he Seattle Mennonite Church, owners of stock in Freeport McMoRan, Copper & Gold, Inc. (FCX), was concerned about FCX’s mining operations in Irian Jaya, Indonesia. The company, in partnership with the Indonesian government, operated the world’s largest copper and gold mining venture--the Grasberg mine. The church believed their duty as owners was to ensure that FCX was operated in a socially and environmentally responsible manner. However, complaints of major abuses had been leveled against the company. The Church approached FCX regarding their practices but was rebuffed. As a result, the Church embarked on a series of shareholder resolutions as a way to influence FCX’s behavior. FCX, however, argued they had made considerable progress on the environmental and social issues confronting them. The case ends with the Church having to make a decision. Should they continue to be a thorn in the elephant’s side or should they sell their FCX stock and invest it in other meaningful social programs?
- . Freeport-McMoRan Copper & Gold
Available at: http://works.bepress.com/asbjorn_osland/43/