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3/31/2006 - Digging for Gold and Truth in a New Democracy by Cristina Merrill

CM ROMANIA Cristina Merrill John O Crane Memorial Fellow Institute studying Ceausescu communist Romania Digging Gold Truth New Democracy By Cristina Merrill MARCH BUCHAREST Romania Being recent meeting interest ostensibly greater value Romania given great Some people drunk money power whereas I butterflies access information riveting people truth I suppose I happily drunk reporter stakes raised presence money power story This event piece going Romania A Canadian mining spending fabulous money expectation getting final approval extract fabulous amounts which encounters tough opposition fiery community coalition A occurrence other countries might quite extraordinar considering Romania learning adapt market economy investment barely familiar community activism unless talking about soccer riotousness The event I attended place Bucharest headquarters Na tional Audiovisual Council where board members discuss merits complaints filed opponents profile advertising campaign launched Canadians The underlying topic however Rosia Montana Red Mountain mining project seven drive western Transylvania It historic mining district known Golden Quadrilateral geographic region known miners Carpathian Arc often likened Pacific Rim Ring Fire This Europe prolific mining districts years Roman occupiers first miners region until about third century Then Austro Hungarians century until Mining place between world course during Com munism The state owned there cease operations The Canadian Toronto based Gabriel Resources which operates Ro mania under Rosia Montana Gold Corp first drawn prospect taking possession million ounces million ounces silver reserves considered largest undeveloped resources world The Romanian subsidiary percent Canadian owned state owned The would largest Eu In meeting analysts December Alan H Hill Gabriel president CEO experienced miner himself having executive director development another mining Canadian Barrick Gold called Rosia Montana world class resource vanilla By meant doesn require sophisticated cessing It plain simple northern Canadian where crush leach Then place leached tailings But vanilla anything plain The Canadians learned accomplishing anything Communist countries torturous process meeting between East West first tested Balkan crucible Of course eventually stand produce silver grade Canadians dogged patience If prices ounce shareholders their investments years since operate Romania years profit Romanian investment would significant Disclosure Recently attempt cruit correspondent communications department Canadian For years vested everything lately decided needed smart public relations order fight deluge growing increasingly damaging sition The hired PR agency looking house member coordinate internal exter communications Because arguably explosive issue Romania reporter first offer No initial response about company I would consider The headhunter reaction Because press Canadians hiring local their project On other I learned about issues intrigued I became company story including implications country moves forward Trouble Start Capitalist Intentions Gone Bad The Canadians presence marked turmoil For management Canada Romanian subsidiary several times because scandals Their mistake officials vately entrusting leader early Communism Romanians skilled manipulating often corrupt central planning operating market economy The company learned mistakes spotless tight management Last May hired Mr Hill executive years experience mining Mr Hill since brought Romania engineers perts field trusted mates previous employment Last month signed board member veteran mining indus financing production phase should government green light proceed Once environmental hurdle raise least finance development Rosia Montana The before approval ronmental impact assessment report explain their plans damage might arise operations Following period about months public ments government either approve reject project If ruling favors mining Canadians start working right ruling comes weather worsens mining until early The first pouring profit Canadians expected place early One biggest problems Gabriel faces image Many Romanians still associate Gabriel project early management little about managers installed May The press fueled zealous community activist campaign mostly negative Media still basically reactionary struggling learn democratic interest conflicts Some negative press example papers tried failed space Gabriel The other issue working against Canadians Romanians lingering Communist mentality distrust toward foreigners especially outside investors country argument As recently former Prime Minister Adrian Nastase declared himself opposed project menting foreigners Gabriel Resources leave cyanide But political winds shifted since government seems dorse project pending environmental report CM later month The current president Traian Basescu favor project years during elections paying His Gabriel posters inscriptions Romanian terms ingot But until vironment report comes public official allowed comment publicly despite numerous efforts sides provoke reaction gauge interest Romanians still uneasy relationship capitalism risks doing business rumors years Gabriel running rattled their trust Canadian company further But December mining company secured million another Canadian investor Combined million previously available enough complete gathering phase project Gabriel anything stingy expenses Its Ca nadian executives regularly between Romania their bases When Romania staff members travel plane between Bucharest Cluj followed rides Rosia Montana They lodge restaurants The company Bucharest headquarters gorgeous restored mansion neighborhood Gabriel already spent million Romania In burning through month forecasting spend monthly average million project It wonder Roma nians grown suspicious jealous these foreigners Many complain their government Romania