Nauru and Banaba phosphate mining compensation
- The record does not name which of my species, waters, soils or forests were harmed.
Phosphate from Nauru and Banaba (now part of Kiribati) was sold at half the world price between 1920 and 1968, according to Te Ara. Britain and New Zealand gave A$10 million, according to RNZ; a larger Australian payment and an ex gratia payment for Banaba are reported only in summary-level sources.
A reported A$107m payment by Australia (1993) and a reported A$10m ex gratia payment for Banaba rest on summary-level sources and are not independently verified.
Status As of October 2026 (latest research date): the only verified payment is A$10 million from Britain and New Zealand; the reported Australian payment and the Banaba payment are unverified; the Nauru phosphate fund was reported in April 2021 to have fallen from $1.3 billion to $0.3 billion.
What happened
Te Ara records that phosphate from Nauru and Banaba was sold at half the world price between 1920 and 1968. Banaba is now part of Kiribati. The sources reviewed do not describe the mining operations, the phosphate company, or the condition of either island.
RNZ’s history of Nauru records that Britain and New Zealand gave A$10 million, and that farmers gained from the arrangement. The Pacific treaty database lists a 1993 Nauru–Australia treaty; the settlement dates from 1993.
Devpolicy reported in April 2021 that Nauru’s phosphate fund had fallen from $1.3 billion to $0.3 billion.
Further payments and positions attributed to Australia, Britain and Nauru, and an ex gratia payment connected with Banaba, are reported only at summary level and are listed under “Not known” rather than stated as findings.
- 1920Start of the period, ending in 1968, in which Te Ara records Nauru and Banaba phosphate sold at half the world price
- 1993Nauru–Australia treaty listed in the Pacific treaty database; Britain and New Zealand give A$10 million (RNZ)
- 2021Devpolicy (April): Nauru’s phosphate fund fell from $1.3 billion to $0.3 billion
How it looked
Who gained
Reached nature or the ground
Gained elsewhere
In court and with insurers
Lawsuits and rulings
Insurers
What nature saw
Nature's report opens this page. Below: further outcomes measured on the ground.
What we don't know
Nature
- Not measured Harm to nature: The record holds no measurement of harm to nature.
Figures
- Insufficient Compensation paid: Reported payment by Australia to Nauru; from a treaty database listing seen only in summary form.
- Insufficient Compensation paid: Reported ex gratia payment connected with Banaba, 1977–81; from an encyclopedia entry seen only in summary form.
Record
- Insufficient Reported but not independently verified: Australia paid A$107 million in 1993 and no liability was accepted. The figure comes from a Pacific treaty database listing seen only in search-summary form; the treaty text was not checked.
- Insufficient Reported but not independently verified: Australia maintained that it was not responsible for the period before 1967, Britain said it had never had responsibility, and Nauru gave up its claims. No primary statement was located.
- Insufficient Reported but not independently verified: a payment of A$10 million described as ex gratia, with no acceptance of liability, in connection with Banaba, 1977–81, linked to a case named Tito v Waddell (No 2). The source is an encyclopedia entry seen only in search-summary form; forum, parties and outcome were not checked.
- None on record The currency of the Nauru phosphate fund figures is given only as “dollars”.
Did the harm stop?
Not recorded in the sources reviewed: the dates on which mining ended on Nauru and Banaba are not given.
Who paid?
Britain and New Zealand gave A$10 million toward Nauru, according to RNZ. Australia’s reported A$107 million is not independently verified.
Sources
Government and regulators
- South Pacific economic relationsTe Ara · n.d.
Press and investigations
- Nauru historyRNZ · n.d.
Researchers
- Nauru: riches to rags to richesDevpolicy · 2021-04-12
Connected cases
- Nauru's phosphate fund falls from US$1.3 billion to US$0.3 billion Nauru · date not stated Related matter
- Government of Nauru (Government) — here: Recipient of the settlement payments; there: Country whose phosphate fund declined
- Australia and Tuvalu sign Falepili Union with annual ballot for migration visas Tuvalu · 2023
- Government of Australia (Government) — here: Reported payer of A$107 million (unverified); there: signed the Falepili Union and set the visa ballot
- Deep-sea mining: TMC, NORI, the NOAA permit and the ISA International waters (Pacific Ocean) · 2022–2026
- Government of Nauru (Government) — here: Recipient of the settlement payments; there: Sponsoring state of NORI
- England Biodiversity Net Gain market and Natural England statutory credits United Kingdom · 2024–2026
- Government of the United Kingdom (Government) — here: Gave A$10 million together with New Zealand; there: Sets the rule and the credit prices
- Great Barrier Reef 'in danger' listing delayed Australia · 2021–2025
- Government of Australia (Government) — here: Reported payer of A$107 million (unverified); there: Government that lobbied committee members
- Great Barrier Reef Foundation A$443m grant (Australia) Australia · 2018–2025
- Government of Australia (Government) — here: Reported payer of A$107 million (unverified); there: Grant provider
- UK agreed up to £21.7bn over 25 years for two CCS clusters United Kingdom · 2024
- Government of the United Kingdom (Government) — here: Gave A$10 million together with New Zealand; there: agreed the 25-year support
- World Court says fossil fuel production may be a wrongful act under international law Global · 2022–2025
- Government of Australia (Government) — here: Reported payer of A$107 million (unverified); there: respondent to the 2022 finding