE:

"climate conferences are not going to save us, we have to save ourselves"

📣 If you think this story is important, please help us spread the word. 📣

Share the film on Instagram, Facebook and Twitter.

Enjoy the film!

Ffos-y-fran, the UK's last opencast coal mine finally shut - we're not celebrating

We're not celebrating...

We're not celebrating the purported end of coal mining at Ffos-y-fran in Merthyr Tydfil, South Wales today. Because the abject failure of Merthyr County Borough Council to stop the past 15 months of illegal coal mining at Ffos-y-fran has resulted in:

  • Over 500,000 tonnes of illegal coal
  • Over 1.6 million tonnes of CO2
  • 362 additional deaths from climate change related causes
  • Dust & noise for locals
  • No agreement to fund restoration works

The Welsh Government, rather than stepping in to issue a stop notice to prevent the illegal coal mining, even transported the illegal along rail lines owned by the Welsh Government to customers...and continue to do so. The coal company has amassed a huge stockpile of coal at the rail terminal to continue selling off after 30th November - largely made possible by the Welsh Goverment's rail lines.

The Welsh Government's policies against coal mining are obviously not strong enough - why won't the Welsh Government take its place next to Scotland in issuing a clear ban on coal mining?

Job losses

There are around 150 workers at Ffos-y-fran who face redundancy today. Merthyr (South Wales) Ltd has let workers down. The company had many years of knowing when planning permission expired, and to retrain and support workers to find work in more sustainable industries for when that happens... but hasn't. To add insult to this injury, the company further let workers down by refusing to pay for the restoration that it's legally obliged to, and which would have provided many workers with years of work to come on site, in the green sector of nature restoration.

Restoration

The final restoration plan promised to local residents since 2007 now hangs in the balance as the mining company makes off with bumper profits from both legal and illegal coal mining, but refuses to meet its obligation to pay for the restoration. It's siphoned MILLIONS of pounds of profits into related companies, and neither the Council nor the Welsh Government seems intent to challenge that. Local residents and the Welsh Government's own report warned the Welsh Government and Local Council nearly a decade ago of this exact risk - why wasn't that acted on? Sign our petition to demand the Welsh Government commits to delivering:

  1. a public inquiry into this debacle
  2. the original restoration promised in 2007
  3. the outright ban on coal mining in Wales that's clearly needed

We obtained a letter from the Coal Authority to the Merthyr Tydfil County Borough Council, in which the Chief Executive of the Coal Authority is scathingly critical of inaction within the Council and their handling of Ffos-y-fran. The Council must be held to account for its failings.

Protest charges

Extinction Rebellion Cymru protestors blockaded Ffos-y-fran illegal operation for over 24 hours - which is 24 hours longer than Merthyr County Borough Council managed to. Despite the illegal activities of Merthyr (South Wales) Ltd, its owner David Lewis has been left untouched. On the other hand, XR protestors were arrested, held in police cells, and have court hearings about for preventing illegal coal mining. Please donate to their legal fees crowdfunder against this gross injustice.

Published: 30. 11. 2023

Mines and Money Conference - ditch the dirty dollars, invest in our future!

We assume our invite got lost in the post...

People hailing from Cumbria to London, and everywhere in between, descended on the Mines and Money Conference in London across two days (28th-29th Nov 2023). We demanded that investors stop pouring cash into the mining sector, and instead invest in our collective future. Together with Fossil Free London and other groups, we greeted investors with flyers highlighting risks to investments in mining that mining companies want to hide—such as successful grassroots resistance to mining projects around the world.

We also heard on the grapevine that EMR Capital PTY, the ultimate owner of the proposed West Cumbria coal mine (WCM), was attending in the desperate hope of raising the £230 million still needed to start the WCM. So local campaigners from Cumbria came all the way to London to deliver a message to potential investors in WCM—steer clear! To further ruin EMR Capital PTY’s plans, they also handed investors a risk assessment, provided by BankTrack, outlining risks specific to the proposed WCM proposal. Two other coal mining companies were present at the conference too.

There’s many alternatives we must take instead of clawing the ground up to reach the minerals beneath, and that is where investment is needed. For example, we need:

  1. better closed-loop recycling and reuse
  2. new technologies and the efficiencies they can bring
  3. the eradication of planned obsolescence
  4. a reduction and prioritisation in what we consume

This would truly be ‘resourcing tomorrow’—the strapline for this year’s Money & Mining conference. Instead, the conference encourages investment in the rush for remaining minerals, fuelling human rights abuses, land grabs, destruction of local eco-systems, and climate change.

We call out the host of this disastrous conference, the Business Design Centre, which boasts its ethical ‘B-Corp’ status. You might want to raise your concerns with the certifying body about giving these hosts any kind of ethical certification (certification@bcorporation.uk), pointing out that at least three fossil fuel companies advertising coal mines and oil production were touting for investment at the conference (BHP, ADX Energy, and Teck).

Published: 29/11/2023

5 Insurers Rule Out Insuring The West Cumbria Mine

On Friday September 15th, as insurers and banks faced a wave of national protest, Coal Action Network announced that five insurers have given guarantees that they will not provide cover for the planned controversial West Cumbria Coal Mine.

The insurers that have ruled out underwriting the mine are AEGIS Managing Agency, Argenta Syndicate Management, Argo, Hannover Re and Talanx. These are the first financial institutions to rule out any involvement with the project, and the win represents a new phase in the campaign to stop the project from going ahead.