riches Why should foreigners plunder because money Golden Promises The Canadian company thinks Romania should pockets because theirs would large source foreign investment funds abroad still trickling because prove their commitment responsible mining sustainable development The Canadians propose infuse billion years operation Romanian economy The government alone million counting receipts The would during construction phase operations begin Long envisions every created Rosia Montana another added across Romania industries serving plying Their project Canadians point seeks correct hundreds years short thinking government Gabriel experts concluded water Rosia Montana contains three times legal limit arsenic times limits respectively As mining project proposing complete cleaning rehabilitation including replanting trees vegetation treatment water If Romanian government their which cannot because funds would somewhere region million Euros approxi mately US million Canadian The Rosia Montana safer standards those required under International Cya Management Code formu lated United Na tions project observe highest strict environmental standards mining project Romania European Union nation Gabriel since funded million program rescue archeology research program cover restore Roman artifacts mining galler The amount spent alone almost times Romanian Ministry Culture spent archeology years The company takes credit these efforts website In contrast communist mining operation which plowed through ancient Roman tress without second thought ongoing restoration program already saved housed dozens relics recently salvaging intact Roman water wheel dating first second century AD While Romanians think Rosia Montana bucolic untainted dying mining Since Romanian overnment disadvantaged areas Much population elderly widows unemployed Young The Canadian intends Rosia Montana argues previous mining irresponsibly badly polluted waters spend money clean INSTITUTE OF CURRENT WORLD AFFAIRS people leaving search More workers unemployed number percent state owned closes One people village equivalent More homes village reliable running water thirds house holds outdoor latrines This correspondent village month single taurant newspaper stand One issue critics functional company would displace people demolish houses seven churches three prayer houses cemeter Gabriel solution For proposal build another model village meters complete school medical clinic community center It recently installed first fresh water pipeline serve nearby A tural heritage outlined includes protected containing village historic structures future showcase cultural patrimony Another feature purchase villagers homes This rather necessary miners since Gabriel secure property rights order operate It already bought about homes continuing Gabriel stopped buying homes outright couple years since because wanted secure government final approval project Late Gabriel began program purchasing under which owners three deposit enter agreement comes binding government approves ronmental project An Unlikely Mighty Opposition The biggest problem however strong commu opposition acting guerilla style succeeded putting number roadblocks mining despite allegedly being mounted string Several nongovernmental organizations together against project strongest voice Alburnus Maior Latin Rosia Mon civic association local people It debatable whether organization actually represents locals since seems residents leave The Rosia Mon mayor endorses mining project recently percent during elections while candidates endorsed Alburnus Maior secured percent But Alburnus Maior speak group dents refuse The president Eugen David farmer never property Gabriel single handedly revitalize helping Rosia ecological tourist He advanced concrete plans effect The other Alburnus member brains operation Stephanie Danielle Roth Swiss former vironmental journalist French citizen wrote London based Ecologist Goldman Environmental prize putting fight against Rosia Montana project money donated further mining cause She living Romania since Her first activity fighting creation Dracula theme Transylvania takes credit helping defeat project though Prince Charles Wales likely responsible In Rosia Montana Ms Roth claims organized first large scale prote Romania since lizing local residents forging coalition national NGOs archaeological specialists academics clergy fight mining proposal Alburnus Maior claims result efforts World Bank International Finance Corporation withdrew support mining project October expressing social environmental cerns Ms Roth vowed prevent Gabriel obtaining required archaeological approvals known discharges Thanks efforts those discharges annulled local Court Appeal June Rosia Montana Gold appealed decision Supreme Court Bucharest A hearing sched April Mr Hill Gabriel straight shooting chief executive bristles whenever Ms Roth mentioned He speech We development groups action before We En glish carpetbagging siders community their longings single carpetbag If manage Rosia their battle against development But company worried about tation comes battle mounted against The project delayed unhappier company shareholders As Gabriel states annual report Any successful challenges could negatively impact CM Company development plans require additional application discharge certificates result tional delays expenses The opposition which Romanian Academy recently voiced support argues public interest stands destroy Romania heritage More risks outweigh benefits Main points include arguments effect enterprise proposed Gabriel enough effect around Critics likening resettling population demolishing reminiscent period everybody thinks meaning Com munism The proposed seriously endan archaeological Alburnus Maior which unique world great cultural histori value The destruction partial antique Roman galleries completely unacceptable country honors roots press lease issued month Romanian Academy The strongest argument opposition correspondent danger posed cyanide extract