Freeport's Grasberg mine: a festering sore in West Papua?

Freeport's mining concession in Grasberg, West Papua.

In February 2024, the Global Legal Action Network (GLAN) filed a lawsuit in the UK High Court against the London Metal Exchange (LME) over dirty metals from Freeport Grasberg mine in Indonesian-occupied West Papua.

The world's largest gold mine and third largest copper mine discharges more than 200,000 tons of waste daily into local rivers and seas, causing imprescriptible environmental damage.

Map showing the location of Freeport's Grasberg mine (Map courtesy of IIED)

Controversy over Freeport's mining activities

One of the largest contributors to Indonesia's state budget, with revenues in the billions of dollars, PT Freeport Indonesia (PTFI) is a subsidiary of US multinational Freeport-McMoRan. Operating in West Papua since 1967, its existence continues to be controversial: it was reported that since 1997, Freeport has violated environmental laws, and has been excluded from the investment portfolio of the Norwegian Government Pension Fund, the second largest pension fund in the world. Its partner, Rio Tinto, was also excluded from the investment portfolio in the 2008-2019 period.

Dirty metals of crime 

GLAN and the London Mining Network argue that gold and copper from Freeport's Grasberg mine is "proceeds of crime" because it was produced under conditions that would violate UK criminal law if it occurred in the UK. With this lawsuit, it is hoped that PTFI will immediately stop its exploitative mining practices that endanger the environment and indigenous communities if they want their products to remain listed on the LME. 

Indigenous communities have been affected by the pollution from Grasberg mine waste that is discharged into water used for their daily needs, such as drinking, cooking and bathing. Sedimentation of toxic waste has caused widespread health problems. Skin diseases and other health problems due to heavy metal contamination cause suffering for the entire community, especially children and the elderly. 

Symbol of global ecological disaster 

Andrew Hickman, of the London Mining Network, said, "The Grasberg mine in West Papua, where copper traded on the LME is produced, is like a festering ulcer in the heart of the New Guinea rainforest."

Indeed, the environmental damage in West Papua highlighted in this case is symptomatic of a serious systemic problem worldwide. GLAN has identified a similar pattern of problems for mining companies operating in Brazil, Peru, Guinea and the Russian Federation.