Complaint to the OECD

RNS Number : 0907H

GCM Resources PLC

14 June 2013

 



14 June 2013

GCM Resources plc

(the "Company" or "GCM Resources")

(AIM:GCM)

Complaint to the OECD

GCM Resources plc ("GCM" or the "Company"), a London based resource exploration and development company, previously advised on 20 December 2012 that a complaint had been lodged by activist groups against the Company, alleging the breach of OECD Guidelines for Multinational Enterprises. GCM submitted its first response to the National Contact Point ("NCP") of the OECD on 4 February 2013 and have since continued to provide information requested.

GCM advises that after initially assessing the complaint the NCP has decided to investigate some of the claims further. 

The Company has consistently maintained that the Phulbari Coal Project (the "Project") is planned to enhance the human rights for the people of the Dinajpur area as well as the Bangladesh population. Upon development, the Project would support up to 4000MW of power generation for the country, significantly increasing the electricity availability for the country. The additional electricity would drive economic and social development and help Bangladesh towards meeting its Millennium Development Goals.

GCM maintains its commitment to develop the Project in alignment with the highest international and national social and environmental standards. Extensive studies have been conducted into the potential impacts of mining and associated activities, and plans have been prepared in accordance with the highest international standards to mitigate any adverse impacts and at the same to magnify the potential benefits, such as improved water quality and living conditions.

Gerard Holden, Chairman commented:

"While we are disappointed by the decision of the NCP to investigate some aspects of the complaint further, we are confident that through the OECD process GCM will be able to fully address any concerns and demonstrate that the Project is compliant with international standards."

For further information:

GCM Resources plc Gerard Holden Non-Executive Chairman  [phone]	Pelham Bell Pottinger Lorna Spears / Joanna Boon [phone]
J.P. Morgan Cazenove Nominated Adviser Michael Wentworth-Stanley [phone]	Investec Investment Banking Chris Sim [phone]

GCM Resources plc
Tel: [phone], Fax: [phone]
[e-mail]; www.gcmplc.com

 

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