A Chinese mining company involved in a controversial copper mine project in Myanmar Tuesday welcomed a parliamentary report which backed continued development of the project while recommending measures to amend it.
In a statement sent to the Global Times, Wanbao Mining Ltd, which invested in the Letpadaungtaung copper mine project in northwestern Myanmar's Sagaing region with its partner Myanmar Economic Holdings Ltd, vowed to listen to the needs of the community and wider stakeholders, adding that it will communicate with them "every step of the way."
The project has met opposition among local people since early 2012 over land disputes and environmental concerns, and has been suspended since November after a string of violent protests.
An investigation panel, which was appointed by the government in early December and headed by opposition leader Aung San Suu Kyi, Monday submitted its report to Myanmar President U Thein Sein, and the official media Tuesday carried the full text of the report.
AFP quoted the report as saying the protests were a result of "poor transparency" from local officials, adding that the compensation offered for the land "was not at market value," and the mine had appropriated more land than was needed.
The report said the massive project is beneficial to the country though the benefit is "slight," and noted that it should go on in consideration of economic, social, environmental and international relations perspectives.
It recommended several measures be taken, including an increase in compensation for land in line with market value, the carrying out of environmental and social impact assessments and finding ways to create local employment, AFP reported.
The president has set up a 15-member committee to implement the recommendations of the investigation panel.
"We are committed to protecting the environment to the best international practices. We are also committed to the improving of the lives of the families, children and our wider community," Wanbao said in its statement, without revealing when the project will be resumed.
In an interview in late January, Shen Xinhua, vice general manager of Wanbao, said the company suffered $2 million is losses every month after the project was suspended. The company also blamed external political forces for instigating tensions.
Wang Dehua, director of the Institute for South and Central Asian Studies at the Shanghai Center for International Studies, told the Global Times that although it's possible that Chinese investors dealt with local disputes carelessly, the protests were hyped by Western media and the issue was politicized.
According to Wang, the protests escalated as the US and Japan reportedly intended to pump investment into Myanmar. "This might be a regional strategy to force China to pull out of the market," Wang said.
The panel report also expressed concerns that a suspension of the project, which was signed under the approval of the government, would damage the credibility of Myanmar and affect foreign investors' confidence, reported Xinhua.
Wang said China's massive investment in the country's railway, power and mining sectors has boosted its economy, however, the protests, which were rare in the past, may force Chinese investors to reconsider investing there.
Jin Honggen, an economic and commercial counsellor at the Chinese embassy in Myanmar, told the Global Times Tuesday that bilateral trade remains active, but the growth in commercial activities slowed down after the protests.
It is still unclear how local residents near the copper mine will react to the panel's report.
Suu Kyi is due Wednesday to visit the mine and a number of nearby villages, a member of her security staff told AFP.
Agencies contributed to this story