The High Court has dismissed an appeal lodged by Asia Pacific Investment Development (APID) Limited against Deputy Prime Minister and Minister for Mines, Energy and Rural Electrification, Bradley Tovosia over the cancellation of APID’s mining licence.
The Mining Lease was originally granted in September 2014 for a 25-year term under the Gordon Darcy Lilo administration, a statement by Government Communications Unit (GCU) yesterday said.
However, the lease was cancelled on June 3, 2021 by Minister Tovosia following APID’s failure to adequately respond to a “show cause” notice issued on April 21, 2021, the GCU statement said.
Tovosia issued the show-cause notice when he became aware of fundamental breaches to the Mining Lease.
During the hearing, the High Court also held that APID, as the holder of the Mining Lease, remained solely responsible for these breaches—despite having subcontracted Bintan Mining Solomon Islands (BMSI).
The Court said under law, all legal and regulatory obligations under the Mines and Minerals Act rested with APID, not its subcontractor, the statement said.
One of the major breaches involved APID’s failure to pay royalties for 15 bauxite shipments from Rennell, GCU said.
Additional violations included operating without fully adhering to the terms and conditions of the Mining Lease, the Mining Agreement, and the Mines and Minerals Act and its accompanying regulations.
The company also breached the Surface Rights Agreement with landowners and the Community Development Agreement with affected local communities, the statement said.
These cumulative breaches prompted Tovosia to cancel the lease, a decision APID contested in court.
APID’s legal representative, Gabriel Suri, filed the appeal which was heard on August 4, 2021.
Suri argued that the “show cause” notice was invalid and that the Minister’s reasons for cancelling the lease were insufficient.
In his ruling, delivered on April 1, 2025, Justice Howard Lawry rejected the appeal, saying that the Minister was justified in his decision.
“Having reviewed the matter de novo and based on the material presented, the decision to cancel the license was the correct one,” Justice Lawry said.
Tovosia welcomed the ruling, emphasising the importance of upholding the law and protecting national interests, the statement said.
The High Court also held that APID despite subcontracting BMSI, was solely responsible for the breaches of Mines and Minerals Act.
As a Mining Lease holder, those obligations were by law APID’s obligations and not BMSI, the statement said.
The High Court held that material before both the Board and the Minister demonstrate that the APID was in serious breach of its licence and agreement.
The High Court also found that APID had knowledge of the breach for two years about the breaches but continued to blame BMSI, the statement said.
“As the responsible Minister, I must ensure compliance with the Mines and Minerals Act, Mining Lease, and other relevant regulations and agreements. Allowing APID Ltd to continue operations for another 18 years would not serve the best interests of the country or the people of Rennell,” Tovosia said.