The argument tailings toxicity would remain source severe risks Canadian employs latest technolo neutralize substance cyanide One reasons cyanide seems threatening Ro manians accident occurred Baia Mare flood cause primitive tailings reser owned equal parts Romanians Australian breach spill river Tisza contaminating waters downstream Hun The Canadians proposed Rosia Montana would seven times larger Baia Mare extent damage cyanide spill would greater Because Hungarian opposition project intense promises intense during country national election later month In correspondent sources reason Canadians delaying issuing environmen impact assessment report three weeks until those elections caught campaigning nationalist Hungarians A Hungarian independent moviemaker duced The New Eldorado which critical Rosia Montana project being shown great success throughout Hungary available DVDs Europe Brussels Romania It shown Bucharest theater weeks March Romanian NGOs promoted movie places distant Black Sea Constanta When Romanian NGOs bored together cause source correspondent The Canadian company answer whole question toxic substance carried responsibly efficient transport destruction privately because nologies reduce concentration cyanide those levels times below EU standards Ms Roth definitely brought international mining battle besides introducing terms carpet bagging crunchy granola Romania finally experiencing global ization movement which reason cause appeals young Roma nians university students learning about civic environmental protection proudly carrying Save Rosia Montana banners If Ms Roth Alburnus Maior bring substance paign young Romanians helping publi guerilla style This especially dents university Cluj recently mobilized several leading groups artists design earlier launched powerful street paign mining posters stenciled graffiti cities around country The graffiti designs appear bones skull stencil message Cya kills President Traian Basescu about ingot Two years Mr Basescu running president INSTITUTE OF CURRENT WORLD AFFAIRS speech which declared himself support mining project The stencil supposedly product Cluj based group somethings called The Playground would remain anonymous escape wrath public officials angry caused public private property Another group MindBomb takes credit national poster campaign This group described intellectuals formed Cluj movement protesting press censorship infringement freedom expression Over years staged number visual protests against considers infringement citizens rights In campaign posters carry slogans Silence Golden The Golden Wedding subtitles Don Allow Rosia Montana Die People Important Gold Young people leery mainstream media which still propagandistic opinion ridden rather objective Instead drawn mining articles appearing popular satire weekly Academia Catavencu Trouble young people embracing mining cause without knowing facts cyanide indeed threat claim Rosia Montana potential tourist destination needs tecting never there chance orange color polluted river flowing nearby damage result centuries management During world example streams luted mining drain known Verespatak Hungar Red River As happened during Communism ignorance manipulate nationalism built false assumptions Academia success decade readers mostly under result devel something approaching media empire which includes couple NGOs media monitoring agency environmentalist outfit seeks Danube become Gabriel worst nightmare It these awkward transition times publishing organization itself purveyor justice investigative journalism meanwhile selectively respected expression The Academia declared Canadians seems affected editorial content Rumor reporters working respectable daily owned Academia namely Cotididianul under strict orders cover Rosia Montana story Rumor Academia funding mining efforts Regardless biggest problem correspondent transpar among mining campaigners If nothing would capitalist devils reveal public their funding sources themselves petty Balkan trigues fashioned Communist protectionist exactly trying avoid Times promise headier enviro mental impact assessment report issued later month If years scandals accusations campaigning sides indication summer Canadians their ponents Following Romanian government issue final verdict whether Rosia Montana turned largest Europe whether short goodbye lengthy ordeal This process Romanians learning their transition market economy foreign investment country transition promises around entry European Union The Meeting I carried describing events facts lating mining story I delayed describing meeting I mentioned beginning piece Crit Rosia Montana mining projects complained officials charge overseeing television program National Audio Visual Council CNA about series TV Canadian running CM CNA whether campaign falsified truth violated people dignity According mining company awareness campaign which Canadians spent about meant balance negative publicity years opposition But opposite effect especially Gabriel lution promise these Some material shows pretty depressed presents testimoni people there favor mining project The mining argues locals interviewed these things public occurred company smartly pulled saying contracts respective expired It interesting sides gathered place The contrast appearance striking The mining company elegantly suited executives lawyers English speaking staff erally beautiful people The opposition people including Ms Roth Mr David representing Alburnus Maior public advocate looked gritty community advocates They traveled morning train Cluj hours train meeting began The opposition hiking boots mountain clothes rucksacks They acted jittery interrupting CNA members insult mining representatives A representative Academia Catavencu media monitoring agency present meeting support NGO brothers agreed their appearance impressive The doesn believable Even afterward speak advise I wondering Romanian NGO community rallying together appearing united Mr Eugen David president Alburnus Maior spoke first