Global Fight to End Fossil Fuels on September 15-17th saw half a million people joining protests across the globe to call for a just transition away from coal, oil and gas in history, making it the largest climate mobilisation since the start of the pandemic. Over 400 actions, marches, rallies, and events took place around the world, coordinated by more than 780 endorsing organisations with millions of participants taking part. In the UK Protests took place in London, Manchester, Leeds, Sheffield, Birmingham, York, Wrexham, Cardiff, Shrewsbury and Croydon. Hundreds of campaigners from Extinction Rebellion, Mothers Rebellion and Coal Action Network took to the streets assembling with banners and placards, at the doors of financial institutions, yet to rule out supporting the proposed mine.

They were joined by Buddhist and Quaker groups and other members of the local community. Some groups took part in theatrical actions, dressing as canaries to draw the link between the birds used in mines and the toxicity this mine will bring, while others held silent vigils.

EACOP: Global Day of Action against Chinese involvement in the pipeline

On 20th of November 2023 members of Coal Action Network, StopEACOP UK and Extinction Rebellion held a protest against Sinosure – a Chinese-state owned insurance company with ties to the East African Crude Oil Pipeline (EACOP). The global day of action saw protests in London alongside those in Tanzania, Uganda, South Africa and Washington DC.

If built, EACOP, majority-owned by French oil company Total, would be the longest heated oil pipeline in the world. However, it has so far been blocked from construction. The project has faced difficulties raising finance and getting insurance after sustained campaigning efforts resulted in numerous banks and insurers committing to rule it out. This is why the Ugandan government has, in an act of desperation, now turned to Chinese institutions to prop it up.

Today’s global actions focused specifically on the state-owned China Export & Credit Insurance Corporation (Sinosure), the Export-Import Bank of China (China Exim), and the Industrial and Commercial Bank of China (ICBC). Sinosure is said to be in advanced talks with the Ugandan government about providing credit for the project.

In London, protesters dressed in iconic Total red boiler suits and held banners saying “Solidarity with East Africa” and “Sinosure drop EACOP”. The group protested for an hour and handed in a petition signed by thousands of directly impacted citizens opposed to the planned 1443 km pipeline. They were met with two police vans and eight police officers blocking the main door to the Sinosure building at 85 Gresham Street, London. This made for a ratio of two or more police officers per protester. Meanwhile, in Uganda seven activists were arrested for holding an anti-EACOP banner.

Clearly, banks and insurers are afraid of people-power, and are trying to push carbon bomb projects through  at the cost of human freedom and natural ecosystems.

However, activists see a golden opportunity to delay and ultimately stop EACOP. According to recent reports, 100km of the pipeline has been produced by Chinese manufacturers and is being shipped to Tanzania, while wells are being drilled in Kingfisher and Tillenga oil fields in Uganda. But, EACOP cannot get its crucial funding without Sinosure’s support, who are expected to make a decision by April 2024 after repeated delays.

The powerful work of campaigners and frontline communities has stopped EACOP in its tracks time and again. As we approach the New Year, the movement is ready to end this project for good and amplify the African voices calling for green jobs and a safe future.

Protest in front of Sinosure offices London 20.11.23

Occupied! Protesters occupy the offices of City Of London insurers demanding they rule out backing for climate-wrecking projects

On 18th October dozens of protesters staged a sit-in occupation of the plush City of London offices of ten Lloyd's of  London insurers demanding they rule out insuring the proposed West Cumbria coal mine and East Africa Crude Oil Pipeline (EACOP).

In collaboration with Fossil Free London’s “Oil Money Out” and standing in solidarity with South African activists in Johannesburg, protesters gathered first at Standard Bank then marched waving banners saying “Don't Insure EACOP' and “Don't Insure West Cumbria Mine” to three high profile buildings including the “Walkie Talkie”.

In a simultaneous action others entered the office foyers of Talbot, Chaucer, Ascot, Markel, Allied World, CNA Hardy, Tokio Marine Kiln, and Sirius International and Lancashire Syndicates and refused to leave.

Community members from Cumbria and Uganda joined the protest, sharing the united call to insurers and banks to stop underwriting deadly fossil fuel projects. The West Cumbria Mine will break the UK government’s legally-binding net zero emissions target and the massive 1443 km East Africa Crude Oil Pipeline will wreak havoc on communities, jeopardise ecosystems and water supplies and eliminate the possibility of Earth remaining habitable. There can be no new fossil fuels anywhere if global heating is to remain under 1.5C. Neither project will be able to go ahead without financial backing.

The protesters were joined by Patience Nabukalu, a youth activist from Fridays for Future Uganda who said:
“We have gathered here today to demand that insurers cut ties with the EACOP. By supporting this deadly fossil fuel project they undermine any climate commitments they have made. People in Uganda are facing human rights violations in the name of this project. This has to end.”

Insurers from Lloyd’s of London have come under increasing pressure to rule out offering insurance to both the West Cumbria coal mine and EACOP, facing protests at offices across the UK with hundreds of students entering the job market refusing to work for them.

Claude Fourcroy, a spokesperson for Money Rebellion said: “We are calling on all the banks and insurers behind the West Cumbria mine and East Africa Crude Oil Pipelines to cut their ties now. Both of these projects will fuel climate breakdown. Lloyd’s of London and the insurers in its market sit at the centre of a web of climate wreckers in the City of London, alongside Barclays and HSBC.”

 

The occupations came on the second day of the Fossil Free London “Oily Money Out” protests targeting the Energy Intelligence Forum where fossil fuel corporations talk to government. This Forum occurs in the run up to the COP28 Climate Conference where President Sultan Al Jaber CEO of ADNOC (Abu Dhabi National Oil Company), has been captured by fossil fuel corporations.

There must be no more coal, no more gas and we must stop the flow of oil. Join our campaign to stop insuring the climate crisis.