saying Gabriel munity inferior handicapped whereas doesn himself handicapped person Not there They everything disaster adding created extraordinary stress villagers One viser immoral mining company disaster helped create starting explo ration years This I thought statement given polluted centuries The president CNA Ralu Filip interjected saying Rosia Montana mined before Ca nadians damage couldn there cause jurisdiction assess environmental He indicated vironmental report would clear doubts Mr Filip Romanian actually endorses mining project I doubts about giance Someone close company lobbied whatever means Mr David mentioned seeking ecotourism business causing image Ms Roth speaking grammatically proper Romanian called company executives liars urged commission investigate their untruthful allegations She talked about Czech Republic cyanide mining forbidden which seemed impress CNA members Insecure Romanians often swayed other nations think John Aston president development Romanian subsidiary established Canadians spoke English there understanding about company mission Romania appreciated first sides found themselves public A Englishman South African accent Mr Aston charming diplomatic public Cana company He Romania first Canadian contingent years despite trials tribulations remained their voice reason He despite attempts opposition create image Gabriel company hiding secrets company public throughout country attempt reach Romanians address their concerns The opposi refused engage dialogue never those meetings We ironic company willing discuss environ mental problems Rosia Montana civil society opposition We misun derstanding As commercials We stand behind They truth happen Rosia Montana These opposition other At meeting members CNA voted against Alburnus Maior complaints close instance abstaining another They decided closely mining company future Many seemed critical mining company spending money promote project still happened spots showed misery Rosia Montana Some interested other countries forbidden cyanide mining To Mr Filip proved strong supporter mining company We judge spots But I Romania One point prevail instead coexisting We nation denigrates talism yucky before yucky Here community INSTITUTE OF CURRENT WORLD AFFAIRS Current Fellows their Activities INSTITUTE OF CURRENT WORLD AFFAIRS Richard D Connerney Jan INDIA A lecturer Philosophy Asian Religions Logic Rutgers University Rick Connerney spending years Phillips Talbot Fellow studying writing about intertwining religion culture politics India described former U S Ambassador John Kenneth Galbraith functioning anarchy Rick B A M A religion Wheaton College University Hawaii respectively Kay Dilday October FRANCE MOROCCO An editor New York Times Op Ed years Kay holds M A Comparative International Politics Theory Graduate Center City University New York Bachelor degree English Literature Tufts University graduate Universiteit Amsterdam Netherlands Cours Civilisation Sorbonne She traveled written Haiti began journalistic council reporter Somerville This Week Somerv MA Cristina Merrill June ROMANIA Born Bucharest Cristina moved Romania United States mother father Learning English retaining Roma majored American History Harvard College there became women tennis She received Master degree Journalism New York University worked several U S publications Adweek New York Times spending years Romania watching emerge darkness Ceauscescu regime presumed light member European Union NATO Nicholas Schmidle October IRAN Nicholas freelance writer interested intersection culture religion politics Asia He spending years Pakistan writing issues ethnic sectarian national identity Previously reported Central Asia Iran published Washington Post Weekly Standard Foreign Policy Christian Science Monitor others Nick received M A International Affairs Regional Studies American University inDecember His lives Rikki Andrew J Tabler February SYRIA LEBANON Andrew lived studied worked Middle East since Rotary Founda Ambassadorial Fellowship enabled begin Arabic language studies toward Master degree American University Cairo Fol lowing Master editorships Middle East Times Cairo Times before moving Turkey Lebanon Syria working Senior Editor Oxford Business Group correspondent Economist Intelligence Unit His ICWA fellowship bases Beirut Dam ascus where report Lebanese affairs Syrian reform Jill Winder July GERMANY With B A politics Whitman College Walla Walla WA Master degree Art Curating Bard Colleg Annandale Hudson NY Jill ICWA Donors Fellow looking Germany through ideas viewpoints contemporary artists Before months intensive study German language Berlin Thomas J Watson Fellow looking communist cultural politics transition former Soviet Czech Republic Slovakia Poland Croatia Hungary Latvia Romania Slovenia Ukraine Institute Fellows chosen basis character previous experience promise They young professionals funded spend minimum years carrying designed programs study writing outside United States The Fellows required report their findings experiences field month They write subject formally informally The result unique reporting analysis periodic assessment interna tional events issues Author Merrill Cristina Title ICWA Letters Euro Russia ISSN Imprint Institute Current World Affairs Hanover NH Material Type Serial Language English Frequency Monthly Other Regions South Asia East Asia The Americas Mideast North Africa Sub Saharan Africa ICWA Letters ISSN published Institute Current World Affairs Inc exempt operating foundation incorporated New York State offices located West Wheelock Street Hanover NH 03755 The letters provided charge members ICWA available libraries profes sional researchers subscription Phone Fax E Mail valley Web address Executive Director Peter Bird Martin Program Administrator Brent Jacobson Publications Design Management Ellen Kozak Institute Current World Af fairs The Crane Rogers Foundation The information contained newsletter reprinted published without express written consent Institute Current World Affairs